Avanti Travel Insurance blog

4 Jul

Airlines may charge more due to fight compensation

Airlines may charge more due to fight compensation

Airlines may charge more due to fight compensation

It’s thought that airline prices could rise in the coming months, as a means to make up for the compensation paid out for delayed flights.

In light of the incident, one senior figure suggested that the price could rise by as much as £5 per passenger, with charter flights more likely to increase than those which are scheduled. These prices are, subjective, and the overall price rise would ultimately depend on the amount of travellers who are submitting claims.

Delays in charter flights are more than double the rate of scheduled flights, with technical issues amounting to majority of services pushed back by more than three hours.

While this may result in higher prices for future travellers on their holidays, it is proof that those making single trip travel insurance claims against delayed services are clearly getting a positive outcome.

Airlines forced into higher prices

Joanna Kolatsis, a lawyer at international firm Hill Dickinson, said that airlines are forced into this because there is no other method of recouping the funds. She said: ‘There is simply no other way for airlines to recover the costs. Ryanair implemented a Regulation 261 levy on tickets and, while unpopular at first, it has gathered growing sympathy among airlines.’

One example of this persistence in compensation claims comes after James Dawson was awarded £975 after he experienced a delayed flight more than six years ago. Thomson, the airline provider who Mr Dawson had been travelling with, has appealed against the ruling through the Montreal Convention – which says that there is a two year-limit on claims.

This news shows the undoubted importance of securing over 50s travel insurance packages in good time before your holiday, giving a higher chance of being protected against any issues that may unexpectedly arise.

Image Credit: Emilio Labrador (Flickr.com)

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