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Travel agency Explorica Canada Inc. is under fire for failing to issue refunds to parents of students whose school trips were cancelled due to the COVID-19 pandemic.
Toronto-based Explorica provides trip booking services for schools to plan educational vacations for students to locations all over the world.
The global COVID-19 pandemic has caused widespread disruptions, including the cancellation of numerous school trips for Canadian students to destinations such as Europe and New York City. Many parents shelled out thousands of dollars for these trips that never happened.
Students Saved Money for Once-in-a-Lifetime Trip
Ben Wickens, 18, told CBC News that he worked hard to earn money to help pay $3,800 for a high school graduation trip to France, Italy and Spain. “I’ve never been to Europe,” he said. “I was really looking forward to it.”
However, the COVID-19 pandemic spoiled his plans and caused the trip to be cancelled. He is reportedly still waiting on a refund.
Ben’s stepmother Anne Nichol started a Facebook page called Explorica Canada – Trying to get our Refunds. She sought to connect other frustrated families who were also struggling to get their refunds. The group currently has more than 1,000 members.
“There’s very few people who can write off $4,000,” Nichol said.
She says that Explorica has been paying out partial reimbursements based on the scheduled departure date. Explorica reportedly issues smaller refunds to those with closer departure dates.
“Some of the parents, if their trip was cancelled 30 days in advance or more, they’ve received a 25 or 30 per cent refund,” Nichol said. “Our trip was cancelled the night before. So, we received $100.”
Trip insurance was mandatory and underwritten by Old Republic Insurance Company of Canada or Arch Insurance, according to CBC News. Some parents who paid by credit card have reportedly received a full refund under the credit card insurance policy. But those who did not use a credit card to pay for the trip didn’t have that extra protection.
Frustrated Families Wait for Full Refund
Grace Dawson, a student from St. John’s, told CBC News that she had been looking forward to a once-in-a-lifetime trip to New York City. However, her trip was cancelled due to border closures implemented to prevent the spread of COVID-19.
“We had a lot of stuff on the itinerary,” including sightseeing and Broadway shows, she told CBC News.
“Of course I was really sad, but I understand with the pandemic that we had to cancel.”
According to CBC News, the cost of the trip totalled about $2,500. So far, only $600 of that cost has been refunded by Explorica.
Renee Dawson, Grace’s mother, says she expected to get their money back.
“Some of us had insurance, some of us didn’t,” she said. “We were told and we understood that what wasn’t given back to us by Explorica, the travel company, would be covered by the insurance company.”
Explorica Launches Website to Explain Refund Policy
Explorica has reportedly launched a website for consumers with the latest information about trip cancellations and the refund status. The travel agency claims that it has issued the portions of refunds to customers according to its program terms and has sent the information to Old Republic and Arch Insurance in order to process the claims.
“ORIC and Arch Insurance are attempting to use the unique circumstances around COVID-19 to redefine their rights and obligations under these travel policies and shift the losses of this pandemic back onto you,” the website states.
Explorica also maintains that the insurers have mischaracterized Explorica’s involvement with the process.
Nationwide Class Action Lawsuit to Be Filed Over Lack of Explorica Refunds
Grace and Renee Dawson are not alone. According to CBC News, thousands of people from more than 100 schools across Canada are also seeking refunds from Explorica for trips that were cancelled due to the COVID-19 pandemic.
Lawyer Travis Payne, who is representing some of those affected, told CBC News that he sent a letter seeking refunds on behalf of members of the Facebook Group. The letter was sent to Explorica Canada and its insurers Arch Insurance Canada Ltd. and Old Republic Insurance Company of Canada, asking them to respond within a week to avoid litigation.
Payne says the companies missed the deadline and therefore he will move forward with an Explorica class action lawsuit on behalf of all Canadians who have not received refunds.
He estimates that Canadians are owed between $8 million and $12 million over the cancelled Explorica student trips.
At least one class action lawsuit has already been proposed seeking refunds for school trips that were cancelled due to COVID-19. Earlier this summer, a group of parents sought to hold Quebec’s Samare’s School Board accountable for refunding the money raised for an end-of-year school trip that was subject to COVID-19 cancellation.
Another group of parents have asked to institute a class action lawsuit against all Montreal private schools to seek reimbursement of school fees after COVID-19 regulations required schools to close on March 19.
Do you think Explorica should issue refunds for the school trip cancellations? Are you waiting for a refund from a cancelled trip or event due to COVID-19? Let us know in the comment section below!
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20 thoughts onExplorica Canada To Face Class Action Lawsuit for Refunds From Cancelled School Trips
Read the terms and conditions you agreed to carefully. If you didn’t purchase insurance and your trip was cancelled last minute, you are sadly going to get very little refund. That is what the terms say, and is why it is a good idea to require the insurance for these type of trips. If you did purchase the insurance, then the people you should be suing is the insurance company. They are the ones who were supposed to cover the balance of the refund if there was a late cancellation. It is there obligation. Explorica’s cancellation terms are clearly spelled out in the agreement. If they lived up to them, then that is all you can expect from them. The remainder should have been paid by the insurance company, so sue them. (I organized a cancelled trip. Explorica paid their portion immediately, but the insurance company balked at paying each of my families the $490 they owed them for the balance of the uncovered portion. We thankfully cancelled super early, so it was bad, but not horrible.) Everyone wants an exception made when it is their trip cancelled. Saying “we didn’t buy insurance, the trip got cancelled and we didn’t get a refund so Explorica should pay” is like saying “we didn’t buy fire insurance, the house burned down, so now the construction company should pay for the house”. The purpose of insurance is to protect yourself from the unexpected; you didn’t buy insurance, so you can’t expect to receive benefits from it.
If you did buy insurance, then you have a legitimate claim against the insurance company, but not against Explorica. Again, read the terms you agreed to when you signed the contract. They only owe for their portion. Those saying “EF paid no problem” really mean “EF’s insurance provider paid”, because that is what actually happened; EF’s insurance company made good, while Explorica’s did not. (Explorica is suing their insurance provider over this, and will be taking the insurance “in house” in the future. I believe EF is doing the same thing now. The insurance industry was slammed with claims and did what they always do – think of phoney baloney reasons not to pay out.)
I am a single parent who made sacrifices for my son to go on a trip with his school. I did not purchase insurance. I had not planned on him canceling. The school cancelled the trip 2 or 3 days before he was to leave. I have bills to pay and sport equipment he needs. Obviously, the service we paid for we didn’t get. They are offering a voucher (Exploriica) but we will never use that as the school has no immediate plans to rebook and he will be gone. I suggested to the Principal since they cancelled and without warning they take the voucher and use it later and refund us. I am so frustrated it makes me want to cry that they have our money even at a school level as a school organized trip and we don’t have a trip. They have the option as an institution to use it later to sell when they organize another trip. Please help us !
My daughter saved for 2 years paid out the money to explorica and is now out 4305$ explorica took our money gave arch 200$ and now they are both pointing the finger at each other. Explorica give back our children thier money and fight amongst yourselves, a huge insurance and travel company can fight over thier millions that they have of ours. THEY have our childrens money, it disgraceful!
Very similar situation with EF Tours. My daughter purchased a TDSB March tour to Europe. EF Tours and the school poorly communicated to the students and their families that insurance was optional. Many families assumed that insurance was incorporated in the full price of $3,500. TDSB cancelled all educational trips only a couple of weeks before departure and left many students with empty dreams of exploring other countries and parents with empty wallets – my daughter actually paid her ticket with money earned from part time jobs – what a disappointing message from an educational touring company and her school!
Does Travis Payne and the law firm have other families seeking refund from EF Tours?
Still waiting also. My son was supposed to go to Greece and Italy in April. Just got an email that they need more information to decide if I get a refund. Explorica has already given them everything they need. It’s very frustrating.
Also still waiting for a refund of my daughter’s trip to Coata Rica. Amazing that all EF Tours were refunded promptly… just Arch, Old Republic and Explorica not meeting commitments.
My daughter and I paid Explorica $4,800 for a March break trip to Spain and Portugal. We bought the full cancellation insurance with Arch. The school board cancelled days before the departure date. Still waiting for the refund after 7 months! This situation is so frustrating and heartbreaking for the kids!!
I am a parent in St.John’s, NL that Is awaiting a refund! I used my mom’s inheritance money to treat my son to a school trip yo New York in memory of Mom. Very sad outcome and not the memory I wanted him to have!
I purchased travel insurance just in case something went wrong. Coincidentally Covid happened and the protection I thought I had purchased never protected anything!