Financial collapse Customers who have booked a holiday through a bonded tour operator and whose plans are disrupted by financial failure
We advise you to contact your tour operator direct in the event that this happens. If this is unsuccessful, we advise you to contact the Civil Aviation Authority who will inform you of your rights. Tour operators will usually be protected under the ABTA or ATOL schemes which provide compensation for those affected by financial failure.
The following cover applies to customers who have booked the elements of their holiday independently and not through a tour operator or travel agent:
Customers whose travel plans are disrupted as a result of financial failure of a scheduled airline
Before you go:
If you have booked your flight independently i.e. not through a bonded tour operator and your scheduled airline provider becomes insolvent before you travel from the UK, then Saga Travel Insurance will pay up to £1,500 for irrecoverable flight costs and up to £5,000 for any irrecoverable unused accommodation costs, as well as other pre-paid charges such as airport parking, car hire and excursions should you decided to cancel your trip.
If you wish to continue with your trip and re-book your flights with another provider, Saga will still cover you up to £1,500 for any irrecoverable costs from your original flights.
Please note: Saga will not pay for additional costs incurred in re-arranging your flights.
Whilst you’re away:
If you are abroad whilst your flight provider becomes insolvent, we will pay up to £1,500 for any additional pro rata costs incurred in replacing that part of the flight or the cost of return flights to the UK to a similar standard to that originally booked.
Customers whose travel plans are disrupted as a result of financial failure of a provider of accommodation
Before you go:
If you have booked your accommodation independently i.e. not through a bonded tour operator and the accommodation provider becomes insolvent before you travel from the UK, then Saga Travel Insurance will pay up to £5,000 for irrecoverable unused travel and accommodation costs, as well as other pre-paid charges such as airport parking, car hire and excursions should you decided to cancel your trip.
If you wish to continue with your trip, Saga will pay up to £5,000 for reasonable additional accommodation and transport costs incurred up to the standard of your original booking.
Whilst you’re away:
Should your accommodation provider become insolvent after you start your trip, we will pay up to £5,000 for reasonable additional accommodation costs up to the standard of your original booking so you can continue your holiday as planned.
Alternatively, if you have to abandon your trip, we will pay you up to £5,000 for any irrecoverable unused travel, accommodation or other pre-paid costs as well as any additional travel and accommmodation expenses to allow you to return home early.