ATOL is a financial protection scheme administrated by the UK Civil Aviation Authority (CAA) that safeguards business travellers who have purchased package holidays and flights from licensed tour operators.

Key Points

• Most UK tour operators and travel agencies selling air travel packages must hold an ATOL licence to operate legally.

• ATOL ensures that corporate travellers are not stranded abroad and don’t lost money paid for holidays and flights if their travel organiser fails to do so.

• Travel companies must provide an ATOL certificate to customers upon payment, detailing the protected elements of the trip.

Implications

• ATOL protection is an essential consideration for corporate travel policies to mitigate financial risks associated with travel supplier failures.

• Corporate travel managers should ensure that their chosen travel providers hold valid ATOL licenses when booking flight-inclusive packages.

• ATOL does not cover situations such as cancelled flights.