Confused about airline cancellation policy, what do the fare types mean?

Simple version:

1. Refundable / flexible: you can cancel and get money back, sometimes with a small fee.
2. Non-refundable: you usually lose the base fare or receive a travel credit.
3. Basic economy: the strictest, with few or no changes.
4. Airline cancels the flight: you are generally entitled to a refund or rebooking.

Always read the fare conditions in your confirmation email before cancelling. This flight cancellation policy page explains it in plain language.