Travel insurance claims rise following baggage crisis
Travel insurers are reeling the face of a massive rise in claims in the wake of the British Airways baggage crisis. Norwich Union has reported a 40 per cent increase in the number of claims for missing baggage in the first half of the year and InsureandGo saw an enormous 85 per cent rise in the same period. Airlines and airport operators have come under increasing criticism over lost and delayed baggage and British Airways have admitted a backlog of 22,000 itemsBudget airline Ryanair, who boast relatively good record when it comes to losing bags, have in turn said that its passengers should be given lower insurance premiums as a result.Peter Sherrard, a Ryanair spokesman, said: "For years the car insurance industry has provided discounts for low-risk categories such as women drivers and the over-thirties. "The time has come for passengers flying with airlines that deliver the best customer service to enjoy the same discounts."Norwich Union rejected the idea, and Luis Berraondo, a travel underwriter for the company, said: "Tracking each individual airline or far-flung airport would be extremely difficult and would add unnecessary bureaucracy and cost to an otherwise simple process. "While losing or having your luggage delayed is very frustrating, it is still only the third-biggest area for claims on travel insurance. Medical emergencies and cancellation are by far more frequent and expensive."
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