Travel agencies in Serbia have not received any offer from insurance companies to issue travel policies, the president of the National Association of Tourist Organizations of Serbia (YUTA), Aleksandar Senicic, told Beta today.
As of October 1, insurance companies refused to insure travel arrangements, explaining that there was a high risk, among other things, due to the pandemic, due to which travel agencies could not obtain a license.
Minister of Trade, Tourism and Telecommunications Rasim Ljajic said last week that “Triglav osiguranje”, “Globos” and “Dunav osiguranje” expressed readiness to continue issuing insurance policies to travel agencies.
However, Senicic said that Travel agencies could not use lump sum insurance policies in the future, because they do not have the funds to pay for them. He explained that so far, insurers have given policies in a lump sum – from 3,000 to 12,000 euros, depending on the size of the agency in four categories.
“If agencies were to take out a policy today, the question is whether they could pay for it, given that there is no work, and that they have to do it in advance without knowing if they will need that kind of guarantee at all,” said Senicic.
According to him, it would be most convenient for the agencies for the insurers to offer smaller lump sums for the beginning, and for the rest of the insurance premium to be charged per turnover.
“When there is no turnover and when arrangements are not sold, insurers do not have any risk,” Senicic believes.
He suggested that the next three months should be “pushed through” with free or cheap policies, so that the agencies would have time to negotiate new ways of insurance.
Senicic said that bank guarantees of 200,000 to 400,000 euros are still not a solution and that no agency can meet the conditions required by banks: “in order to obtain a bank guarantee, a cash deposit in that amount or a mortgage on a property that is necessary.
Senicic pointed out that it is necessary to change the Rulebook on travel guarantees as soon as the new Ministry of Tourism is formed, in order to cover the current circumstances.
“Only by changing the rulebook, conditions can be reached that are optimal for the agencies, as well as for the state and passengers to be protected,” Senicic assessed, Novi Magazin reports.
