Three-quarters of the 11 million holidaymakers who will self-package this summer do not realise their trips are financially unprotected, the Civil Aviation Authority has revealed.
It launched a consumer media campaign this week to warn holidaymakers that DIY holidays without ATOL-protection are at risk if something goes wrong. Ironically, the CAA also found 46% of those booking DIY holidays rate financial protection as essential.
The survey found one in three DIY holidaymakers believe travel insurance will cover them, and 11% believe paying by credit card offers insurance.
The CAA points out most travel insurance policies do not protect against company collapse and credit cards only cover transactions worth more than £100 – and that will apply to each element of the holiday, not the total price.
A spokesman said: “We need to educate consumers of the risks. If they want protection they should book with an ATOL-protected company.
“Booking with one company does not mean having to compromise flexibility. We urge consumers booking DIY holidays to take out their own financial protection.”
The CAA will advise consumers to look out for the ATOL logo on websites and in brochures, or to check with an agent. It will evaluate the success of the campaign before deciding on further activity.
A spokesman for ABTA welcomed the initiative, but added: “We don’t just need a one-week campaign; we need to point this out all the time.”
The survey was based on a sample of 2,400 adults, of whom 24% said they would book a holiday as separate components this year.
- The CAA is awaiting industry responses to its proposal for a £1 levy on packages to boost consumer protection funds
(Travel Weekly April 7). The deadline is May 19.