Travel insurance rarely covers airline failure2 July 2010
Only a quarter of travel insurance policies offer cover if the policy holder is stranded because their airline has gone bust, according to a new study.
The research by Defaqto found 77% of travel insurance policies do not cover airline failure.
Even insurers that cover airline failure may only offer a refund for the missed flight, and not for other components of a holiday such as accommodation and pre-booked activities.
source: Finance Markets