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Financial Failure Insurance

Financial failure insurance for tour operators, travel agents and accommodation villa providers.

  • With specialist solutions to suit you
  • Includes the ability to spread the cost over monthly payments
  • UK-based support 
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Why choose financial failure insurance with Towergate?


Cover which meets The Package Travel & Linked Travel Arrangements Regulations

Easy-to-manage financial failure insurance scheme that meets the 2018 Package Travel & Linked Travel Arrangements Regulations.


ABTA-approved bonding alternative

Scheme fully approved by ABTA as an alternative to bonding.


Financial failure cover can free up cash flow

Passengers money can be released immediately, unlike some methods where cash can only be released once the tour completes.


Put your clients’ mind at rest

A wording can be provided to use on your Website/literature to reassure clients they are protected.

About financial failure insurance


Financial failure insurance for tour operators

As one of the market leaders in financial failure insurance we can help you protect your legal financial obligations to your customers. The 2018 Package Travel & Linked Travel Arrangements Regulations make it illegal to take any consumer money for any package holiday without having the appropriate level of protection in place.


Financial Failure Insurance Scheme

Our in-house financial failure insurance team have over 30 years' experience in the sector and can advise the right Financial Failure Insurance cover for you. The Financial Failure Insurance we provide is fully acceptable to a number of well-known merchant services suppliers without the need of further security or cash deposits.


A recommended ABTA Partner+

We are an ABTA Partner+ and are endorsed by ABTA for our products and services. The policy has been fully approved by ABTA’s legal team and is acceptable in the membership process.

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Financial failure insurance FAQs

Any UK Tour Operator which offers a package holiday for sale irrespective of destination must comply with the 2018 Package Travel & Linked Travel Regulations. One of the most onerous responsibilities is the need for the tour operator to provide security for passengers’ holiday payments prior to and up to the completion of the package holiday, in the event of the financial failure/insolvency of the organiser/Tour Operator.

The Financial Failure Insurance product, unlike a trust account, will allow an operator to free up cash flow. We will also provide a logo and wording for your literature to confirm you have appropriate cover in place, putting your clients' mind at ease that they are protected at the time they pay for their holiday deposit and full balance.

The Financial Failure Insurance is available to all tour operators, travel agents, holiday operators and accommodation/villa providers (subject to status upon application). We have in-house experts that specialise in travel protection insurance, passenger protection insurance and financial failure insurance who can advise the right Financial Failure Insurance cover for you. Speak to one of our Financial Failure Insurance advisers to find out more about the protection we offer.

As one of the market leaders in Financial Failure Insurance we can help you protect your legal financial obligations to your customers. We will provide marketing collateral showcasing your partnership with us, helping your customers have more confidence in your brand.

We are also in a Government steering group for Tour Operators Insurance and are therefore aware of the latest regulations and public information so we can help tailor your policies to meet your requirements.

Yes, we offer Travel Bonds to help you flexibly and safely make the most of your money. Our years of experience have given us detailed knowledge of Travel Bonds and related insurance risks, allowing you to focus on your clients. Speak to one of our specialist insurance advisers to find out more.

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