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Guide to TICO's Disclosure & Invoicing Guidelines For Ontario Travel Agents and Wholesalers

Introduction

The Travel Industry Council of Ontario (TICO) is the regulatory authority responsible for enforcing the Travel Industry Act, 2002, and Ontario Regulation 26/05. These regulations govern the operations of the travel industry within Ontario. TICO's main objective is to ensure that individuals and entities involved in selling travel services comply with these laws. This guide aims to assist travel agents and wholesalers in understanding and adhering to the necessary disclosure and invoicing requirements as stipulated by TICO. It's important to remember that this guide is not legal advice. For the most current information and detailed legal advice, travel agents and wholesalers should consult TICO directly or visit their website here.

Understanding Key Terms in TICO's Framework

The Role of a Travel Agent

A Travel Agent, as defined by TICO, is an individual or entity that facilitates the sale of travel services to consumers on behalf of service providers like airlines, hotels, and tour operators. This role involves not just the act of selling but also advising and assisting consumers in making informed travel decisions. Travel agents serve as intermediaries, offering expertise and guidance in navigating the vast array of travel options available to consumers.

Defining Travel Services

Travel Services encompass a broad spectrum of components integral to the travel experience. This includes, but is not limited to, transportation services like flights, trains, and cruises; sleeping accommodations such as hotels, resorts, and other lodging; and other related services that might include tour packages, car rentals, and event tickets. These services are often bundled together to create comprehensive travel experiences.

Registrant: A Pillar of Trust and Compliance

A Registrant in the context of TICO’s guidelines refers to any travel agent or wholesaler who has been registered under the Act. This registration is a mark of credibility and compliance, assuring consumers that the agent or wholesaler adheres to the standards and regulations set forth by TICO. It signifies a commitment to ethical business practices and consumer protection in the travel industry.

Pre-Booking Disclosure Requirements

Travel agents are required to provide specific disclosures to customers before finalizing a booking. These are detailed in Section 44 and Section 36 of the Regulation.

Counseling Fee Disclosure

If a travel agent charges a counseling or service fee, it must be disclosed before selling or advising on travel services. They must also inform clients whether this fee is refundable and under what conditions.

Key Information to Disclose

Conditions of Travel

Travel agents are required to highlight any conditions that might influence a customer's decision to purchase travel services. This includes but is not limited to:

  • Destination Limitations: Advising on any restrictions or limitations at the destination, such as political unrest, health hazards, or environmental conditions.
  • Construction at Resorts: Informing about ongoing construction activities that may impact the stay or experience at a resort or hotel.
  • Health or Travel Warnings: Disclosing any relevant travel warnings issued by governmental or international bodies that could affect the safety or comfort of the traveler.

Total Price Transparency

The total price disclosure is vital for consumer protection. Agents must provide an all-inclusive price that covers all aspects of the travel services being sold, including:

  • Service Fees: Any additional fees charged by the agent or wholesaler.
  • Taxes and Levies: All applicable taxes and government levies.
  • Additional Charges: Any other charges that might apply to the travel services offered.

Cancellation Fees and Limitations

Cancellation policies are a critical aspect of travel bookings. Agents must clearly communicate:

  • Cancellation Penalties: The specific costs associated with canceling the travel services.
  • Non-Refundable Amounts: Any portions of the cost that are non-refundable upon cancellation.
  • Transfer Limitations: Conditions under which travel services can or cannot be transferred to another individual or date.

Insurance Availability

Providing information about insurance options is a key responsibility of travel agents. This includes:

  • Trip Cancellation Insurance: Coverage options for unforeseen cancellation of travel plans.
  • Out-of-Province Health Insurance: Information about health insurance for travel outside of the customer’s home province, especially important for international travel.

Travel Document Advisory

For travel outside of Canada, agents have the responsibility to advise on necessary travel documents, which include:

  • Passport and Visa Requirements: Specific passport validity requirements and whether a visa is needed for entry into the destination country.
  • Other Documentation: Additional documentation that may be required, such as affidavits for minors traveling without both parents or necessary health documentation.
  • Entry Refusal Warning: A caution that entry into a country is not guaranteed, even with complete and valid documentation.

These comprehensive guidelines ensure that consumers are well-informed and protected in their travel choices, fostering a transparent and trustworthy travel industry in Ontario.

Disclosure for Online Bookings

For online bookings, specific disclosures must be made in writing before booking and included in the invoice. This includes information on documentation needed for Canadian citizens and a suggestion to contact the agency for further assistance if holding different documentation.

Pandemic-Specific Disclosure

Given the challenges posed by COVID-19, additional disclosure guidelines have been developed, which can be found in TICO's COVID-19 Pandemic Disclosure Guidelines.

Other Terms and Conditions

Agents must refer to any other terms and conditions related to the travel services and provide means for customers to review these conditions. They are also required to answer any questions arising from the information provided.

Post-Booking Disclosure: Invoicing

After selling travel services, agents must promptly provide a statement, invoice, or receipt, including all information disclosed at the time of booking. This must be clear, irrespective of the booking method.

Invoicing Specifics

The invoice should include customer details, booking and payment information, non-refundable fees, total price, travel service descriptions, insurance information, and any contract terms regarding price increases. Additionally, it should cover travel document advice, including COVID-19 related requirements.

Advising Customers of Changes

If there are any changes that might affect a customer's decision after purchase, the agent must promptly inform the customer. This continuous disclosure is essential for maintaining transparency.

Checklists and Additional Guidelines

TICO provides checklists and additional materials, such as the E-Commerce Code of Practice, to assist with compliance.

Conclusion

These guidelines, while extensive, are not exhaustive. Travel agents and wholesalers are encouraged to consult with TICO for specific queries or clarifications. Adhering to these guidelines ensures that travel service providers in Ontario maintain high standards of transparency and professionalism, ultimately safeguarding consumer interests.