Norwegian Cruise Line Ordered to Pay $2 Million Over Deceptive COVID Cruise Sales

Norwegian Cruise Line is making headlines — and not for a new ship or a great deal. The cruise line just agreed to a $2 million settlement with 12 U.S. states over how it handled cancellations during the COVID-19 pandemic.

What Did Norwegian Cruise Line Do Wrong?

A multistate investigation looked into NCL’s sales and cancellation practices during the pandemic. Customers reported getting confusing and misleading information when they tried to cancel their cruises. States found that NCL used unfair policies around refunds and future cruise credits.

One of the most alarming findings came from Connecticut. According to Connecticut Attorney General William Tong’s office, the investigation began “following reports that NCL representatives were discouraging cancellations by inaccurately telling consumers the virus could not survive tropical temperatures.” That kind of misinformation left many travelers in a tough spot.

Which States Were Involved?

This wasn’t a small, local complaint. Attorneys general from 12 states signed off on the settlement. The states involved include New Jersey, Connecticut, Florida, Illinois, Louisiana, Minnesota, Nevada, North Carolina, Pennsylvania, Texas, Utah, and Wisconsin.

New Jersey Attorney General Jennifer Davenport’s office led the announcement on April 13, 2026. The wide reach of this investigation shows how many American cruisers were affected.

How Much Did Norwegian Pay Back to Customers?

The $2 million settlement gets most of the attention, but the bigger number tells a larger story. Between mid-March 2020 and late November 2025, NCL issued more than $3 billion in refunds to customers across the country.

That total breaks down into roughly $2.6 billion in credit card refunds and nearly $505 million in future cruise credits. That’s a massive amount of money — and a sign of just how widespread the problem was.

What Did Norwegian Say About the Settlement?

NCL’s parent company, Norwegian Cruise Line Holdings, shared a statement after the settlement was announced. They said, “We’re pleased that this matter has now been resolved. From the outset, we fully cooperated with authorities, and we have taken meaningful steps to strengthen our practices and ensure our communications reflect the highest standards of accuracy, transparency, and responsibility.”

It’s worth noting that NCL did not admit to breaking any laws as part of the agreement. The settlement is more about moving forward than looking back.

What Changes Is Norwegian Required to Make?

The settlement isn’t just about money. NCL must follow several new rules going forward. Here’s what the cruise line is now required to do:

• Stop creating or sharing sales materials that are misleading or deceptive
• Assign a senior manager to approve all sales communications during future disaster declarations
• Provide mandatory training on honest sales communication for all customer-facing employees

These requirements are designed to protect cruisers in the future. If another major crisis hits, NCL will need to communicate clearly and honestly with its passengers.

What Does This Mean for Cruise Travelers?

This settlement is a reminder to always know your rights when you book a cruise. During the pandemic, many travelers felt trapped by confusing policies and bad information. Understanding refund policies before you book can save you a lot of stress later.

The good news is that this investigation led to real accountability. Cruise lines now face more scrutiny over how they handle customer communications during emergencies. That’s a win for travelers everywhere.