Passport Troubles - How They Can Affect Your Family Holiday Insurance

Getting a comprehensive group or family holiday insurance package is often a sound move, especially when it comes to missing a flight for reasons out of your control. Some insurers, however, refuse to pay up when such missed flights are caused by delays in passport processing.So what is the whole problem about and what can you do to pre-empt the issue before it can affect you?

From the Insurer’s Point of View

Many providers that handle policies for family groups have been vocal about how they explicitly do not cover missed flights due to passport delays. Some even include in their contracts a note that such a scenario will not be covered. This should normally be grounds for automatic rejection of a pay-out, but this is where the FSO comes in.

The FOS’s Role

The Financial Ombudsman Service – aka the FOS – is a government department that handles consumer complaints against financial providers. This is where people can go if they believe that the provider is wrong in refusing a pay-out.

The FOS has recently announced that providers may be requested to pay a refused claim for a cancelled holiday as long as the consumer has done everything reasonably possible to see the passport application done on time. The FOS also argues that just because an insurer gives you a reason does not necessarily mean it is fair.

This is big news if you are on the lookout for a good family holiday insurance package, since it basically means that the FOS can compel an company – by force of law - to pay up for cancelled holidays due to passport processing delays.

What This Means

While this is very good news for consumers, it does not mean the FOS will mandate that providers will automatically reimburse all missed flights due to delayed passports. You will need to prove you have done everything humanly possible to make sure the passport will be available in time. This also means the reasons for the delays must be purely "out of your control", and that any action on your part would have not changed the outcome. So, you need to ensure the following.

You need ensure you hand in all documents required for processing far earlier than the deadline stated. This is pretty relative, but finishing everything up two to three months in advance ought to do the trick.

You also need to make sure that all the information you put down in the application form is accurate, and that any other supporting documents you provide are equally accurate and valid at the time you submit them. This is also true when filing information for your chosen family holiday insurance policy.

Finally, you must keep a constant check on the status of your passport. You need to show that you have been diligent in keeping up with developments regarding your passport and have reacted quickly to any requests for clarification or additional documentation.

To cut a long story short, you can expect the FOS to back up your claims on your family holiday insurance as long as you do your part. Keep this in mind, and you will be able to better protect yourself should your plans be messed up because of the bureaucracy surrounding passport processing.

Patrick Chong is the Managing Director of Insuremore. We provide low cost travel insurance and offer a range of policies including family holiday insurance, annual, multi-trip and single-trip insurance. For all your travel cover needs, Insuremore can help you in the quickest and most cost-efficient way.

Writer and Online Marketing Manager in London.