Insurance info if Thomas cook goes bust
 

I’m hoping not to cause alarm here. But we have a flight booked with Thomas cook separate to our Disney holiday so it’s not a package.
Hopefully Thomas cook will sort out its problems but in the worst case scenario and they went bust would we be able to claim on our holiday insurance, which is an annual Barclays insurance, for the accommodation part of our holidays. Do we need a separate insurance or an add on. We paid for our flights with a credit card so that does not worry me.
There’s a lot of talk on the tv about takeovers etc. So I’m hoping it gets sorted and not hoping to cause alarm.

I would phone Barclays insurance and check. Sometimes you need an add on to cover cancellations due to airline failure. Some policies even have exclusions for DIY holidays.
Although the holiday would be cancelled by airline failure, your insurance may say otherwise as they always try to pass the buck. Of course they will also look into the cancellation policy for the hotel, so if you booked via Disney holidays and had to cancel in time, they would only cover the £50 deposit per person. Often tickets etc arent covered.

Update. I contacted Barclays and I’m not covered for any part of my holiday if Thomas cook went bust. They don’t have an add on for companies going insolvent.
Does anybody know were you can get this cover.

I have paid for my flights with a credit card but the dilemma is paying Disney my balance in June. If I pay with a credit card will that give me cover.

I also have flights book for September and I'm starting to get a little worried now!:cry:

We just have to hope another airline takes them over or, they find the finances they need :confused2

The problem you'll have now is that it's in the public domain that they are in doo doo, so any insurance company with a bit of smarts isn't going to pay out on them going under. I would be slightly more reassured that the fact they are so big and there is so much interest from other businesses in them that they wont fold, they'll get bought out instead. The market, particularly at this time of year, is too lucrative to let them slide. I know it's easy to say from someone unaffected by their issues, but if I was in your situation I genuinely wouldn't be stressing too much.

At this stage in Thomas Cook's affairs the answer would most likely be nowhere as I don't think that any underwriters would take on the risk.

I've booked through holiday extras, booked from a Moneysupermarket search. Paid £84 for the family for 3 weeks, so not the cheapest, but was rated highly.

Policy states.

A2 If your scheduled airline stops trading
Cover for any amounts already paid and unused for your flight if the scheduled airline on which you are booked to travel stops trading before your departure. £1,500

Conditions

 your flight is booked independently of your accommodation and you have not been
offered an alternative/refund from any other agent.
 the scheduled airline is not in administration or, in the USA and Canada, in Chapter 11 at the time of taking out your policy.

We’re in the same boat, October flights with TC paid with credit card, holiday direct with Disney balance due August.
The worry and uncertainty is affecting the planning procedure, and starting to put a dampener on things.
I’m sure lots of others are feeling the same. 🤞

The problem now is- unless flights are REALLY cheap (adding to the lack of profitability for them) who is going to book?
Some may book if the deal is good enough, particularly for say 2020 thinking if Virgin takes over all well and good I get a great deal, and if it goes bust in the interim then I can get something else.
Problem is if it drags on in a death spiral into next year- imagine then having flights and it's getting worse as it's nearing your flight. Squeaky bum time then.
I think I'll avoid, and I've flown with them from Manchester many times and they are good- it's a shame because if say Virgin do buy it, I'm sure the already sky high prices in Manchester will get worse.
Hopefully they'll get a sale soon, but if it looks like it's going under buyers will wait to pick up the slots when it's in administration. Let's also hope it can secure the £300m in funding.