Non Refund Ticket? How Does This Work?
 

I would like to know other FTers' experiences with 'non refund tickets'--when you have an emergency and cannot fly.
I recently purchased long-distance flights on Lufthansa for travel late December.
In the meantime, I have an emergency and cannot travel.
I have never had to cancel and ask for a refund before--with any airline.
I called the airline to cancel the flights (for one PAX) and request a refund, and was told (South African office) that these were 'non-refund tickets'. I could not receive a refund--with the sole exception that I could have a doctor send a note to the airline to say that I or my family has a medical reason. No exceptions. None. This I could do.
However, there is still this matter:
The airline phone worker told me that I had been told it was a non-refund ticket. I said, I was not told it was a non-refund, but was told that the fare was the lowest available. I was also told there would be a $200 fee for changing it. Now the airline says I have a year to use it. This was not a special fair or a discounted fare. It is a regular fare, high season.
I could use it later. That would be at least 8 months hence. I would in the meantime prefer a refund.
This brings up questions regarding refunds:
1. Why are some ticket fees not refundable?
2. It is the airline's word against mine that they warned me it was non-refund. I do not believe they said it.
3. Do the airlines pay an 'interest' fee on the thousands of dollars they are holding?
4. Do they automatically refund on receipt of a medical letter--or can they question it? For example, could they potentially say, "A broken leg is not a good enough excuse" or "Migraines are not a reason not the fly."
5. Any suggestions on dealing with this?
The two choices, at this point: use the ticket later (could do but prefer not to), or ask my doctor to send a medical reason for not flying. (could do but don't like that this is the sole option).
Have other FTers dealt successfully with protesting/successfully repealing a non-refund ticket situation? Thanks for wisdom on this.

My indirect experience has been that when its a real emergency, such as a death or serious illness they can be pretty good and really do almost anything to help. Of course some would probably turn to insurance (if they've got any) first. Its best if you tell them BEFORE you were due to fly, even if the medical backup comes later. No experience of Lufthansa though. In your case, you are due to fly late December.... they might wonder what kind of sudden emergency could cause you to know now that you can't fly then.

I think at this point you should have assumed it was non-refundable unless told otherwise. After all, with any other product or service, unless you've been told you can have a refund, would you expect to be able to change you mind and get a refund?

Are you sure it was not discounted in some way? Was it really the same as the full IATA fare? As there is a fee for changing it, I'm sure it was discounted. Full Y fares are often very expensive - and can usually be changed for free.

Well... it seems you can't! Anymore than they could turn around and say "sorry we've decided not to fly you - so please take the money back".

Regarding your specific questions:

1. why are some ticket fees not refundable?
Why should they be? Airlines need to manage their inventory - schedules and slots are hard to change. They need to fill planes to make money. They cannot afford to have people buying tickets and then changing their minds. Generally the more flexible the ticket, the more expensive it is.

2. It is the airline's word against mine that they warned me it was non-refund. I do not believe they said it.
I think in this case, its not important because I don't think they were under an obligation to warn you anyway. If they specifically promised you it was refundable - then that's a different matter. Then it just comes down to evidence.

3. Do the airlines pay an 'interest' fee on the thousands of dollars they are holding?
No. Fortunately PAX don't have to finance the capital expenditure involved in buying planes either. I suppose you could always buy flight tickets at the last minute if you want to avoid acting as banker.

4. Do they automatically refund on receipt of a medical letter--or can they question it? For example, could they potentially say, "A broken leg is not a good enough excuse" or "Migraines are not a reason not the fly."

Entirely up to them, nothing automatic about it. They could question it, or even just say no. After all, your misfortune is not really their problem - they are doing you a favour, even if you don't see it that way. They might want to establish the authenticity of the letter. In the two most recent cases I know of (both out of London, EVA and JAL), the PAX concerned were in hospital. There was so much circumstantial stuff I think there was little doubt. These guys are not stupid... they might phone to check. If its because of a condition you regularly suffer from then I doubt whether they would help.


5. Any suggestions on dealing with this.
If you can, get the "fare rules" - either online or off the ticket and get someone here or a travel agent to double check. You might be able to do something else with it - eg if its for a trip to Europe you might be able to change the destination to another European city if that fits in with your travel plans. OR, say, if you need to fly somewhere else, see if its cheaper to get a a new ticket and combine with your existing one rather than starting from SA. At least you'd get more airmiles (if it qualifies). I've also heard that some "non-refundable" tickets do, nevertheless, have some nominal value if turned in - maybe another poster has heard of this. You might, at least, be able to get the taxes back which would be a consolation.

I would venture to say that at least 95% (or even 99%) of all airline tickets sold are non-refundable/non-changeable tickets. Most el cheapo fares have a fee in which the value of the ticket minus the fee is allowed to be applied to a future flight (and then again be subject to the fare rules of that ticket).

You need to locate the fare rules regarding the fare you booked. It will specify what changes (if any) the airline is willing to do.

It seems that you are getting an exceptional deal here if they offered to refund the entire value of the tickets considering your flight is about a month away. I don't consider that an emergency but maybe you have extenuating circumstances. And if that is the case the airline is being even more accomodating to your situation.

The non-refundable/non-changeable issue is INDUSTRY NORM and you have to pay very dearly for a refundable ticket (probably at least twice as much---maybe as much as five times as much as the cheapest fare).

This is the reason that travel insurance exists. If you purchased over the phone you were probably even offered it by the airlines. It seems they all sell it now (at a higher price than you can get on your own) for an extra profit center and maybe even for customer convenience. Travel insurance is very inexpensive, imho.

You are very lucky here---you have a way to get your money back. You didn't do your homework when you bought the ticket and you have a "get out of jail free card." Use this opportunity to learn how the airline industry works so that you won't get caught in a similar situation next time. Hopefully you stay healthy though---I wouldn't wish poor health upon anyone. Feel free to PM me if you'd like. I don't mean to sound rude or mean here---I just was trying to be blunt and honest. The above poster is 100% right on too. Most of the time new members don't get this much attention. Take care and get better! And get your money back!! :)

Thanks jimbo99 and myfrogger.
I so appreciate your balanced, professional and wise and detailed information on this. In this case, you are right: I am learning an 'airline rules' lesson...and gaining from your wisdom and insight.
I am a very experienced traveler, United Premer Exec, BA multi-miler exec, Lufthansa Miles & More...and have never had to cancel a trip totally before, therefore have never been faced with total non-refund and such hard-nosed, inflexible, accusatory, and unhelpful phone agents.
In this case, faced with a solid reason to change plans (cancel) I naively assumed that cancelling more than one month ahead was considerate, professionally respectful, and reasonable and would be treated with courtesy and understanding. Yes, you are right, I have the money and can use the fare later (for a fee). I am not losing the money.
I will follow your advice and check all info sent. I will check all the rules and reg. on the ticket. You are right, I have several options.
I will also check to see if this fare/ticket price can be used on other airlines of Star Alliance, which could perhaps give some flexibility.
I appreciate the great insight from jimbo99 and myfrogger. Thanks a million times.