Travel insurance
UK Underwriting Limited
UK Underwriting are responsible for the policy wording and keyfacts documents on the Debenhams annual multi-trip travel insurance 2007.
What did we think was unfair?
The family multi-trip travel insurance contract did not make clear to customers the extent of the cover when a family member travelled alone. It was also unclear whether the policy covered children under 18 when they travel independently of the family unit.
Why did we think it was unfair?
We thought the definitions of 'Family', and 'You, Your(s), Insured Person' which appear in the 'meaning of words' section of the certificate of insurance did not make clear that adults can travel independently under the policy, but that children cannot.
What has the firm done?
It changed the contract by:
- revising the definitions of 'Family', 'Children', 'Age Limit' and 'You, Your(s), Insured Person' in the 'meaning of words section' of the certificate of insurance; and
- adding new wording under a 'Family Policies' heading in the Keyfacts document.
The new terms came into effect on 1 January 2008.
The new terms will also be applied to settle claims for customers with contracts entered into prior to 1 January 2008 (or other UK Underwriting contracts containing the same or similar terms). The firm has agreed these customers will not be disadvantaged, or have their claims rejected because of the original terms being unclear.
Old terms
These definitions were all in the 'Meaning of words' section of the certificate of insurance.
- Family – Shall mean parents or grandparents and their Children or grandchildren. Cover for families shall apply where the appropriate premium has been paid and where the family members travel together.
- Children – Are defined as persons aged up to and including 17 years of age.
- Age Limit – The maximum age of any insured person will be 74, at the date of payment of Your premium. For Wintersports the maximum age of any insured person within Europe shall be 69, and outside Europe will be 64, at the date of payment of Your premium.
- You, Your(s), Insured Person – All person(s) within the Age Limit, the names of whom are provided to Travellers Protection Services at the time of premium payment, being resident in the UK. Each person is separately insured.
New terms
These are the new definitions in the 'Meaning of words' section of the certificate of insurance:
- Family – Shall mean parents or grandparents (up to a maximum of two adults) and their Children or grandchildren. Cover for families shall apply where the appropriate premium has been paid and where the Family members travel together. Adults insured on an annual multi-trip policy are entitled to travel independently of each other. Cover for Children will only be provided if travelling with an insured adult and all travellers are named on the policy schedule.
- Children/Grandchildren – Are defined as persons aged up to and including 17 years of age.
- Age Limit – The maximum age of any insured person will be 74, at the date of payment of Your premium. For Wintersports the maximum age of any insured person within Europe shall be 69, and outside Europe will be 64, at the date of payment of Your premium. Children/Grandchildren are separately defined.
- You, Your(s), Insured Person – All person(s) within the Age Limit, the names of whom are provided to Travellers Protection Services at the time of premium payment, being resident in the UK. Each person is separately insured, with the exception of Children/Grandchildren unless travelling with an Insured Adult.
This is the new wording under the 'Family Policies' heading in the Keyfacts document:
- Family Policies – Family policies provide cover in respect of a maximum two parents or grandparents and their children or grandchildren. Cover for families shall apply where the appropriate premium has been paid and where the Family members travel together. Adults insured on an annual multi-trip policy are entitled to travel independently of each other. Cover for Children/Grandchildren will only be provided if travelling with an insured adult and all travellers are named on the policy schedule.
What next?
Read more agreements from firms – see Unfair contracts.
Read more about Insurance.
Read more about our work on Unfair contract terms.