New research from travel insurance company InsureandGo says that holidaymakers are being ripped off by travel agents when they buy their travel insurance.
The research found that on average the cost of insurance for a single trip cost 91.8% more from travel agents compared with the 25% most competitive insurers in the market, and 15.5% more than the market average.
However, the difference in prices depends on the product. The average cost for travel insurance within the EU costs 9.3% more from travel agents than the market average, while a worldwide insurance policy is 23.3% more expensive.
Perry Wilson, Director at InsureandGo, comments: “As if it isn’t bad enough that travel agents are indulging in heavy-handed and misleading practices to sell their insurance products, now we find that they are massively overcharging customers too. We believe that this makes the case for firm FSA regulation absolutely irrefutable and the Government needs to act immediately. The industry needs a level playing field and customers need protection – and a better deal from their insurance providers.”
Travel insurance: News update: April 2007