TICO Invoicing and Conditions 5 — Questions and Answers
Question 1: Under TICO regulations, if a travel supplier makes a 'significant change' to a consumer's booking, what must the registered travel agent do?
- Notify the consumer in writing as soon as the agent becomes aware of the change (Correct answer)
- Wait until 72 hours before departure to inform the consumer
- Only notify the consumer if the change affects the price by more than 10%
- Automatically accept the change on the consumer's behalf
Correct answer: Notify the consumer in writing as soon as the agent becomes aware of the change
TICO requires registrants to promptly notify consumers in writing of any material or significant change to their travel arrangements.
Question 2: A consumer wants to cancel a fully paid package 40 days before departure. The invoice references the supplier's non-refundable deposit clause. What is the travel agent's TICO obligation?
- Explain the supplier's terms to the consumer and process the cancellation according to those terms (Correct answer)
- Override the supplier's terms and issue a full refund from agency funds
- Refuse to process the cancellation until 30 days before departure
- Advise the consumer that TICO guarantees a full refund in all cases
Correct answer: Explain the supplier's terms to the consumer and process the cancellation according to those terms
The agent must apply the supplier's disclosed cancellation terms and clearly explain the financial impact to the consumer.
Question 3: Which of the following items is NOT typically required on a TICO-compliant travel invoice?
- The travel agent's personal home address (Correct answer)
- The registrant's TICO registration number
- The consumer's name and travel dates
- The total price including all known taxes and fees
Correct answer: The travel agent's personal home address
TICO requires the agency's business address and registration number, not the personal home address of the individual agent.
Question 4: Under TICO's Travel Industry Act, what is the registrant's responsibility when a consumer is not provided travel insurance information at the time of booking?
- The registrant may be in violation of TICO regulations, as offering travel insurance information is a required disclosure (Correct answer)
- It is entirely optional and has no regulatory consequence
- Insurance disclosure is only required for cruises and all-inclusive packages
- The registrant must refund the booking if insurance was not offered
Correct answer: The registrant may be in violation of TICO regulations, as offering travel insurance information is a required disclosure
TICO requires registrants to bring travel insurance to the attention of consumers and document whether it was offered and accepted or declined.
Question 5: A travel invoice issued by a TICO registrant must include the registrant's TICO registration number primarily because:
- It allows consumers to verify the agency is licensed and to file complaints with TICO if necessary (Correct answer)
- It is required only for bookings exceeding $5,000
- It replaces the need for a business address on the invoice
- It serves as proof that the consumer has travel insurance
Correct answer: It allows consumers to verify the agency is licensed and to file complaints with TICO if necessary
The registration number enables consumers to confirm the agency's licensing status and gives them a reference point for any TICO complaint or inquiry.
Question 6: If a travel package price includes a port tax that is subject to change by a government authority, how should this be reflected on a TICO-compliant invoice?
- The invoice should disclose that government-imposed taxes and fees are subject to change and may be collected at departure (Correct answer)
- The price must be locked in and cannot change after the invoice is issued
- Port taxes should be omitted from the invoice to avoid confusion
- Only the base package price needs to be shown; taxes are the consumer's responsibility to research
Correct answer: The invoice should disclose that government-imposed taxes and fees are subject to change and may be collected at departure
TICO requires disclosure that certain government-imposed fees may fluctuate, so consumers are not surprised by additional charges.
Question 7: Under TICO regulations, how long must a registered travel agent retain copies of invoices and related booking documentation?
- At least seven years (Correct answer)
- At least one year
- At least three years
- Only until the travel is completed
Correct answer: At least seven years
TICO requires registrants to keep financial records, including invoices, for a minimum of seven years for audit and compliance purposes.
TICO Invoicing and Conditions 5
Under TICO regulations, if a travel supplier makes a 'significant change' to a consumer's booking, what must the registered travel agent do?