Following Australia’s Department of Foreign Affairs and Trade (DFAT) announcement that Air Australia have gone into administration (statement below), Chartis Insurance has confirmed that, depending on the type and level of cover purchased, some of their leisure travel insurance clients affected by this event will have cover. The policies covered are listed in a client notification document, available on the Chartis website www.chartisinsurance.com.au.
Despite major insurers generally excluding “financial default” from travel policies, Chartis has confirmed that such cover is included in some of its leisure travel policies.
“Chartis recognises the difficulty and inconvenience Air Australia customers are currently experiencing”, stated Mark Kopec, Australian General Manager – Leisure Travel. “I can confirm that we have classed the action by Air Australia as ‘random and unforeseen’, which means that clients holding certain leisure travel policies affected by this event will be covered. We are doing everything we can to help get people home.”
Travellers who purchased or arranged cover after midnight on 16th February, 2012 would not be covered because the situation had occurred and had been widely reported in the media.
Chartis customers should be aware that several airlines are pledging to match the cost of Air Australia flights for passengers currently stranded in Australia and overseas. Passengers should check with airlines, such as Jetstar, for possible financial entitlements prior to lodging a claim. Customers should also check with their travel agent and/or accommodation provider to see what costs would be met or refunds made. Credit card providers could also be contacted to arrange a refund on flights unable to be honoured by Air Australia. Should clients have any queries regarding coverage, they are encouraged to contact Chartis Travel Insurance on 1300 295 016 or +61 3 9522 4047.
Chartis clients are also advised to review their policy wording prior to submitting a claim as there may be additional costs outside these provisions that can be met by the insurer and exclusions may apply.
Australia’s Department of Foreign Affairs and Trade (DFAT) advises (17 February, 2012):
“All Air Australia flights have been grounded as a result of the company being placed in administration. See the Air Australia website for information for affected travellers. Australians affected by the cancellation of Air Australia services from Phuket, Denpasar and Honolulu should get in touch with their travel agent and/or insurance company to organise alternative flights.”
Monday, 20 February 2012
Chartis Insurance providing cover for customers affected by Air Australia going into administration
Source = DFAT