CORONAVIRUS AND TRAVEL

YOUR QUESTIONS ANSWERED

SHOULD I CANCEL MY HOLIDAY?

This is by far the most common question we are hearing from readers. Things have been simplified to some extent by the Foreign Secretary’s announcement on Tuesday advising against all but essential travel overseas for the next 30 days. This effectively means that all holidays with departure dates until just after Easter will be cancelled anyway. We will have to wait and see if that advice is extended, but in the meantime, different companies are operating different cancellation policies. See telegraph.co. uk/tt-coronarefunds.

For holidays booked further ahead, the situation is more complex. If you have paid all the cost of your holiday already, there is no point in cancelling, because you are likely to lose your money if you act unilaterally. Instead, wait and see if it is cancelled anyway. If you have paid a deposit for a holiday and the balance becomes due, it may be better to cancel, sacrifice the deposit and limit the damage.

WHAT IF MY TOUR OPERATOR OR AIRLINE CANCELS?

You are entitled to a cash refund – though see the issue around credits, below. If, however, like many people, you have booked your accommodation independently of your travel arrangements, the situation is not so straightforward. Some online agents, such as Expedia and Booking.com are allowing refunds in some circumstances, but legally speaking you have entered a contract with the accommodation and if you don’t show up, you have to pay. Some travel insurance policies do cover this situation under a “travel disruption” section of the policy, but most don’t.

Other services you may have already paid for, such as car rental, rail tickets and ski passes, would be covered under this insurance provision. If you don’t have cover, you are at risk of losing your money and will have to contact each company direct to see if they are willing to offer a refund or for you to rebook for a later date.

CAN MY TOUR OPERATOR OFFER ME A CREDIT RATHER THAN A REFUND?

Refusing to give a cash refund and offering a credit note for a future holiday instead seems to be a trend, especially among ski operators, which have been cancelling holidays in recent days. Several – including Inghams, Esprit and Ski Total (which are all owned by Hotel Plan), as well as smaller operations such as VIP Ski and Alpine Elements – are taking this approach.

However, the

Consumers’ Association believes that this is not legally justifiable. Rory Boland, editor of Which? Travel, said: “The rules around package holidays are clear – if extraordinary circumstances mean a trip has to be cancelled, then the operator should refund the traveller, so it’s very concerning to hear reports that some are refusing to offer refunds to people who want them.” He went on to say: “While operators don’t have to pay compensation for cancellations because of coronavirus-related travel restrictions, they are still legally obliged to give customers a full refund. If any are found to be breaching the rules, the CAA [Civil Aviation Authority] must step in to ensure customers aren’t being left out of pocket.”

The problem, as Which? acknowledges, is that the financial strain of meeting current rules is putting huge pressure on travel providers. It has called for government help to see them through the crisis.

WILL THE CRISIS FORCE TRAVEL COMPANIES OUT OF BUSINESS?

The current situation is an existential threat to travel companies, from small hotels to car hire firms, and airlines and tour operators large and small. Travel businesses depend on a steady flow of cash from new bookings to keep them afloat. They have not only lost that income, but many have had to pay the cost of emergency repatriations and are having to refund cancelled bookings. At the same time, they have to pay staff and meet running costs. It seems certain that government help will be needed to keep them afloat until people start travelling again.

IS MY MONEY AT RISK?

Even if companies do fail, any money you pay or have paid for a future holiday or travel service will be secure as long as you book with a credit card (and the total cost is over £100). If the company goes out of business, the card issuer will be responsible for refunding you. It won’t, however, pay for any additional costs you might face if you are stranded abroad because of a company failure. For full protection, which would also cover this, you need to book a holiday with a tour operator that is bonded by the Government-backed Atol scheme (caa.co.uk/ atol-protection).

WHEN SHOULD I RESCHEDULE MY HOLIDAY OR FLIGHT?

This is one of the hardest questions to answer. If you are in one of the high-risk groups, you won’t want to think about booking anything within the next four to six months at the earliest. For the rest of us, the timescale is hopefully a little shorter, but no one can be sure. On pages 5-7 are examples of holidays you might consider booking now – they are popular destinations and itineraries that book up a long time in advance and they are for departures in the late autumn onwards.

WHAT IF I TRAVEL ABROAD DESPITE GOVERNMENT ADVICE?

You will have no insurance cover. If you fall ill in an EU country, you will be entitled to free or low-cost treatment under their health system if you have an EHIC card, though bear in mind that the medical system is likely to be highly stressed. Outside the EU, you will have to pay for your own treatment. You will also have to pay the costs of repatriation if anything goes wrong. In short, it’s a very bad idea, especially since many countries are in virtual lockdown and travel is difficult and disrupted.

CAN I TRAVEL WITHIN THE UK?

Although the Government has called for everyone to avoid gatherings and crowded places, and for those in higher-risk groups or showing symptoms to stay at home and be shielded from social contact where possible, there is no ban preventing people from jumping in their car or on a train for a weekend in an Airbnb by the sea, a week in a cottage in the Lake District, or a camping trip to Cornwall, say. Of course, it won’t be the same as usual: pubs, restaurants and attractions are likely to be closed. The advice could also change overnight and we might end up in a situation like in Italy, where almost everyone is required to stay at home for at least two weeks.

SPLENDID ISOLATION The Government has called on everyone to avoid crowded places