SKI insurance policies are set to be reviewed and prices increased after clients found they could not claim for a ruined holiday or cancellation during the recent avalanche crisis in the Alps.
Ski policies provide cover if there is no snow, paying either expenses if clients can be moved to another resort or compensation.
However, the majority do not pay out for piste closure or unused ski packs (prepaid lift pass, ski hire and lessons) if clients can’t ski because there is too much snow.
“We have concentrated on the risk of no snow because we have never had a situation where there is too much,” said Suretravel managing director James Beagrie. “There are lessons to be learned.”
Matthew Gerard director David Fox agreed: “We are getting queries from people asking what they are covered for and there is no cover if there is too much snow. We will have to change that.”
Thomas Cook announced on Watchdog that it would now change its policy to reward those affected by ‘adverse weather conditions’.
This policy is already taken by a handful of specialist companies offering insurance such as The Ski Club of Great Britain, JS Insurance Management and Hamilton Barr. The Ski Club of Great Britain, for example, pays up to ú200 to clients who are on standard Club Cover and are affected by avalanche piste closure – those on Super Club level can claim up to ú500 and also ú30 per day (up to ú300) for piste closure.
Hamilton Barr sales director Michael Pettifer added: “Clients with our Skisafe Excel [the higher of two tiers of cover] get ú35 a day if they can’t ski because there is too much snow.”
Ski policies also failed those who had booked but had not yet departed to go on holiday and wished to cancel and claim a refund. Operators said clients could have claimed if the Foreign Office warned against travel but the FO merely told skiers to negotiate and seek advice from the operator with which they had booked.
First Choice Ski marketing and planning manager Adrian Harwood said that he had not heard of clients calling to cancel and gain a refund. However, he added that most of its clients tended to take out insurance with high street travel agents.
“First Choice has been offering clients alternative resorts and if they have to stay in cheaper accommodation we will refund the difference,” he said. “But if they cancel, we won’t give their money back.”
Citybond sales and marketing director Iain Chalmers said: “We have had clients who want to cancel, but they are not covered. We will have to look at this and review cover. That could lead to an increase in premiums.”
But it is not just clients and insurance companies who are the worst off. Tour operators are facing a huge bill – one which Inghams sales and PR manager Laurence Hicks said cannot be underestimated.
“We have had to foot the cost of the additional beds for those stuck in resorts, as well as new transfers and flights to bring our clients home. The larger operators have the resources to cope, but it is questionable whether the smaller operators can survive.”
Advice supplied by The Ski Club of Great Britain