Saga Insurance is now offering airline failure cover as standard in its travel insurance packages.
The over-50’s insurance specialist said its decision to include the cover as standard was prompted by the recent series of bankruptcies to high-profile airlines, including XL Airways and SilverJet. Airlines are being squeezed, leaving travellers at greater risk of losing out on their holiday plans because of airline collapses.
People who book their flights independently are the most at risk from airline failure because package tour operators usually provide insurance cover against airlines going bust.
Saga’s cover offers up to £1,500 for each insured traveller, covering the cost of flights paid for in advance, or the cost of return flights to the UK.
Travel insurance: News update: January 2009