Protect your holiday from a Thomas Cook-like collapse with our top tips

THE devastating news that legendary travel brand Thomas Cook had gone bust has hit the holiday plans of more than a million Brits this week.

After the firm folded in the early hours of Monday morning the Civil Aviation Authority mounted its biggest-ever peacetime repatriation, to bring home more than 150,000 holidaymakers from abroad.

Over a million Brits were left scrabbling to rearrange their holidays after Thomas Cook went bustCredit: Reuters

But a million more were left scrabbling to rearrange holidays they had booked but which were now lost.

While anyone who booked a package holiday will get their money back through the CAA’s Atol protection scheme, it is going to take two or three months for customers to get refunds and there is considerable chaos and confusion.

But the millions who chose to organise their own holidays — booking flights and accommodation separately — will not be so lucky.

Those who booked package holidays will get their money back through the CAA’s Atol protection scheme, however some won't be so lucky — Those who booked package holidays will get their money back through the CAA’s Atol protection scheme, however some won’t be so luckyCredit: AFP or licensors

With such holidays, should anything happen to either the airline or hotel you booked with, it is all a very different story.

So how safe is YOUR holiday? Here’s our guide to what you need to do to make sure you don’t lose out on your precious break.

Atol or nothing

IF it hasn’t got Atol protection, don’t book it. As the millions caught up in the Thomas Cook debacle have discovered, if you book a package holiday it is protected by the Atol scheme.

This insurance policy means anyone who books a flight AND one other element — hotel, car hire, apartment or villa — MUST be given an Atol certificate that will protect them should the worst happen.

As too many holidaymakers learned this week, you should never book a holiday that isn't Atol protected — As too many holidaymakers learned this week, you should never book a holiday that isn’t Atol protectedCredit: Alamy Live News

It will mean that if your holiday company goes bust while you are away, you can continue your holiday and return home as close as possible to your original departure date.

Anyone who has yet to travel but has paid for their trip will be able to get their money back.

The system isn’t perfect — it can take time and hassle to get your money back and that’s no help if you were due to be travelling in the near future, as prices of other trips will be much higher.

But it does mean that your money is protected and you won’t lose it.

It ensures that if the firm goes bust while you're away, you can continue your holiday and return home as close as possible to your original departure date — It ensures that if the firm goes bust while you’re away, you can continue your holiday and return home as close as possible to your original departure dateCredit: Getty

Always check whoever you are booking with is Atol-registered — go to caa.co.uk/atol-protection — and make sure they provide you with a proper certificate.

If you are taking a trip that doesn’t involve a flight, it is always worth checking that your holiday provider is a member of Abta, the Association of British Travel Agents.

This could be for a rail, road or sea travel holiday and if you book with an Abta member, then your money is also protected and if it goes bust, you will get a refund.

Abta will also mediate if you have any issues or problems with a holiday booked by one of its members and will help to resolve complaints. For details of Abta protection, see abta.com.

Insure success

THE minute you book your holiday, make sure you also book good-quality, five-star Defaqto-rated travel insurance.

Many people wait until the last minute to get travel cover, but getting it the moment you pick your trip means you are protected should the worst happen and you are sick or injured or suffer a family bereavement.

Never forget to insure your holiday - it can cover everything from injuries to delays and cancellations — Never forget to insure your holiday – it can cover everything from injuries to delays and cancellationsCredit: Getty

It will also offer cover for delays and cancellations. Make sure you get the right cover. The general rule is, the cheaper the policy, the worse the benefits.

Anyone who has been to the doctor’s or had ANY medical problems or treatments in the last two years should ALWAYS declare these.

Failure to declare even the most innocent of medical complaints could see your whole policy being void if you need to claim on it from abroad.

Think about what you are going to be doing on holiday. Many cheap policies will not cover what are considered to be high-risk sports and activities.

However, if you plan any activities you'll need to check your insurance policy covers this, as some don't — However, if you plan any activities you’ll need to check your insurance policy covers this, as some don’tCredit: Gett

If you plan on scuba- diving, kayaking, jetskiing or hiring a quad bike, check your policy will cover you for this.

Good travel insurance policies may also offer extra protection from scheduled airline failure should your airline go bust — or against end-supplier failure, covering against the collapse of suppliers of accommodation, hire cars, excursions, theme parks, trains or ferries.

Would you credit it

PAYING for your holiday or any part of it on a credit card is always the best way to protect your money.

Under the Section 75 scheme, any purchase over £100 can then be claimed back from your credit card provider, should things go wrong.

Paying for your holiday on a credit card is always the best way as the Section 75 scheme means that any purchase over £100 can be claimed back from your provider if things go wrongCredit: Getty

Having an extra credit card on you, with a fairly good limit, is a way to prepare yourself should the worst happen.

Do NOT use the card for your holiday spending. Keep it safe and separate from your other cards, to be used only in emergencies.

Always make sure you have copies of any other essential documents, including your passports, and store them electronically on your phone or give them to a friend or relative at home.

Know before you go

BEFORE you book your trip, research your destination so you know exactly what to expect when you get there.

The Foreign and Commonwealth Office’s Foreign Travel Advice website — gov.uk/foreign-travel-advice — lists 225 countries and gives advice on safety and security, terrorism, health, local laws and customs, entry requirements and where you can get help and support when overseas.