Glossary

ATOL (Air Travel Organiser’s Licence)

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.