Can I get my money back if my airline goes bust?

Supplier failure holiday protection: Can I get my money back if my airline goes bust?

Following the announcement that Flybe has now ceased trading and all flights from and to the UK operated by Flybe have been cancelled and will not be rescheduled, many travellers will be wondering what they should do, or how they can get their money back. 

With this in mind, Anna McEntee from the travel insurance team at Comparethemarket shares some tips on what travellers should do if their airline goes bust:  

"If your airline provider goes bust it can be a stressful time, and if you've booked your flights directly from the airline, you may not have the same financial protection you would with a package holiday. This is because independent travellers who book different elements of their trip separately are unlikely to be protected by ATOL or ABTA. 

But it may be possible to salvage your hard-earned break, or at least get your money back.  

If you bought the flights directly from the airline, you'll need to see if you can claim on your travel insurance. If you've booked independently of a holiday package provider and have a travel insurance policy with end supplier failure, you may be able to claim back the cost of your holiday if, say, a hotel or airline goes into administration.  

Supplier failure protection can offer additional cover for elements of a holiday that were booked separately and cover typically ranges from £1,000 to £2,500 per person. Not all policies include this level of cover though, so it's important to check before you buy. You may be able to add end supplier failure cover to your policy at an extra cost.  

It's also important to buy your travel insurance policy as soon as you've booked your holiday, rather than leaving it until the last minute. That way if your hotel or airline goes out of business before you travel, you may be able to make a claim. 

Travellers who have booked flights independently may also be able to claim money back for flights that will no longer go ahead under Section 75 of the Consumer Credit Act, if they were purchased using a credit card. To make a claim, you'll need to have paid more than £100 (and less than £30,000) for your holiday and/or flights and booked directly with the package provider or airline." 

For more information on protecting yourself from End Supplier Failure or what to do if your airline goes bust, please visit Supplier Failure Holiday Protection | Comparethemarket