What is the difference between ABTA and ATOL and how do they protect your holiday?
WHEN it comes to planning and preparing to jet off on holiday there are a number of important travel essentials to consider.
One of which is ensuring you have the right travel protection and support if you’re ever faced with turbulent times when on holiday. Two terms you should be aware of are ABTA and ATOL - but what do they stand for? Here’s everything you need to know.
What do ABTA and ATOL stand for?
The excitement of preparing and planning for a holiday means we often get swept up in passport finding and packing, but forget to check our travel protection.
Before booking, holidaymakers should always check to see if their holiday provider is ABTA or ATOL protected.
Holidays are always a significant financial outlay that can run into thousands of pounds, so it’s worth taking a few simple steps to safeguard your hard-earned money.
Michael Budge, Head of ATOL at the UK Civil Aviation Authority
ABTA is the operating name of what was formerly known as the Association of British Travel Agents - the UK’s largest travel association that represents both travel agents and tour operators.
ABTA protection is designed to enforce standards and provide insurance in the event of financial problems for travel companies.
In addition to ABTA, holidaymakers may also come across a similar concept known as ATOL.
The scheme stands for Air Travel Organisation Licensing and was also designed to ensure consumers are covered if travel firms fall into financial difficulties.
The two organisations cover different kinds of package holidays depending on the mode of transport and firms can sell both ABTA and ATOL protected holidays.
What is the difference between ABTA and ATOL protection?
Both ABTA and ATOL are similar concepts that sit alongside one another.
However, ATOL is specifically designed to cover those who fly, whereas, ABTA covers road, rail, or sea travel holidays.
For example, Monarch Holidays customers were protected when the airline went bust in 2017 because they had booked flights and a holiday together through a provider with ATOL certification.
Most travel firms will have ABTA protection, those who also provide flights will usually opt for ATOL protection too.
If your holiday deal appears too good to be true, it’s important to check the protection and if there is neither ABTA nor ATOL listed then holidaymakers are recommended to avoid the offer.
What does being ABTA protected mean?
ABTA protection only covers holidays that involve rail, cruise or self-drive but not package breaks where flights are included.
For example, if a consumer was incorrectly sold a cruise holiday, then ABTA would be on hand to help rather than ATOL - unless the cruise holiday was sold as a package break.
According to travel insurance experts at the Post Office: ‘’ABTA protection means that if your travel company goes out of business, you will be entitled to a refund which includes hotel costs. If you are abroad, your transport home will be covered.
‘’It provides a quick, clear and simple process to follow, so you are able to continue your holiday as planned, or get your money back.’’
What does an ATOL protected holiday mean?
ATOL protection protects consumers who have booked a package trip that includes a flight - it is separate to travel insurance.
It covers holidaymakers in the event that their tour operator runs into financial problems, allowing their holiday to go ahead as planned.
Furthermore, if those problems happen while tourists are abroad, they will be brought back home and reimbursed for any extra expenditure incurred, replacing ATOL protected parts of their trip.
Michael Budge, Head of ATOL at the UK Civil Aviation Authority, explained, “Booking anything last minute inevitably means people making quick decisions but it is still important to do a bit of homework before you hand over your payment details.
“Holidays are always a significant financial outlay that can run into thousands of pounds, so it’s worth taking a few simple steps to safeguard your hard-earned money.
“By booking ATOL-protected packages, holidaymakers can enjoy their holidays with peace of mind, knowing their money is safe and they will be protected should anything happen to their travel firm.”
Holidaymakers planning to head off to their dream destinations can easily check if their flight package trip is ATOL protected by using the Check for ATOL tool.
Brits should always take out travel insurance to cover everything else on their trip.
If your holiday goes wrong for any reason other than the company being unable to fulfil their end of the deal, your personal holiday insurance will cover this.
What should you look for in a good travel insurance policy?
- Medical expenses - A good policy will give cover of £1million or more for travel in Europe and £2million or more for the USA
- Repatriation service - The costs of getting you back to the UK for medical reasons should be covered automatically by your policy
- Cancellation and curtailment - A good policy will cover you for £2,000 or more if you have to cancel or shorten your holiday
- Missed departure - Covers additional accommodation costs and travel expenses up to £500 or more if you miss your flight due to circumstances out of your control
- Delay - You'll usually be covered for £250 or more if your travel plans are delayed due to circumstances out of your control
- Baggage cover - Covers you if your baggage is lost, damaged or stolen. Look for policies that have cover of £1,500 or more.