How good is Post Office travel insurance?

tenchy

I'm looking at taking out PO travel insurance for a single holiday in 2009. What attracts me to the Post Office is that their policy offers to pay out in the event of scheduled airline failure. However, according to the small print they won't pay out if the airline is bonded or insured elsewhere. First question is "what precisely is meant by scheduled airline?" We've booked a Jet2.Com flight but it's not part of a package. Secondly, what's this about an airline being "bonded"? Presumbaly all large airlines are, but what about XL when they went bust; were they not bonded? Thanks for any advice. Chris.

donnawood

Hi,

I have already taken out cover for my flight, hotel and car hire back in October with www.protectmyholiday.com and went through the same questions as you. A scheduled flight is a flight which has a schedule departure date and time (like a train timetable) and which is not part of a packaged holiday which use charter flights. You will find that Jet 2 is scheduled especially if you have booked directly with the airline. I found that the protectmyholiday policy did not have a policy excess and covered consequential loss covering my hotel and car hire should my airline financially collapse.

Hope this helps

tenchy

Hi Donna, thanks for your reply. The ProtectMyHoliday company looks interesting and I'll investigate further. I'm clear that my booking is "scheduled" but I'm still uncertain about the "bonding" arrangement. Do you, or anyone else know, if so-called bonding only applies to travel agents/package holidays? All I've done so far is book a flight with Jet2.com.

Thanks,
Chris.

donnawood

Hi Chris,

Scheduled flights are never bonded unless part of a package in that case it would usually be a chartered flight. Bonding is only for travel agents and tour operators usually.

If your booking your flight direct with Jet2 then you will have no cover against their insolvency. If your buying the flight through a company ask for written confirmation of cover for the insolvency of the flight. The reason I mention get it in writing is that travel agents don't seem to understand what is covered and thing the bonding for their agency through ABTA or ATOL covers the insolvency of the flight in addition to themselves.

Hope this helps

Donna

Mrs_Thrify

Direct Travel Insurance offers a scheduled airline failure police that pays out up to £1500 per person. I was thinking of going with them although I have booked a package holiday with an ATOL -registered agent and paid by credit card. Now after reading your post, I think I will check the post office out as well. Julie

donnawood

Hi Julie,

When i was looking into airline failure protection i found that if you buy through an ATOL agent and its not a package its the ATOL agent duty to offer scheduled Airline Failure Insurance, take the risk themselves or confirm that there is no cover. The agent i spoke to did not know they had to confirm cover for customers and thought that ATOL themselves cover it which is not correct as ATOL covers the agent only and other parts of a package holiday and not a scheduled flight. With credit cards firstly your payment has to be over £100 and they will not necessarily cover repatriation and only the failure of the company whom took the credit card which may not be the airline. Scheduled Airline failure insurance covers up to a sum insured which unlike credit cards will cover repatriation costs which are always higher than your original ticket cost.