For 2021, the leading tour operator in the Baltics States “Novaturas” group has secured guarantee and insurance limit of 11 million that ensures the fulfillment of Company’s obligations to travelers.
“Tourism business is a particularly regulated business sector, so based on our plans for 2021, we have agreed on EUR 11 million guarantee and insurance limit. It means that money received from the travelers for their future trips are secured. Given the current planning of next year’s operations, we have decided to use EUR 9 million since the very start of 2021. If the volumes of currently planned operations increase during the 2021, we will use the remaining EUR 2 million from the agreed guarantee insurance limit. This mandatory insurance for tour operators is one of the most important safeguards to protect the interests of travelers”, says Audronė Keinytė, Head of Novaturas Group.
The company has also used “Invega” guarantee for tour operators to obtain compulsory insurance from insurance companies or financial institutions, under which “Luminor” bank was granted EUR 539 thousand guarantee.
Tour operators’ in all the Baltics obligations must be ensured by warranty of insurance company or a bank guarantee. In this way, the tour operator ensures its liability to deliver the travelers all the services they have paid for and in case the implementation of these services is not possible, to refund the travelers. If the tour operator is unable to meet these obligations, then the insurer undertakes the obligation to reimburse the costs the travelers have suffered. “Without being granted these guarantees, no tour operator is allowed to operate its activities. During this unsettled period, the importance of guarantee insurance is crucial in building trust of the tourism sector. Travelers can confidently plan their trips for next year. The EUR 11 million guarantee insurance means that all travelers’ money for future trips are secured. These insurance guarantees were provided by our long-term business partners “Gjensidige” and “Luminor”, says A. Keinytė.
About Novaturas Group
AB Novaturas Group is the largest tour operator in the Baltic States, offering summer and winter package holidays in more than 30 destinations worldwide and more than 100 sightseeing routes. In 2019, the group served more than 293 thousand customers.