Is the Cheap Travel Insurance Legal?

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At this time of year, New Year’s resolutions really are a long forgotten memory. The diet plan you pledged that you follow has been replaced by chocolate, and the strict exercise routine is going the window. On the plus side, you can still anticipate your summer holiday. However, travel insurance adjusted through some alterations in 2009 and, unlike average folks, the companies who sell cheap travel cover stay with their resolutions. So prior to taking your well-earned break, it’s worth checking your policy.

By 1 January 2009, the (FSA) Financial Services Authority took it upon itself to regulate the sale of most cheap travel insurance all travel agents and tour providers. A lot of tour operators signed up in advance to obtain FSA approval, although not all operators and travel agents happen to be FSA approved. It’s very easy to be confused by acronyms, as a lot of travel specialists are people in ATOL or ABTA which gives the impression that they are certified and approved to market cheap holiday insurance.

Cheap Travel Insurance
For clarity, ATOL will be the Flights Organizers? Licensing which is a part of the Civil Aviation Authority (CAA). ATOL helps you to safeguard travellers abroad by making sure that the tour operator or local travel agent they book their holiday with has the financial reserves to create up their customers, should anything make a mistake. If the ATOL approved company goes bust, holidaymakers are guaranteed to obtain money back and a flight home should the company collapse whilst a client is on vacation.

ABTA may be the Association of British Travel Agents and is a representative body of 5,300 travel specialists and almost 1,000 tour operators. ABTA really are a representative body which acts on behalf of its members to make certain high standards of trading practice among travel companies. However, while ABTA membership does mean customers will get? Choice, value and high levels of service? There is no dependence on ABTA members to provide cheap travel cover.

In simple terms, this implies that whilst carrying the ATOL or ABTA badge may help you source a great travel agent, the truth is it’s no bearing on his or her ability to provide you with cheap holiday insurance. When you are planning to get an insurance policy, make certain it’s coming from a reputable vendor which includes approval through the FSA. Without it, you may be in severe trouble should you have an accident abroad.

 

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