Your rights if an airline or travel company goes bust

In every industry, customers must need protection. The aviation industry is not an exception. Therefore, you need to understand what you are entitled to before you book a flight or make holiday plans with a travel company. It is important because sometimes an airline may go bust as was the recent case of Thomas Cook, a famous airline company. Before booking or going into any agreements, ask the critical questions.

First, it is essential to understand if your airline or travel company is registered and licensed. If so, it will imply that you will get a refund in case of anything. In addition to that, people who are abroad at the time the company shuts down will be able to get home. It only applies to licensed companies, and that calls for you to do a background check.

If you are traveling on a holiday package, the provider or the airline should also be licensed. That means should anything happen you will be protected, and your finances are safe. Besides, you should receive an invoice from the airline or tour operator indicating that they are licensed. You should then ensure that the invoice is secure as evidence of protection.

You should also understand that if your airline fails while away for a holiday, you will get home. Those that have their tickets ready but have not traveled will either receive a refund or get a replacement holiday from their airline or travel company. However, you should not expect to get home at the same time as planned earlier. You may be asked to extend your holiday as plans to get you back are put in place.

If you book an airline without following the licensing rules, it may be different for you in case of anything. First, the licensing body will not recognize you, and hence, you are not protected. That means you will book another flight by yourself and other essential things like hotels. These are the main things you should understand for cases where an airline goes bust.