الأحد، 30 أكتوبر 2011

Insurers may not pay up

STRANDED Qantas passengers could be left without recourse to their travel insurance for flight cancellations because they took the policies out after unions warned of strike action.
Travel insurers Allianz Global Assistance and CoverMore confirmed over the weekend that policies taken out on, or after, October 13 would not cover travel, accommodation and food expenses arising from the grounding of the nation's largest carrier.
"Due to the extensive media coverage of the strike action by Qantas employees, there is no cover for any expenses relating to the strikes and associated flight cancellations for policies issued on, or after, 13 October," Allianz said in advice updated yesterday.
Christopher Zinn, campaigns and communications director at consumer group Choice, said many passengers would be left without cover because insurers saw industrial action as a foreseeable event.
Qantas has promised accommodation, meals and transfers for passengers in transit and refunds or credits for those yet to travel, with insurers paying "reasonable" out-of-pocket expenses over and above those paid by the airline.
"But there's no way there's compensation for the angst and the distress of missing someone's wedding or funeral," Mr Zinn said.
The flight plans of more than 68,000 people have been thrown into disarray since Qantas grounded its fleet on Saturday.
Most travel insurers yesterday were yet to publish advice online on whether customers affected by the industrial dispute would be fully covered.
But many, including QBE Travel Insurance -- which is promoted by Qantas through its frequent flyer scheme -- have in the past warned of policy exclusions for flight change or cancellation claims where Qantas strike action was foreshadowed.

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