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Volcanic ash fallout creates interest in premium travel insurance cover

Article by Simon Christopher
Posted: 23/4/2010 - Last updated: -
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One price comparison website is reporting that the aftermath of the volcanic ash clouds from Iceland has not only led to more interest in taking out travel insurance, but has prompted more people to consider so-called "premium policies".

That name doesn't refer to the money paid by the policyholder, but rather the level of cover taken out and the type of optional extras added to the policy. These include cover for delays, both in terms of compensation for lost holiday and in covering expenses that are incurred such as hotel costs.

According to Moneysupermarket.com, traffic to its travel insurance site rose 26.56% during the time that flights were grounded. As it's a price comparison site, this appears to be down to people actively seeking to take out insurance, rather than merely checking up on existing policies.

It's important to note that while events such as the ash clouds will focus people's minds on the general issue travel insurance, such freak events aren't always covered. They can be classified as a disaster or act of God, which is why prospective travellers must always check the small print.



PLEASE NOTE: News items are intended for information only and should not be relied upon when making insurance decisions. Due to their nature, some of the information in these news stories including any references to taxation, legislation, regulation, or other issues may no longer be current.

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