ABTA and insurer International Passenger Protection have launched an insurance scheme to cover ABTA Principals.

The Supplier Failure Insurance for ABTA Principals will insure ABTA principals against losses from a supplier failure.

The cost of the cover will depend on a number of factors including the range and complexity of services, spread of turnover and other factors for listed suppliers.

IPP will consider these factors and then present a premium tailored to represent business model of each principal. 

ABTA head of finance Mike Monk said: “We are delighted to be able to team up with IPP  the leading providers of financial failure insurance to the travel industry. This product will provide a welcome safety net for ABTA principals who have always in the past had to carry the burden for supplier failure without means of protection. This is even more relevant in the current uncertain world economic climate.”

More news from the ABTA Travel Convention 2008