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Reports and publications. ATOL was first introduced in , as the popularity of overseas holidays grew. After a number of high profile travel business failures left people stranded overseas the UK Government realised consumers required protection when their travel providers fell into difficulties. ATOL currently protects around 20 million holidaymakers and travellers each year. It will support consumers currently abroad and provide financial reimbursement for the cost of replacing parts of an ATOL protected package.
The scheme is designed to reassure consumers that their money is safe, and will provide assistance in the event of a travel business failure. This fund is used to refund, repatriate or reimburse travellers for the cost of repaying for the affected parts of their trip. This money creates a fund that will support consumers to minimise disruption to their holiday or, if they are no longer able to travel, provide a full refund for the holiday.
It will provide support so that you are not at a financial loss or without assistance abroad if your ATOL holder ceases trading.
After a number of travel business failures left people stranded, the UK Government realised consumers required protection when their travel providers fell into difficulties.
The scheme was designed to cover charter flights and package holidays, and functioned well for years. However, the holiday market changed considerably and the scheme was overhauled in and again in to keep pace with these changes. ATOL stops you losing money or becoming stranded abroad if the travel business you booked with collapses:. UK law says your holiday must be protected if you book a package. The law says your holiday must be protected if you book a holiday with a single travel firm that includes:.
The scheme also applies to some flight only bookings - usually those where you book flights including UK domestic flights but do not receive your tickets immediately. This is most common with charter flights, but can also apply to discounted scheduled flights or where you pay for flights in instalments. Please note that ATOL does not apply to flights booked directly with scheduled airlines or to flights booked with airline ticket agents.
If you purchase an airline ticket from an airline or travel business and you receive a valid ticket in exchange for payment, ATOL does not cover this flight sale. If a travel business sells an LTA, it must inform you that this is the case and what protection you may have. UK law requires travel businesses to financially protect their package holidays. If you are not sure, ask your tour operator or agent to tell if they offer ATOL protection.
This allows you to check that the travel business you are booking with is an ATOL holder. The law says you should be given an ATOL Certificate to show that if you are protected by ATOL as soon as you have booked and paid any money towards a holiday or flight. It explains what protection you have and what to do if your travel business collapses.
As well as the logo, there should be a four or five-digit number — this is its unique ATOL number. But, remember, only air package holidays and some flight-only bookings made with this company will be protected, not items such as accommodation on its own. Many travel companies will promote the fact that a holiday is ATOL protected along with other details about it. When you receive this certificate, make sure you give it a once-over to make sure all details are correct.
If you do not receive a certificate, chase it up with your travel agent or tour operator in the first instance. If you are not happy with its response, you can email atolcertificates caa. Travel companies are required by law to pay this fee, not customers. However, some travel companies may choose to detail this ATOL fee on a receipt.
While the ATOL scheme will provide financial protection for certain elements of your holiday, it is not a substitute for travel insurance. When taking out travel insurance, look for comprehensive policies that include either end supplier failure cover or scheduled airline failure. These should protect you if one of your travel companies goes into administration — but, before you commit to a policy, read the terms and conditions carefully as some airlines, as an example, may be excluded.
If you can, pay by credit card to benefit from financial protection under section 75 of the Consumer Credit Act. This says that if something goes wrong, such as your travel company going out of business, the card provider must take equal responsibility alongside the retailer. Therefore, if one of your travel companies goes bust, you could contact your card provider to claim your money back.
You may even be able to claim for associated additional expenses you incur, such as a return flight home.
It also still applies if you just put the deposit on the card. Its 4,plus travel brands members must abide by its Code of Conduct and are protected financially should a company fail. These include coach and rail holidays, and even some other travel arrangements that are not packages. Select Region. United States. United Kingdom. Advisor Travel Insurance. Advertiser Disclosure.
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