Liability of Licensed Travel Agencies
Who is it designed for
The insurance is designed for the licensed travel agencies. It is a subject of the Ordinance for the conditions and the order for conclusion of a compulsory insurance, covering the liability of the travel agencies (State Gazette No 106/2002). Without having this insurance the travel agencies can not perform their activity.
Insurance cover
This insurance shall cover the following:
- Before departure – refunding the sums paid by the client according to the contract.
- After departure – refunding the difference, when only a part of the services agreed in the contract have been provided; refunding the expenses for the client’s return to the departure point.
Reimbursed shall be also property damages, caused to clients of organized group and individual traveling, as well as damages, caused to Bulgarian and foreign citizens in the country and abroad.
Outside the scope of the insurance cover shall be the agreed liability of the travel agency towards persons, who are not users of the travel agency’s services, as well as the damages, occurred after depriving the license of the travel agency.
Territorial scope
The countries, where the Insurant provides services.
Sum insured
The liability of HDI Zastrahovane AD on Level 1 shall correspond to the minimal liability’s limit, defined by the Council of Ministers with the Ordinance for the conditions and the order for conclusion of a compulsory insurance, covering the liability of the travel agencies (Council of Ministers’ Decree No 247/1.11.2002). The liability on the other two levels shall include the minimum one and shall be extended up to the voluntary limits of the Insurer.
Insurance premium
The insurance premium shall be calculated on the basis of the higher amount of the turnover declared for the previous year and/or the business-plan for the current year, and the level of the insurance cover selected.
Conclusion and term of the insurance
The insurance shall be concluded on the grounds of a detailed proposal, filled in by the Insurant, and against payment of the full insurance premium or the first installment of it (in case installment payment has been agreed). The term of the insurance is one year and is renewed not later than 30 day before its expire date as long as the travel agency performs its activity.
When is the insurance indemnity paid
The insurance indemnity shall be paid, when after receiving a claim in writing, the grounds and the size of the damage caused by the Insurant are proven.
