Travel Insurane doesn't cover "Government Advice"

JP_91

I'm in the midst of a lengthy battle with my travel insurers over a cancelled ski holiday (where the Chalet company we booked with through a tour operator - but not a package holiday unfortunately!) are refusing the refund any money at all. This was a big group booking worth over £15,000! Consumer watchdog has said my only option is to take to small claims court.

After recently finally getting a "recommendation to settle" from the claims handler, they have since U-turned and are now asking for loads more evidence that I don't think I can provide (as it doesn't exist!). I've threatened to make a complaint to the financial ombudsman but wanted to check my facts first.

On to my question - The policy doesn't cover "claims arising from prohibitive regulations by the government of any country" - They are quoting this to say that they won't cover claims as a result of FCO travel advice. Is this "fair"? Is there an argument that this insurance product isn't "fit for purpose"?

Any advice much appreciated!

Thanks,

Johnny

JP_91

By the way - Insurer is Debenhams Travel insurance, provided by "Global Response"

Nebulous2

Did the chalet provider cancel, or did you? 

There will be a section on your policy, which is probably called cancellation. You need to read it and see what it says.

My one says they will pay out if there is FCO advice against all but essential travel to my destination, and I cancel within 28 days of my journey. A lot of policies don’t seem to cover FCO advice. 

JP_91

The chalet cancelled. We have a cancellation invoice and a letter explaining that they aren't offering refunds/rebooking/vouchers. It's a company called The Tasty Ski company based in Scotland. We booked through Alpenglow who are a travel agent, but it isn't classed as a package holiday. 

The wording in my original post is from the cancellation section of my policy. I was wondering if there was any mileage in making the argument to the financial ombudsman that the product isn't fit for purpose if they don't cover people who are advised not to travel by foreign office (which was our case). 

Life__Goes__On

JP_91 said:

The chalet cancelled. We have a cancellation invoice and a letter explaining that they aren't offering refunds/rebooking/vouchers. It's a company called The Tasty Ski company based in Scotland. We booked through Alpenglow who are a travel agent, but it isn't classed as a package holiday. 

The wording in my original post is from the cancellation section of my policy. I was wondering if there was any mileage in making the argument to the financial ombudsman that the product isn't fit for purpose if they don't cover people who are advised not to travel by foreign office (which was our case). 

Just checking you didn't pay via a card, as that normally would be the first route, and although the chalet cancelled they are not giving any refunds?

Nebulous2

I wouldn’t expect that to work. You are expected to check the terms and conditions to ensure the policy is suitable for your needs. Those with fewer exclusions generally cost more, so if people buy on price they are likely to get a stripped back policy. 

Having said that, this has been a huge learning experience for many of us, me included. I generally considered insurance as being for medical cover abroad and didn’t value the other clauses very highly, as I didn’t expect to need them.

JP_91

Agreed! This certainly wasn't the cheapest travel insurance and we bought based on the defacto rating. I'm about to lodge a final and formal complaint but I don't expect them to change their mind. 

I paid by credit card, but as we booked through a travel agent, it's classed as a "break in the chain" and therefore there's (apparently) no way of doing a section 75 claim. 

Seems harsh that consumers are being left to foot the bill. My only other tactic is to publicise how poor The Tasty Ski Co. has been in dealing with this (pocketing £15k for something that never happened) but I'd rather not go down that route. 

Thrugelmir

Threaten to report the Chalet operator to the  https://www.gov.uk/government/organisations/competition-and-markets-authority

sheramber

Thrugelmir said:

Threaten to report the Chalet operator to the  https://www.gov.uk/government/organisations/competition-and-markets-authority

Why threaten to report hem? Just do it.

JP_91

Thanks for the responses. I'm making a final formal complaint to the Chalet Company prior to reporting to C&MA.

Life__Goes__On

JP_91 said:

I paid by credit card, but as we booked through a travel agent, it's classed as a "break in the chain" and therefore there's (apparently) no way of doing a section 75 claim.

You want to do a Chargeback,  not a S75, and this will be allowed,  if you have proof (cancellation invoice) that they cancelled  then it should be a pretty straight forward claim.