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Tiered Cancellation Policies for Limo and Car Service Companies

Define tiered cancellation fee structures per booking type, with time-based fee escalation as the pickup time approaches.

DrivOQ's cancellation policy system lets you codify your company's cancellation terms in the software so fees are calculated consistently every time. Policies are defined per booking type (or a default policy that applies to all types) and consist of one or more tiers, each specifying how many hours before pickup the cutoff applies and what fee is charged.

Each tier's fee can be a flat dollar amount or a percentage of the booking total. A typical policy might have three tiers: no charge if cancelled more than 48 hours out, 50% if cancelled within 48 to 24 hours, and 100% within 24 hours of pickup. Up to 20 tiers per policy are supported for complex sliding-scale structures.

The calculate-fee endpoint takes a booking ID and computes the applicable cancellation fee based on how much time remains before the pickup time, using the policy configured for that booking's type. This integrates into the cancellation flow so dispatchers always apply the correct charge.

What’s included

Per-booking-type policies: point-to-point, hourly, airport, corporate, multi-stop, and a default fallback
Up to 20 tiers per policy for granular sliding-scale fee structures
Fee types: flat dollar amount or percentage of booking total
Time-based escalation: hours-before-pickup cutoff per tier
Calculate-fee endpoint: pass booking ID, returns applicable cancellation fee
Independent enable/disable toggle per policy
Role-gated: owner and admin can manage policies
Audit trail: all policy changes logged

Frequently asked questions

Can I have different policies for airport vs. regular bookings?

Yes. Policies are defined per booking type. You can set a strict no-refund policy for airport pickups (where driver positioning costs are high) and a more lenient policy for standard point-to-point trips.

How is the cancellation fee percentage calculated?

When a tier uses a percentage fee, it is applied to the booking's total amount (including taxes and gratuity). The calculate endpoint returns the exact dollar amount so dispatchers know what to charge before processing the cancellation.

What if a booking type doesn't have a specific policy?

If no policy exists for the specific booking type, the system falls back to the default policy if one is configured. If no default policy exists either, the calculate endpoint returns a zero fee.

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