Insurance Policies For Ash Cloud and BA Strikes

The UK is approaching its busiest time of year for travel, and with the threat of more volcanic ash cloud chaos and BA cabin crew strikes back on again, many are wondering how much their insurance policies will protect them.

Many British insurance companies are now warning that policies bought after the first eruption on 15 April are unlikely to cover the cost of disruption if they are affected by the ash cloud. Some of those that did initially pay out, but have now closed the door on future travellers include: Aviva, Axa, Barclays, Churchill, EasyJet, Direct Line, Halifax/Lloyds Banking Group, More Than, Nationwide BS, Natwest (Advantage Gold customers are still covered), Ryanair, Tesco, Thomas Cook, Thompson and Virgin Money.

The reason for this is that insurance companies have a get-out clause covering ‘known events’. In other words, customers would have known and understood the risks of travelling when they booked their holiday, therefore they cannot claim for any further disruption.

Those that are still willing to pay out are currently: Columbus Direct, Direct Line, HSBC, John Lewis, M&S Money, Saga and Santander.

What’s more, despite a high court injunction earlier this week, British Airways union has fought for the right to strike which could mean “extensive disruption for potentially hundreds of thousands” of travellers.

Some elements of trips booked before the strike was announced may be covered by travel insurance, but passengers will again need to check individual policies to determine their course of action.

So choose your travel insurance carefully. The ash cloud could continue for some time and BA strikes are now inevitable so it’s best to check with your insurer before you buy a policy.

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