Protect yourselves, agents are told as Brindabella folds
The Australian Federation of Travel Agents (AFTA) and its insurance broker, Gow Gates, have warned retailers of the need to financially protect themselves as the industry deals with the collapse of another airline.
AFTA said the failure of Brindabella Airlines was a timely reminder that insurance products are now in the market to protect agents against airline insolvency.
The policy was launched last month in collaboration with AFTA, Gow Gates and UK-based International Passenger Protection (IPP).
Gow Gates said it had been “inundated” with request from agents for the Airline Insolvency Insurance which protects against credit card chargebacks and provides “peace of mind” for consumers.
“Everyone in the travel industry has bad memories of the past airline failures, in particular the more recent collapse of Air Australia,” AFTA chief executive Jayson Westbury said. “One of the best things about these new [insurance] products that are now available is that agents can get protection against this exposure.
“Nobody likes a bad story like this one, [but] at least agents have a way forward with the protection on offer and customers will also benefit greatly.”
Gow Gates chief executive Chris Mackinnon, described the collapse of Brindabella as a “timely reminder” of the need for agents to “protect their bottom line” against credit card chargebacks.
Taking out cover will also enable agents to “come to the rescue of their passengers by refunding and repatriating passengers”.
Email the Travel Weekly team at traveldesk@travelweekly.com.au
afta airline insolvency brindabella airlines gow gatesLatest News
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