press release

Press Release - 25/04/05

MONEYNET BLASTS HIGH STREET TRAVEL AGENTS FOR EXORBITANT INSURANCE PREMIUMS

Holidaymakers taken for a ride with 'extortionate' High St travel insurance premiums
Single trip premiums not regulated by FSA - consumers vulnerable
Buying online cheap and convenient - and transparent

HOLIDAYMAKERS are today advised to avoid costly insurance from High Street travel agents.

Online financial comparison site Moneynet's latest figures show that major High Street players like Thomas Cook, Thomson and Travelcare - which between them account for around 70 per cent of the travel insurance market* - levy premiums that are typically twice as expensive as buying cover online (see table below).

"There is no excuse for travel agents to charge these exorbitant prices," said Moneynet chief executive Richard Brown.

"Single trip travel insurance can be obtained direct from a broker at very reasonable prices. The difference in price can in our view only be accounted for by the commission that some agents are taking from the insurance company. As usual it is the consumer who loses out because of travel agents' greed."

Brown also warned holidaymakers that they are not fully protected by the Financial Services Authority when buying single trip cover from the High Street.

"The FSA does cover annual premiums bought through High Street outlets, but single trip cover, which is very popular with holidaymakers, is not under the watchdog's remit," said Brown.

Another issue for potential concern is that different levels of travel cover are available - eg, gold, silver and bronze. It is important for holidaymakers to understand the level of cover being purchased and to compare like with like.

"You have to ask yourself if a travel agent - who is more often than not only concerned with commission - actually knows what level of cover is most appropriate. At Moneynet we have an at-a-glance system, so you know exactly what you are getting," added Brown.

TWO WEEK TRIP TO EUROPE FOR A FAMILY OF FOUR (two adults and two children under 16) SINGLE PREMIUM

MONEYNET	£35.10
TRAVELCARE	£75
THOMAS COOK	£120
THOMSON	£124

Source: Moneynet, April 25 2005

* figs Association of British Insurers, Feb 2005

PRESS ENQUIRIES

Richard Brown, Chief Executive, 0208 313 9030

David Andrews/Cathy Tully, David Andrews Media Ltd 07941 255855 / 01273 774109 / 07747196854

Consumer enquiries: info@moneynet.co.uk / www.moneynet.co.uk

Moneynet.co.uk is the UK's longest established online personal finance research and data analyst company. The company offers consumers a choice of thousands of low cost financial services products. From mortgages, personal loans to motor, home and medical insurance, credit cards, savings accounts and best buy fixed rate products, Moneynet is one of the most comprehensive online services of its kind in the UK. Founded by chief executive Richard Brown, the Moneynet brand is destined to become one of the UK's major players in consumer finance products.

A DAVID ANDREWS MEDIA LTD - RELEASE FEBRUARY 2005