Rise In Compensation Claims For Travel Companies

Rise In Compensation Claims For Travel Companies

Across the UK, there has been an increase in the number of compensation claims made against Travel companies over the last year.  Experts say this is as result of the fact that more holidaymakers are looking to get more value for money especially in the wake of the Post-Brexit economy.

The claims made vary between travellers seeking compensation for holidays that didn’t meet expected standards, to illnesses and injuries sustained while abroad.

Insurance claims are equally on the up.  In the last year, 560,000 Britons have made £383 million worth of medically related claims. Another 400,000 Britons have made claims of lost luggage totalling £8 million, a nearly 10 per cent rise in the figures for a decade ago in 2007. Flight cancellation claims have also risen by 24 per cent, with over 240,000 claims made.

Industry experts say medical claims are still the focal point of expenditure on claims for the travel industry.  The average figures have also continued to soar, highlighting a need for people to have travel insurance.

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Dubious Claims a Concern

Industry experts are warning against the rise in frivolous or dubious claims, especially relating to food poisoning. Travel companies say they have noticed a substantial rise in claims connected to holiday sickness. In the last 12 months, it is believed that thousands of UK holidaymakers have filed claims. The numbers are 15 times higher today than two years ago. Such claims set travel companies back to the tune of between £3,000 and £5,000 for each lost case.

Potential Problems for Travellers

Julian Walker at Spot Blue, a holiday home giant, says “these are worrying times for both travellers and the travel companies. The rise in the number of people making claims means that many companies are snowed under, without the manpower to deal with all claims and still deliver travel experiences to new customers.”

On the issue of dubious claims he said “it is a pity that many people are going down this route but it is understandable that many people are seeking for ways to get back some money in the current economic situation. Unfortunately, flimsy claims could lead to a decline in the availability of all-inclusive packages.”

“If the situation continues, travel partners around the globe will cut ties with UK travel companies or simply stop offering all-inclusive deals. Having to deal with such claims puts a lot of businesses joined in the all-inclusive deals under immense pressure and could lead to then being put of business. This is definitely going to impact the holiday experience for British travellers seeking adventure in choice destinations.”

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Should Travellers Shy Away from Claims?

As long as there is legitimate reason to file a claim, experts encourage travellers to air their grievances. However, continually pushing for refunds on flimsy grounds could spell disaster  for UK tourists.

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