What if an airline goes bust?

[Ari]

We're looking to book a holiday in Cyprus later this year, but we can't find a package holiday suitable for our required dates.

We can find an airline that goes from our preferred airport on our preferred dates (Easyjet), and we can find a hotel we like, so we could book them seperately.

But where does this leave us if (for example) the airline went bust whilst we were out there? If it were an ABTA package presumably they'd get us back, but if we book it ourselves? Or what if it went bust before we flew? We'd get the cost of the flights back but I guess we'd be stuck with paying for a hotel we can't reach.

Less worried about the hotel because if there were a problem there we could claim it from the credit card company and just book in somewhere else (presumably), but bit concerned about the whole airline thing.

Any suggestions?

[Puggit]

Easyjet isn't about to go bust...

http://en.wikipedia.org/wiki/EasyJet#Business_and_...

[Deva Link]

Ari said:

Less worried about the hotel because if there were a problem there we could claim it from the credit card company

You could have an issue if the airline goes bust, or, for example, there's an ash cloud, and you can't fly out. You might still be liable to pay the cost of the hotel.

Ari said:

Any suggestions?

Get travel insurance with Independant Traveller cover and make sure it includes scheduled airline failure.

Edited by Deva Link on Thursday 26th August 22:22

[Ari]

Interesting, thank you.

[chard]

Ash cancelled my trip to Portugal earlier this year. Easy Jet refunded straight away. Hotel and car parking refunded by ins co (Halifax)

[cjs]

Yes, get some independent travel insurance and pay on a credit card, some cards do have travel insurance 'built in', so check.