| Journal: TWUK | Section: |
| Title: | Issue Date: 17/07/00 |
| Author: | Page Number: 55 |
| Copyright: Other |
Ski market
Looking for peak performance
Comprehensive policies offer improved cover for winter sports
TRAVEL insurance intermediaries are hoping for a strong ski market next winter after last season’s poor bookings hit policy sales.Hamilton Barr sales director Michael Pettifer said low bookings during Christmas and the New Year followed by the late Easter had affected bookings.
However, the ski insurance market has changed quite radically over the past five years.
Previously, most retail ski policies were simply single-trip insurance packages that could be extended to cover winter sports. They did not provide additional, specialist cover.
That has changed, with most insurers building ski hire, piste closure and cover for unused ski pack – shorthand for the prepaid lift pass, ski hire and lessons – into the package.
As an example, Extrasure’s TripSure can be extended to cover ski hire, ski pack, closure due to avalanche and piste closure for double premium, taking the net rate for nine days in Europe from £9.30 to £18.60.
ABC Holiday Extras’ single-trip policy will cover damage to ski equipment, ski pack and piste closure if the premium is increased from £9.67 net for 10 days Europe, to £19.34.
There is also a choice of specialist winter sports policies, such as One Ski 2000 offered by Hamilton Barr, Euclidian Risk Management’s Winter Sports and Ketteridge’s Ski-Guard. Typically, as well as the standard medical, cancellation and baggage package, these policies cover lost, damaged or delayed skis, the cost of hiring skis in resort, piste closure, avalanche closure and ski pack. Most also cover winter sports such as snowboarding, tobogganing and off-piste skiing.
Aon Suretravel sales director Simon Strong said: “We believe a dedicated scheme is a better product as it is targeted at a specialist market.”
Travel Protection Group chief executive Stephen Howard said: “Cover for no snow is important for skiers as a lack of it ruins a skiing holiday. We also get claims for broken and delayed skis. These benefits are not window dressing – they are there because they are needed.”
Pettifer said 7% of claims Hamilton Barr receives on its winter sports policy are for loss or damage to ski equipment.
Meanwhile, Preferential has extended its coverage to include snowblading, snowscooting – a mountain bike on a snowboard – and snowmobiling.
Managing director Steve Nickerson said:”These were all the rage in Les Arcs in France this year so we thought we ought to include them.”
For this year, Hamilton Barr is selling the Excel level of its One Ski policy as the main scheme, instead of promoting it as an enhanced cover as in the past. Meanwhile the Standard level becomes an economy-style product with no baggage and no money cover and lower cover in all other areas.
While sales of ski policies through agents are increasing, intermediaries agree that retailers do prefer to sell the ski package in the back of the brochure.
Citybond sales director Iain Chalmers estimated tour operators hold 60% of the ski insurance market but said this is falling and could plateau out at about 45% for tour operators.
“Agents prefer to sell the tour operator product because they like the idea that the reps are there to help if there are any accidents,” said Chalmers.
Nickerson added: “Many agents don’t ski, so they don’t understand the product. But they are missing out on commission as we offer net rates on our ski policy.”
All bases covered: winter sports policies increasingly cover every aspect of a skiing holiday
sample product
Skiing policies
Matthew Gerard: Ski Master. Covers ski equipment, £600; hire of skis, £200; inability to ski, £200; piste closure £200.Premiums: 10 days Europe – £21; 10 days US/Canada – £41.40.
Aon Suretravel: New Century. Covers ski equipment, £400; ski pack, £225; piste closure, £200; avalanche closure, £100. Premiums: 10 days Europe – £23.85; 10 days – US/Canada, £52.88.
Travel Protection Group: Wayfarer Ski. Covers ski equipment, £750; hire of skis, £250; ski pack, £250; piste closure, £200; avalanche delay, £250. Premiums: 10 days Europe – £17.20; 10 days US/Canada – £45.20.