Refund rights

The UK Government has added some more countries to its travel red list and took Portugal off its green status.

With Covid still widespread in many countries, tourists will have to think carefully about their spending on holidays.

Where will I be able to go on holiday?

England has a limited number of green list destinations, where people can travel without having to quarantine on their return. However, you will have to take a Covid test before and after the trip.

All other countries are rated amber or red, and travellers must quarantine after visiting them.

Portugal has now moved to the amber list, and seven other countries - including Sri Lanka and Egypt - have been added to the red list too.

Scotland,Northern Ireland and Wales are following England’s red, amber and green traffic light system - although Wales’ First Minister Mark Drakeford states traveling abroad is “best avoided”.

Can I cancel my holiday if it turns out I have to self-isolate on my return?

There is always a risk that a green-list country may move to the amber or red list. If this happens you will need to quarantine after your holiday - something that could be difficult for many people. 4

It is best to study their policies before booking a flight, or see whether they can offer some support if you have already booked and want to cancel. For example, if a positive or missed Covid test stops you from boarding a flight back to the UK, only about one in ten policies will cover you for any costs you incur as a result.

If the Foreign Office advises against travel to a country, then all but a few of travel insurance policies would be invalid.

Transport Secretary Grant Shapps has said in am online statement that government advice is not to book any holiday which does not include a refund, in the event that the Covid-related situation changes.

Will I be refunded if my holiday is cancelled?

If the UK Government announces that travel to a specific country is not advised, then airlines and travel companies are likely to cancel any pre-booked flights or holidays there. If this happens, you are entitled to a full refund, and you can choose to receive that refund in cash.

An airline should refund the money within seven working days, although some people have had to a lot wait longer. A package holiday should be refunded, in full, within 14 days.

What if I make a decision that it’s too risky to travel?

This is not clear-cut. If you cancel, rather than the travel provider doing so, then you have no automatic right to a full refund. In this situation, it is worth contacting the airline or holiday provider to see what options you have.

Some providers may allow you to transfer to another date or destination, they may even give you a voucher, or they may allow you to cancel and get a refund.

Will travel insurance cover me if I catchCovid?

Travel insurance companies are offering different levels of cover. But this depends on how much you pay for a policy in the first place. The majority - but not all of them - will pay out if you test positive for Covid and have to cancel before you travel.

In most other Covid-related scenarios, only a minority of policies will give you financial cover, according to analysis by data specialists Defaqto.

Does my insurance cover me if I travel to a amber-list country?

Anyone planning to travel to an amber-list country should look up their proposed destination on the Foreign Office (FCO)’s country-by-country list.

If the Foreign Office advises against travel to a certain country, then travel insurance maybe invalid. If not, then the cost of medical treatment abroad would be covered. In most cases that would include treatment if you contracted Covid.

However, although travel to amber-list destinations is allowed, the Department of Health still advises holiday goers against it.

It is always worthwhile to have an EHIC (or its replacement, the GHIC) to cover healthcare in EU countries.

Why is this so complicated?

Rules are inevitably going to be very complex, given that the risk of Covid varies so much between country to country.

The government has published a charter that “clearly sets out consumer rights and responsibilities when booking travel while Covid-19 measures remain in place”.

It goes on to say it expects travel operators to be “flexible” with customers, given the circumstances, and the Competition and Markets Authority (CMA) has warned package holiday firms that they must adhere to refund rules.