A lot of us have been looking forward to a summer holiday for a long time. Ok, so we might have gotten away for a ‘staycation’ last summer, reacquainting ourselves with everything the UK has to offer (which is definitely not to be sniffed at).
But with domestic holiday prices soaring in line with increased demand and no guarantees the weather will play ball, for a lot of people, the freedom to travel abroad on holiday couldn’t come soon enough. This was why there was such a sharp spike in bookings as soon as travel restrictions were eased earlier this year.
Perhaps a little too sharp, as things turn out. Because what no one expected was that the travel industry, so hard hit by the pandemic, might not be in a fit state to cope with a sudden rush of stir-crazy holidaymakers scrambling to jet off on holiday in their tens of thousands.
We’ve all seen the headlines. After having to let so many employees go during the pandemic, airlines and airports are facing severe staff shortages now demand has cranked up again. That has led to huge queues and delays at airports, baggage backlogs and lost luggage, and hundreds of flight cancellations. In a word, chaos.
So as much as you have been looking forward to that holiday abroad for a long, long time, it comes with a warning. Things might not be as plain sailing as you would have hoped. The current outlook is that the travel disruption that has now spread across Europe is going to last well into the peak holiday season, perhaps even beyond.
That means all people planning on travelling abroad should brace themselves for cancellations, long waits at airports, and the possibility of being delayed getting home. Air passengers have even been advised to take hand luggage only, such as the scale of the issue of getting hold luggage loaded onto planes in time and the high risk of things going missing. But that’s hardly practical if you’re off on a family holiday for two weeks.
Delays and disruptions to your holiday are bad enough. But an even bigger concern for travellers is that they could be left out of pocket, too. Yes, consumer rights laws say you are entitled to refunds for cancelled flights and holidays, and also to compensation for lengthy delays. But there’s no guarantee you will be able to claim back all of your costs from your airline or your travel agent.
What if, for example, a cancelled flight means you can’t use an accommodation booking you’ve paid for? Or do you have to check into a hotel to await another flight? Or do you have to book an alternative flight to get home?
For all of these reasons and more, you need an extra level of protection for your holiday this summer. That’s where travel insurance comes in. Here’s how it can cover you for whatever might get thrown your way.
Cancellation cover
The most obvious way travel insurance has your back this summer is if your flight or your holiday gets cancelled. Airlines and tour operators are obliged to refund what you paid for any cancelled product, or else offer an alternative booking (that is suitable for you, of course). But you will commonly find travel insurance cancellation payouts capped at between £5,000 and £10,000.
This means any claim is not restricted to just the cost of your flight ticket or holiday. You can also claim back other losses that stem from the cancellation, such as the price of accommodation if you have your flight cancelled. Or perhaps you’ve paid for car hire up front, or for parking at the airport.
With budget airlines in particular often offering little or no compensation on top of ticket refunds, it’s important that you have this extra level of protection.
Interruption cover
Even if you don’t have your holiday cancelled completely, disruptions and delays could still leave you out of pocket. We’ve mentioned the examples of having to book a hotel overnight while you wait for a flight, or being stuck abroad if your flight home is cancelled and having no choice but to book another one because you need to get back for work etc.
While these don’t technically count as cancellations, travel insurance will still cover you under interruption clauses. There’s no guarantee that the compensation you are offered for a lengthy delay will cover the cost of a hotel, and certainly not a last-minute flight home with another airline.
Lost luggage
The news is full of stories of holidaymakers being separated from their luggage due to the huge problems airports are facing with baggage handling at the moment, and arriving on holiday without their clothes, their toiletries, their gadgets, even their medication. Having to replace all of these things when you land adds a huge extra expense to your holiday.
But if you have travel insurance, you can claim back the cost and at least not be left with a big dent in your bank account we could all do without at the moment.
The return of COVID?
Finally, one thing no one should rule out is the potential for COVID-19 to rear its ugly head again and spoil our fun. Cases are rising sharply again as yet another new variant spreads. And while that raises the possibility of restrictions being reintroduced, the biggest risk for travellers is falling ill or testing positive before you travel or while you are away.
As we all know by now, a positive test means no holiday, so again the cancellation cover offered by travel insurance comes into its own. And if you test positive while on holiday, you could be forced to pay for accommodation to isolate in beyond your original booked dates, and then have to pay for a new flight home. If you fall seriously ill, you could end up with huge medical bills, especially if you are hospitalised.
Again, travel insurance can cover you for all these eventualities. It really is a case of better safe than sorry.
