Travel insurers criticized for handling of Mexico cancellations

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Which? Holiday magazine is saying that travel cover providers that refuse to compensate their customers choosing not to travel to Mexico during the current swine flu advisories are not acting reasonably.

Many holidaymakers who are following the advice of the Foreign Office not to travel to the country because of the H1N1 outbreak have found that they cannot make claims on their travel insurance.

Typically, travellers are offered alternative dates or destinations or dates by airlines and travel operators. Some customers do not want to change destinations and feel that they should be entitled to a refund.

According to industry estimates, up to 30,000 UK holidaymakers were due to travel to Mexico during April.

One Londoner, who had booked a trip to Mexico for his honeymoon, was hoping for a refund when he heard that the Foreign Office was advising Britons against travel to the country that was not essential.

What he found, however, was that his hotel, which he had booked separately from his flight, would only refund half of what he had paid, and the airline offered an alternative destination but no refund.

When the man checked with his travel insurance provider, he was informed that a claim was not possible as the policy did not cover cancellations made due to Foreign Office travel advisories.

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