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AAC backs new ATOL advice
The Association of ATOL Companies has welcomed Civil Aviation Authority moves to clarify the operation of the ATOL system as it relates to sales by travel agents.
The AAC believes that the guidance issued last week, as reported by TravelMole, will go a long way to reducing the possibility of consumers losing money when booking through retail travel agents.
The advice encourages agents to consider exactly what type of business they are conducting and for those that wish to avoid obtaining their own ATOLs, AAC members can already offer dynamic packages for agents.
AAC chairman David Mortimer said: “Many agents can avoid obtaining their own ATOL by simply buying products offered by our members who can put together a package, under their own ATOL using existing airline and hotel contracts to the customers’ requests.
“There is no need for travel agent to think they must obtain their own licence, we have the ability to offer the flexibility that today’s customers demand.”
The AAC, whose members claim to have a combined turnover of over £2.1 billion a year, is to propose changes to its constitution at its AGM next month to allow agents who obtain Small Business ATOL’s to join the AAC at a reduced rate
Mr Mortimer said: “Where an agent decides that an ATOL is the way forward, we believe their natural home is with us at the AAC. We have over 10 years experience of dealing with the CAA and can use that knowledge to help agents who may worry at the complexity of the ATOL scheme.”
The AAC believes the new CAA advice should increase certainty and ensure more consumers are properly protected.
“Consumer protection has always been one of the reasons we exist and whilst we have supported a single system of protection for all consumers, whilst that awaits government approval, we are pleased to see an end to the confusion that currently exists” said Mr Mortimer.
The AAC plans to offer workshops for agents who may need guidance before deciding whether to apply for their own ATOLs and further details will be available shortly.
Report by Phil Davies
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