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claiming back holiday,without no insurance

My Parents were due to go on holiday in 3 weeks,but due to unforseen health problems have had to cancel the holiday.
They had'nt got travel insurance yet as they've always left it till about 1-2 weeks before they go.
They went to the travel agent and they said all they could give them was 10% of the price they paid.(which was £800)
They paid cash for the holiday.I know they had no insurance but surely they can get more than this.

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