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  • Writer's pictureranhyn

How to increase your peace of mind when making travel arrangements - the Insolvency Fund

Updated: Feb 9, 2022


At the bottom of our front page you will see the logo of the Insolvency Fund, to which our company is subscribed.

What is insolvency? Insolvency is the state of being unable to pay money owed, by a person or company, on time (definition - Wikipedia).

Insolvency Protection is a European Union mandatory requirement. The fund provides security to consumers who buy a travel package from a travel package organiser (travel agent) subscribed to the fund in the event that the agent becomes insolvent. The fund covers the refund of money paid upfront for services as well as for the repatriation of the travellers should the organiser become insolvent when they are abroad.

What is a travel package? A travel package comprises two or more travel-related services that are advertised and sold in a package, e.g. transport and accommodation, when the service covers a period of more than twenty-four hours or includes overnight accommodation. The fund does not replace normal travel insurance.

In order to be protected by the scheme consumers should only buy travel packages from a licensed travel agent who is subscribed to the fund. The agent is obliged to issue a Certificate showing the MTA license number along with other details of the package.

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