Airline failures, refunds and pandemics: the future of passenger protection

In this IIL aviation webinar, Simon Phippard and Jordan Cooper talked about protection for passengers against travel company failure, the background to the UK Government’s airline insolvency review published in March 2019, the proposals which have been made and how the environment has changed over the last twelve months, including the impact of the Corporate Insolvency and Governance Act 2020.

The Monarch and Thomas Cook insolvencies have tested the ability – from both a practical and financial perspective – to protect UK travellers and holiday makers from the risks associated with the failure of travel businesses. Consumer protection varies across difference modes of travel and the existing regulatory regime has been adapting as the sector became more dynamic. Airline passengers contract their travel services through a greater variety of direct and intermediate platforms and there is a greater range of ways in which travellers’ source both specific services and 'packages'.

The second EU Package Travel Directive has covered a number of emerging issues, but some would argue not all. The Airline Insurance Review looked at some of these issues and proposed a number of mechanisms, such as the Flight Protection Scheme, to repatriate flight only passengers and a special administrative regime to enable airlines to continue flying after the point at which they would normally have to file for insolvency, but when their passengers are still overseas. Various changes to the Air Travel Organisers' licensing scheme were also put forward. Since then, the COVID-19 pandemic has put further strain on the travel industry as a whole and has emphasised the difference between protections applicable to different types of travel service. Many have noted that the current protection regime was not designed for a global economic crisis.

By the end of this webinar members would have gained an insight into:

• The background to the airline insolvency review
• Recommendations: The special administration regime and the flight protection scheme
• Developments in the last 12 months and other areas for possible change

Due to the interactivity of the event, places are limited (200 places) and will be allocated on a first come, first served basis.

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