Travel Insurance - holiday company risk?

brizzledfw

Hi there - wonder if anyone can help me.

I have just checked with the annual travel insurance policy that I have via my bank (smile (AXA)) who have told me that if the holiday company I have booked a holiday with (for 2 families! ...eek and I am just about to pay the rest off in the next day or so as we are due to leave mid March) go bust then I will not be covered. Cancellation cover seems to solely cover my inability to have a holiday not theirs to provide me with one!

The holiday company are based in the Netherlands and although we have travelled with them 3 times before its just that this year I am nervous. Nothing to base it on but then I am hardly reading the Dutch business newspapers every day!

Can't use a credit card for s.75 protection as they won't accept them - I try that every year.

What I would like to do is to buy top up insurance or even new policies - its got to be worth the peace of mind but do you know of a travel insurance that will cover me for this - (by the way we will not need SAIF as we are travelling by road) - does anyone have any ideas? Many thanks

Needless to say I will be raising this exclusion with my ethical bank of 13 years! Seems bonkers to me..

Thanks for reading this!


Janie

Quentin

Doubt you will find any one offering the cover you want.

If you are really concerned, swallow the cost of cancellation and rebook a holiday with an ABTA bonded tour operator, or use a credit card.

brizzledfw

Hi thanks for advice but cancelling is not really an option as we paid a deposit back in the late summer and now the remainder is due as its 6 weeks before we leave.

Does anyone really know for sure whether travel insurance cover is available on the basis of the provider going bust? Or where/how I would find out?

Thanks

Quentin

The only similar sort of policy you can get is cover against a scheduled airline going bust.

There aren't any off the peg policies that offer the cover you want.

That is why all the advice given is that we should take precautions when booking and use ABTA/ATOL companies or a credit card.

You could look at the loss of your deposit as the cost of the insurance you are now prepared to pay, and rebook your holiday with an ABTA bonded company (at no "extra" cost).

brizzledfw

Hi Quentin- unfortunately this is a holiday that we want to replicate -we have been to the same flat etc for the past 3 years - its good value, much better than via a usual travel agency and with kids etc we know the set up at the location which is a big help. OK think we'll have to busk it. Cheers for advice

dacouch

There are a few Travel Insurance companies that include cover if you have to cancel your holiday due to finacial failure or the airline or accomadation provider.

I know that PJ Hayman include it on their Travel Plus Policy which you can buy as a single trip or annual policy.

The exact worrding from the relevant part of their policy

What you are covered for
We will pay up to the amount shown under the selected
cover option, as specified in your Schedule, in respect
of the cost relating to any paid and non-refundable
part of the travel or accommodation arrangements
including pre-arranged and paid attractions, forming
part of an inclusive holiday arrangement or the cost
relating to curtailment of any non-refundable part
of the arrangement on a pro-rata basis due to the
financial failure (the business being wound up or
carried on by a Liquidator or the Receiver) of the travel
or accommodation provider.
What you are not covered for
1. Anything in the General Exclusions, General Conditions
or Making A Claim - Claims Procedure.
2. Any payment, unless any travel bond or trust fund in
force and all other sources of recovery (insurance or
otherwise) have been exhausted.
3. The financial failure of any travel accommodation or
pre-arranged attraction provider that is in Chapter
11 Bankruptcy or Receivership at the date of
booking.

I don't work for PJ Hayman but used to sell their policy and it is a really good policy offering lots of other unusual parts that are not normally covered.

I beleive their are other Insurers that include financial failure or the airline or accomadation provider but you will have to search around for it.

I hope this helps and enjoy your holiday