Travel Insurance - Terminal 5 Chaos: Travellers Told To Insure Luggage - 04/04/2008

The chaos at Heathrow Terminal 5 continued into the weekend, one week after the launch, as the number of bags declared missing or stranded hit 30,000 according to reports.

The scenario, reports said, has prompted experts into advising travellers to make sure that their luggage is insured before they head off.

Independent financial research company, Defaqto said travellers are better off purchasing the sort of travel insurance policy that will take care of their needs at a time like this.

Consultant for general insurance and Defaqto, Mike Powell, said it was important to check and be sure of what the travel insurance policy they purchased covered before travelling.

A study conducted by Defaqto, which considered a range of single-trip insurance policies to determine where insurance cover was provided for lost and delayed baggage, found that 14 per cent of policies do not offer cover for delayed luggage.

It also revealed that travellers whose bags are delayed often had to spend a lot on change of clothes, hygiene products or medication before finally getting it back.

The research further showed that 40 per cent of single-trip policies only provide a maximum cover of £100 or less for delayed baggage.

Meanwhile, an article published in the Telegraph suggested that each of the passengers whose flight was delayed or cancelled could be given compensation of up to £470 under the European Union regulations.

It argued that passengers could be given an option of refund of their original fare if they choose not to go ahead with the trip or free replacement flight to their destination.
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