SCHEDULED AIRLINE FAILURE INSURANCE (SAFI) AND SUPPLIER FAILURE COVER (SFI)

SAFI and SFI is paid to the insurance company where a payment is made to a supplier from the PTS Trust Account before the consumer returns from their holiday.

Scheduled Airline Failure Insurance (SAFI): Covers all Airlines listed as available to use on the PTS system. This includes low-cost Airlines. Charter airlines are only covered by special arrangement.

Supplier Failure Insurance (SFI): Covers all Third-Party Suppliers listed on the PTS system as available to use excluding Airlines, consolidators and flight brokers. If an airline or Third Party

Supplier is not listed, you can request PTS to obtain approval for the airline or supplier to be paid in advance of travel by contacting MTG admin.

Package Travel Regulation Compliance (PTRC)

This insurance is provided to PTS members to ensure that they meet the Package Travel and Linked Travel Arrangements 2018 and ensures that in the event of the insolvency of the organiser, we cover the costs of repatriating the Consumer who has purchased the relevant package and, if necessary, financing the Consumer’s accommodation prior to the repatriation.

The insurance will cover all consumer bookings placed onto the PTS system by the PTS member and where funds have been paid into the Trust Account.

INSURANCE COVER

On the insurance cover, subject to the other terms, conditions and exclusions of the Policy, it is for the avoidance of any doubt agreed that:

1. The insurance will reimburse You (the PTS Member) for payments PTS has made or reimbursed up to the amounts We (the insurers) have agreed to cover as detailed in the relevant sections below provided that no other bond, insurance or other means of mitigation covering such amounts claimed is provided. If another bond, insurance or other forms of mitigation is provided for Your benefit but is insufficient to cover in full the amounts that are otherwise claimed and agreed under this Policy to be paid to You, then We agree to pay You in excess of the amounts recoverable under such other bond or insurance, up to the maximum sum insured or the holiday cost whichever is
2. The Cost incurred and loss to You will be calculated by reference to the Consumer invoice/ticket sum or amount issued or invoiced that You refund to Your
3. Credit Card Chargebacks charged to You will be covered for amounts paid into the PTS Trust Account where the chargeback is caused by airline or Third Party Supplier
4. No cover and no amounts otherwise agreed to be paid will be provided under this Policy unless you have first taken all reasonable steps to mitigate Your loss, including in this respect Your applying for repayment of monies by way of any rights You may have in respect of the Payment Instrument used to pay for the affected Travel This includes (without limitation) any rights You may have under section 75 of the Consumer Credit Act 1974 or any other rights You may have otherwise to initiate a chargeback or refund or otherwise seek repayment of monies under any applicable Card Scheme Rules and whether in respect of a virtual credit card or otherwise.

SAFI: In consideration of payment by you of the Premium due to Us, We will indemnify You, unless otherwise stated, up to the ticket price paid or the maximum sum insured whichever is less, total for each Consumer (s) in respect of:

1. The cost relating to Scheduled air flights necessarily and unavoidably cancelled prior to the departure of the Consumer(s) from the United Kingdom or their country of domicile due to Insolvency of an Airline as defined below on which the booked trip depends in respect of deposits or charges paid in advance by or on behalf of the Consumer (s) which are forfeited by the Consumer (s)OR
   
2. The costs relating to Scheduled air flights in the event of curtailment due to
   • Insolvency as set out in 1) above whilst the Consumer is on the booked holiday/trip, those costs being of a similar standard to the originally booked flights.
   • Cover under this section is only applicable in respect of the costs relating to scheduled air flights (excluding all pre-booked tours).
   • The Policy will only cover the cost of the original flight paid or the sum insured whichever is less
3. Repatriation: under this section of the Policy, We will cover the cost of repatriation of Your Consumers to their original point of departure where Your Consumers’ trip is curtailed after departure because one of the Third-Party Providers of Your Consumers’ Trip has become Insolvent and it is not possible to replace the unavailable travel This cover is subject to there

being no other bond or other insurance provided for Your benefit that responds to such a claim or is insufficient to meet a valid claim.

SFI: In consideration of payment by You of the Premium due to Us, We will indemnify You, unless otherwise stated, up to the holiday price paid or the maximum sum insured whichever is less, in total for each Consumer(s) in respect of:

1. The cost incurred by You relating to any paid and non-refundable section of the Travel Arrangements on behalf of the Consumer(s) and whose name appears on the invoice, which is necessarily and unavoidably cancelled prior to departure of the Consumer (s) from the United Kingdom or their country of domicile, due to the insolvency of a Third-Party Provider OR 2) The cost incurred by You relating to curtailment of any non-refundable part of the Travel Arrangements on a pro-rata basis due to the insolvency of a Third-Party Provider whilst the Consumer(s) is on the Arranged

In respect of all Cover Options:

a) No sums shall be paid to you unless the original consumer payment has been paid into the Trust Account.

b) No sums shall be paid to You under Your Policy if such sums may be recovered from a third party by any other legal means including any bond, trust account, insurance or

c) In the event of one or more Third-Party Providers becoming Insolvent, all efforts should be made by You to replace the element with one of a similar or equivalent standard so that the Consumer(s) can proceed with their trip. Replacement cost must be obtained at the cheapest alternative available. You are under a duty to act as a prudent uninsured and should always look at the equivalent class of flight and at the cheapest option available; should this be more expensive than the original flight price You will be covered as long as the cost does not exceed the costs to the relevant Consumer(s) of the Travel Arrangements so booked for the Consumer(s). If the only option is for a same class flight from a different airport, then the cost of transporting the Consumer will be taken into consideration along with the flight cost but this total cost claimed must not exceed the original holiday price for the Consumer(s). Therefore, in respect of the replacement of the component supplied by the Insolvent company this cannot exceed 100% of the original cost of the holiday price per

d) For the avoidance of any doubt, if under this Policy We agree to pay You sums by way of replacement or repatriation costs or any other sum by way of cost under any of the cover options. We shall only pay such sums up to the amounts stated/the sums insured or up to the cost of the Travel Arrangements so booked for a relevant Consumer, whichever is the lower