TICO Travel Insurance Obligations

Question 1

Under TICO's standards, when must a travel registrant inform a client about the availability of travel insurance?

Accepted Answer

At the time of booking, as part of the registrant's duty to advise the client

Answer

TICO's duty-to-advise standard requires registrants to proactively inform clients about the availability of travel insurance at the time of booking. Waiting for the client to ask, or doing so only after signing, does not satisfy this obligation.

Question 2

A client declines travel insurance after being properly advised by their travel agent. What should the agent do to protect themselves from a future complaint?

Accepted Answer

Document in the client file that insurance was offered and the client declined

Answer

Best practice under TICO standards is to document in the client's file that travel insurance was offered and that the client declined. This protects the registrant if a complaint is filed later alleging they were never informed of insurance options.

Question 3

Which type of travel insurance coverage is of particular importance for TICO registrants to bring to every client's attention?

Accepted Answer

Out-of-province/out-of-country emergency medical coverage

Answer

Out-of-province and out-of-country emergency medical coverage is critical for travellers, as provincial health plans provide very limited coverage outside Canada. TICO registrants are expected to specifically advise clients about this risk.

Question 4

A client suffered a serious medical emergency abroad and incurred $80,000 in hospital bills. They later claimed their travel agent never told them to buy travel insurance. If proven, what could the registrant face?

Accepted Answer

A TICO complaint for failing to meet the duty to advise, and potential civil liability

Answer

A registrant who fails to advise a client about travel insurance risks a TICO complaint for breach of their duty to advise, and may also face civil liability if the client suffered financial harm as a result. Automatic revocation would not occur without a formal process.

Question 5

Which of the following statements about travel insurance is CORRECT under TICO's operational standards?

Accepted Answer

Registrants must advise clients about the availability of travel insurance, but cannot be compelled to sell a specific policy

Answer

TICO registrants are obligated to advise clients that travel insurance is available, but they are not required to force clients to purchase it, nor are they restricted to a specific insurer. The obligation is disclosure and advice, not mandatory sale.

TICO - Travel Industry Council of Ontario Practice Test

TICO - Travel Industry Council of Ontario Practice Test

TICO Travel Insurance Obligations