A holiday should be an enjoyable experience, we want to be able to leave stress and worry behind when we’re away. That’s often easier said than done though. In recent years we’ve seen volcanic ash clouds halt air travel, tour operators and airlines go bust, and an economic meltdown. Many people’s holidays were ruined because they weren’t properly protected.
Photo by: Kara
Here, we look at the best protection when booking a holiday to help ensure you’re not caught out by any nasty surprises.
ATOL
The first thing to do is book your holiday via a company who is ATOL protected. The Air Travel Organisers Licence is a protection scheme for flights and air holidays booked with companies based in the UK.
Managed by the Civil Aviation Authority (CAA), ATOL protects you from being out of pocket or becoming stranded abroad if your travel company goes bust. If the worst should happen, the CAA can provide full refunds to people who are unable to travel and arrange for holiday makers stuck abroad to get home.
The CAA website states that:
ATOL protection applies to virtually any overseas air holiday booked with a UK travel company.
The law says your holiday must be protected if you book a holiday with a single travel firm that includes:
- flights and accommodation (including a cruise), or
- flights and car hire, or
- flights, accommodation and car hire.
Don’t assume that you’re protected however. Make sure you check your provider is covered by looking for the ATOL logo on their website, brochures, and adverts. The ATOL logo has a unique number at the top and this can be checked on the CAA’s website.
If you are ATOL protected, you will receive an ATOL certificate which tells you how you are covered. Take this with you and keep it safe as it explains exactly how to make a claim if needed.
ATOL Flight Plus
Introduced in 2012, Flight Plus is aimed at protecting DIY holiday makers. If you book a DIY holiday that includes a flight and accommodation and/or car hire, you could be protected provided certain conditions are met.
ATOL’s regulations state that for Flight Plus to be valid, you must:
- Book each part of the holiday on consecutive days or at the same time e.g. if you buy a flight at 11am on Saturday, you have until midnight on Sunday to book a hotel.
- Book all elements of the holiday with the same company.
- Buy using a booking website (e.g. Expedia, lastminute.com and not an airline website) or high street travel agent.
Remember to check where your provider is based, Low Cost Holidays for example are based in Spain and therefore not covered.
“I’ve booked my holiday through different providers, am I ATOL protected?”
If you book your flights, accommodation, and travel separately, you will probably not be covered by ATOL as it focuses on package holidays booked with a single provider. For example, self-catering holidays are not usually covered as the apartment supplier doesn’t provide your flights.
Unless any of the individual elements of the holiday meet the requirements to be protected you will have to find alternative cover. Even if one element (e.g. flights) is covered and fails, you may find that you’ll be unable to use the other elements (e.g. accommodation), and will therefore lose your money. If this is the case, the next tip is very important.
Credit Card
Pay for your holiday with a credit card as it gives you protection under section 75 of the Consumer Credit Act. This is particularly important if you’ve booked a holiday without ATOL e.g. if you’ve booked parts of your holidays with different companies.
Photo by: Demosphere
Whilst there may be an additional charge for paying by credit card, it is worth it for the protection it offers. Also, if you have a card that provides cash back on purchases, this may cancel out any fees.
NB Visa debit cards also offer some protection if your travel company were to go under.
Travel Insurance
An obvious one but the Icelandic ash cloud highlighted many issues with travel insurance. Always check that you’re covered for obscure events such as ash clouds. Double check that you’ve selected Winter Sports cover or Cruise cover if applicable and ensure that your baggage cover and cancellation protection are adequate. Are you covered for the country you’re visiting?
The most important thing to include is End Supplier Failure. End supplier failure covers you if an independent supplier (e.g. airline, car hire company, or hotel) goes bust. It essentially protects you if only one part of your holiday goes wrong and will usually allow you to claim back the cost of purchasing alternative flights should the airline go bust or the cost of alternative accommodation if any problems arise with your hotel.
Alternatively, look for Scheduled Airline Failure Insurance (SAFI). This covers your costs if an airline or agent goes into administration. In some case you may be able to add this to a policy as a ‘bolt on’.
Don’t simply opt for the cheapest deal as these policies don’t usually offer ESF or SAFI. Do some research and make sure you’re as protected as possible.
Travel Agents
If booking through a travel agent, find out if they’re members of either the Association of British Travel Agents (ABTA) or the Association of Independent Tour Operators (AITO). If they are, they must give you some financial protection when you book a package holiday through them.
Make Sure You’re As Covered As Possible!
We know that looking at insurance and T&C’s isn’t what you want to do when planning your holiday, but a little extra attention to detail can make a world of difference.
It’s also vital to sort out travel insurance when you book your holiday instead of leaving it until the last minute. This way you’ll be protected should something happen as most insurers won’t cover you for events that are already underway when you buy your travel insurance.
Top Tips:
- Is your holiday ATOL protected? – If you’re not covered or have booked parts of your holiday separately, ensure you pay by credit card and get adequate travel insurance. Don’t simply opt for the cheapest deal, make sure the cover is right for you.
- Payment – Always pay by credit card. This way you’ll be protected if anything should go wrong. If you don’t have a credit card, Visa debit cards offer some protection and are the next best thing.
- Read the small print – Always read the T&C’s or booking conditions and ensure you know what they mean should you need to change or cancel your booking at a later date.
- Insurance – Take out a travel insurance policy including End Supplier Failure when you book your holiday. Double check you have the appropriate cover for the area you are visiting.
Ready to Plan Your Holiday?
If you’re ready to start planning your holiday, check out our blog on holiday planning resources. It’s got lots of tips on where to look for a good deal and could save you quite a bit.
If you’ve been caught out by anything mentioned, get in touch below and help protect others. Also, don’t forget to follow us on Twitter and Facebook and sign up to our Newsletter for all the latest news.
