How to cancel non-refundable business hotel bookings

When booking a hotel stay for work, choosing a non-refundable rate to take advantage of a discount can be tempting. But then people may get sick, or plans change, and you may suddenly find yourself needing to cancel or reschedule for a future date.

While getting your money back from a non-refundable hotel reservation can be challenging, it’s not always impossible.

Here, we identify the circumstances where hotels can be more understanding and allow some flexibility to their cancellation policy, before walking you through the approaches you can take to manage your travel arrangements with confidence.

Disclaimer - All information, especially pricing and policies, is correct as of the date of publication and is subject to change.

Can you get a refund on a non-refundable hotel room?

A non-refundable hotel reservation is a reservation that, under normal circumstances, cannot be canceled in exchange for a refund. 

Hotels often incentivize these bookings with lower rates for customers, as guaranteed reservations can help hotels secure revenue and manage their room inventory more effectively.

While most standard hotel policies offer no refunds, this isn't absolute, as hotels often issue refunds under exceptional circumstances.

Major US hotel chain cancellation policies

To give you an idea of what to expect, this table summarizes the typical non-refundable policies for major US hotel chains. While these are general policies for these specific rate types, the exact terms and conditions can vary by individual hotel, location, and specific dates of your stay.

Always be sure to check the specific terms and conditions of your reservation before you confirm.

Sources: Marriott, Hilton, Hyatt, IHG.

Common situations where you can request a refund

Bereavement

In the sad circumstance of a death in the traveler’s family, a hotel will likely grant an exception to its cancellation policy. Be prepared to provide some form of documentation as evidence.

The refund is typically at the hotel's discretion, so your approach matters. Even during a stressful time, remaining calm and polite will be more effective. If you feel a manager is not being sympathetic, it’s okay to end the conversation and try calling back later to speak with someone else.

If you cannot get a refund from the hotel directly, travel insurance will often cover bereavement.

Serious illness

Similar to a bereavement, a sudden, serious illness affecting the traveler, their party, or their relatives may qualify for a refund.

If a full refund isn't possible, the hotel may be willing to offer a credit voucher or rebook your stay for a future date

Travel insurance is often the most reliable route for getting money back, especially if an illness occurs after check-in.

Significant change of circumstance

On business trips, things can change rapidly. Events get canceled and meetings postponed, leaving you with a reservation that is no longer needed.

Hotels can be lenient if you approach them with politeness and understanding, but be understanding of their circumstances when making a request - small hotels could be reluctant to refund and may prefer to rebook instead. Larger chains are more likely to be flexible and may have a broader range of options, including partial refunds or credit.

Our recommendation is to request a date change as the first alternative to a refund. This is likely to be agreed by most hotels as it means they will minimize the amount of lost revenue from your trip.

Misrepresentation

Sometimes the need for a refund only becomes clear after you've checked in. If your accommodation doesn't match its description or expectations, such as missing amenities, being unclean or unsafe, there could be grounds to request a full refund, regardless of the cancellation policy.

If you booked through a third-party booking site, contact customer services to help escalate your complaint.

If you booked directly, ask to speak to senior management rather than the front desk. You can also consider filing a complaint with the Better Business Bureau (BBB).

Make sure you gather evidence to help resolve the claim quickly. This includes noting the date, time, staff talked to, and clear photos or video of the issues.

What can you do to minimize the risk of non-refundable reservations?

While it is useful to know the range of reasons that a refund could be requested for, the best approach is to be proactive and take the following steps to avoid losing money on non-refundable hotel reservations.

Take out travel insurance

Travel insurance is a key safety net for both individual travelers and your company. Many policies will cover the hotel cancellation issues identified above, like bereavement and illness, but consider choosing an insurance policy that includes a ‘cancel for any reason’ add-on option. While this will guarantee a refund, it will typically only be a portion of the prepaid costs.

Be prepared to change a reservation date

If a refund seems unlikely, rebooking for another set of dates is much more likely to be accommodated by the hotel, as they retain your business and avoid losing revenue.

Framing this as a simple date change rather than an alternative to a cancellation could make it more likely to be accepted.

Resell reservations on a dedicated platform

No refund and no suitable option to change dates? Some resale websites, like Roomer Travel or SpareFare can help recoup some of the costs of non-refundable hotel reservations by selling your reservation to another traveler. Note that between selling at a discount and fees, you will not receive the full amount back, but this is still an effective way to recover a portion of the money if the hotel's terms and conditions allow for a name change on the reservation.

Book with a credit card

If you've exhausted all other options, most major credit cards in the US offer built-in travel protections and the ability to dispute a charge.

Chargeback is most common for misrepresentation, if the service provided was not as advertised, and is less likely to be successful when cancelling a booking without a good reason. 

To start a chargeback, contact your card issuer and supply evidence to support your claim. The issuer will then investigate the case with the hotel on your behalf.

Use flexible online booking tools (OBTs)

Corporate travelers know better than anyone how often plans can change. In response, travel managers should turn to online booking tools. These streamlined solutions can provide access to excellent travel industry rates, while also providing more support when cancellations occur.

With Perk's FlexiTravel option, you can access the most flexible business travel options on the market. Trips booked using FlexiTravel are refundable and can be cancelled up to two hours before travel. Any cancellations within the notice period are guaranteed a refund of at least 80% with no questions asked, giving you peace of mind and protecting your travel budget.

The future of business travel is flexible

As we have seen, while cancelling non-refundable hotels is possible, it can become incredibly time-consuming. When booking hotels for work trips, plans regularly change, so rather than getting locked into non-refundable rates, the ideal strategy is to have a streamlined solution from the start.

Choosing a travel management platform like Perk, with its FlexiTravel solution, can remove the stress of altering or canceling your travel plans. Knowing you have access to the Perk’s transparent pricing model, extensive inventory eliminates the need to search through multiple platforms and juggle various booking conditions. Better still, we handle everything, freeing up busy travel managers while providing significant savings on your travel spend.

Reach out to our team to find out more, or book a demo to see how Perk can remove the stress of cancellations for your corporate travel program today.

Business Travel Booking Solution That Travelers Love

Download Ebook

Did you find this article useful?

If you did, please follow us on our social media accounts on LinkedIn or Instagram. Please share the article with your friends or colleagues!