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ITIJITIJ Page 18 Page 21 Page 24 Page 30 International Travel Insurance Journal ISSUE 39 • APRIL 2004 ESSENTIAL READING FOR TRAVEL INSURANCE INDUSTRY PROFESSIONALS

New laws for travel UK doctors damn US hospitals told: insurance in Oz travel tests The way travel insurance is sold in Australia is Travel insurers are making an enemy of General changing. Roger Allnutt looks into the new rules Practitioners (GPs) in the UK. As people are No law against discounting travelling further afield and on more adventurous In Australia the majority of travellers used holidays, they are looking to their doctors to give to use licensed travel agents to arrange them the ‘all clear’ to travel and blaming doctors if their holidays and business trips (or at least things go wrong. part of the arrangements) and the purchase GPs are unhappy that travel insurers are not of travel insurance was also made through conducting their own medical checks but instead are the travel agent. Traditionally, travel agents expecting the National Health Service (NHS) to do in Australia would provide information the work in assessing whether a person can travel or through relevant brochures and the client not. When doctors refuse to give travel certificates or would select a policy that met their refuse to confirm that the patient is fit for travel before requirements. The major travel chains in a claim, they risk upsetting and even losing patients. Australia would tend to suggest one Dr Peter Holden, the British Medical Association particular policy. However there is no (BMA)’s expert on certification, said: ‘In the last obligation for the traveller to purchase a couple of years we’ve noticed increasing trends policy offered by a travel agent. where patients are coming to a doctor to ask us for In the past year, however, travel insurance a certificate to say they are fit to go on a long- has been caught up in the provisions of distance holiday. This is because the insurance the Financial Services Reform (FSR) Act industry isn’t properly assessing underwriting risk. It’s that demands greater transparency by trying to avoid doing proper medical checks. As a providers of many services, including GP, I don’t know what sort of policy a patient has, financial advice, superannuation, life or what the insurance terms and conditions are.’ insurance and so forth. These providers GPs feel that neither they nor the traveller should are required to make disclosure about have to make judgements on medical issues when commissions they receive for promoting applying for holiday cover and that the effects of long- specific products. Travel agents have also haul travel is a specialist area. Dr Holden says that had to undertake training to become insurers should not try to avoid paying out by In a move that should favour travel and health In a letter to Richard J. Davidson, President of the authorised representatives to sell travel insurance searching for flaws in the lay people’s knowledge. For insurers worldwide, US health authorities have American Hospital Association (AHA), HHS and they cannot 'recommend' one product against example, although someone could live quite normally reassured hospital administrators that nothing in Secretary, Thompson, said the suggestion that all another. with high blood pressure, a 10-hour flight in a low- existing federal regulations prohibits or restrains hospitals are required to bill all patients using the The provisions of the FSR Act came into effect on oxygen environment could be enough to trigger a them from offering discounts to individual same schedule of charges – thereby forcing the 11 March 2004. heart attack. Dr Holden feels that an insurer would patients or other payors. Milan Korcok reports uninsured to pay ‘full price’ – was not correct and say that the high blood pressure should have been did not reflect HHS policy. declared and not honour the travel insurance policy. In an edict issued by Health and Human Services The AHA and several other hospital groups had Malcolm Tarling, spokesman for the Association of (HSS) Secretary, Tommy Thompson, the nation’s previously asked the government to clarify the rules British Insurers (ABI) fought back GPs’ criticisms of hospital administrators were in fact encouraged to on patient discounting, claiming that regulatory the way medical certificates for travel are attained: offer such discounts to those who cannot pay barriers made it difficult to assist patients in need. ‘Insurers might be able to conduct a medical hospitals’ ‘full price’. Though the ruling issued by Some hospitals have said they were concerned examination but that’s not necessarily going to tell Thompson was primarily directed at hospitals’ about violating federal laws that prohibit them from them about past history. That would increase their dealings with indigents, the uninsured, or Medicare discounting prices or offering free treatment. costs, which would put up the costs of travel patients, it has implications for all payors, as many Some also have been motivated by Medicare rules insurance. More people than ever would be hospitals professed that ‘vast and confusing federal that state they will be reimbursed for a share of travelling abroad without cover and it would push regulations’ required them to bill all patients using their uncollected bad debt if they make ‘reasonable up the costs for Government in terms of getting the same schedule of charges. In effect, they said, efforts’ to collect. people back if they have fallen ill while abroad.’ their hands were tied. This, say some industry Two of the largest investor-owned hospital Unfortunately an impasse has been reached: Put up experts, allowed hospital administrators to ‘hide corporations, Tenet Healthcare Corp. and HCA Inc., travel insurance or continue to increase the strain behind’ their own interpretation of the rules in specifically asked the Centre for Medicare and on the NHS. Lets hope a compromise can be denying discounts to various payors. continued on p.10 achieved for the sake of everyone involved. 2 NEWS

Online buying On the piste Lessons learned boom Figures from the UK’s Foreign Office assert that two out of five tourists risk not taking out insurance or In the aftershock of the Madrid train bombing, The Interactive Media in Retail Group (IMRG) has take out inadequate cover, representing a huge gap which left 190 people dead and over 1800 injured ITIJITIJ forecast that Internet shopping will become a mass in the market for travel insurers to target. The worst on 11 March, most of the losses from this tragic International Travel Insurance Journal market in 2004, as millions of consumers routinely culprits are, surprisingly, winter sports tourists. event could be covered by the state-backed go online to research and buy every kind of product According to statistics: catastrophe reinsurance pool called and services, including insurance, and their • One in 10 visitors to Austria’s Consorcio de Compensación de WHAT’S IN confidence is growing. slopes will be injured. Seguros. Last year IMRG recorded £11 billion in online retail • Injuries on Italy’s slopes have Most Spanish insurance companies sales in the UK – 4.2 per cent of all retail sales. increased by 1,800 incidents are members of this Madrid-based THIS ISSUE? IMRG predict that this year 20 million British this year, with 13,252 injuries pool, which includes cover for consumers will spend a staggering £17 billion online. and 17 deaths. losses that occur due to acts of In their annual statement, IMRG say e-retail will be First Rate Travel Services Head of terrorism. Through the scheme, REGULARS boosted by five factors: Marketing and Sales, Paul Rayner, unlimited losses are guaranteed and says: ‘Travel insurance is not a paid for by a surcharge on News 1 • The industry’s serious commitment to providing luxury and yet people are still not premiums. satisfying customer experiences taking out adequate cover. If the Spanish train company, Renfe, Insurance matters 6 • The large critical mass of confident online Without appropriate travel is a member of the pool and bought Grapevine 8 shoppers insurance, the only holiday full coverage, the majority of its Company brief 10 • The highly secure payments solutions now memories could be bad and very expensive ones… liabilities from the tragedy will be covered, including Travel matters 12 provided by MasterCard and Visa even more important at this time of year when property damage, injuries to passengers and • Brisk take-up of broadband many people are planning and taking part in winter business interruption. Health matters 15 • Rollout of ‘Internet Shopping Is Safe’, or Isis sports holidays. Should the worst happen, you want In the case of terrorist attacks, the pool covers all Editorial comment 16 scheme, the industry and Government-backed to be able to focus on recovery, not how you’ll business interruption losses and the deductible for News analysis: Blood on the tracks 18 trustmark scheme that independently verifies e- cover the expense.’ business interruption is set at 3 per cent of the loss. Profile: Stuart Packington 28 retailers as trustworthy The top three winter sports injuries were knee, The concept of business interruption coverage was, wrist and collarbone injuries and accounted for over in fact, introduced by the pool in 2002, in the wake World markets: Latin America 30 The Isis scheme was introduced to fill in the gap left 63 per cent of all winter sport claims in 2002. of the 9/11 terrorist attacks in New York. Dick’s hotline 32 by the Consumers’ Association’s Webtrader With cover costing as little as the equivalent of a Hot spots 34 scheme. It will check and certify e-tailers’ couple of glasses of gluhwein, it is puzzling why Service directory 35 compliance with data protection regulations and skiers and snowboarders are not bothering to take other business requirements. Members of IMRG, out policies. With so many people getting injured in SITE balanced travel Diary dates 42 including EasyJet, IKEA, Lastminute.com, Mastercard the snow, travel insurers have good reason to urge Smile corner 42 and Microsoft, show an Isis logo on their websites people to take out insurance. advisories On the move 43 and a deal has been signed with Kelkoo, the price Claim and counterclaim 43 comparison website, to indicate Isis members with a The World Tourism Organization (WTO) believes logo when it shows lists of prices from different that governments should be more cautious when online stores. Deutsche Bank to be issuing travel advisories. It is a position that is FEATURES Brent Hoberman, Co-founder and Chief Executive supported by the Society of Incentive and Travel of Lastminute.com said of the travel industry’s demolished Executives (SITE), who want individual governments online power: ‘Half of all US leisure travel is already to issue more balanced travel advisories. Insurers fly East 20 researched online and we see no structural reason The Deutsche Bank building in New York – the last SITE boasts nearly 1,800 members from 82 How Dubai is fast becoming an international why European e-retail will not grow at least as remaining structure damaged on 9/11 – is to be insurance hub strongly as it has in North America.’ razed this year after the bank, its insurers, and sate Flying by the rules – part 2 24 There is an increasing trend to book holidays, cheap and municipal authorities finally reached a settlement. Regulating the air ambulance industry in Europe flights and, as a consequence, travel insurance online The 40-storey building has become a haunting to save time and hassle. If the IMRG’s predictions reminder of the destruction caused by terrorists and are right, the travel industry must regulate their has been nicknamed the ‘widow’ because of the ITIJ TEAM online capabilities to net the billions of consumers black netting that has shrouded the building to Editor-in-chief: Ian Cameron expected to change their shopping habits if assured prevent any debris falling on passers-by. online shopping is secure. The Bank has been locked in negotiations with its Managing editor: Richard Forsyth insurers, due to a disagreement over whether the Sub-editor: Sarah Lee building could be repaired or should be demolished. Editorial assistant: Leonie Bennett Two of the Bank’s insurers, Chubb and Zurich Damning Deloitte America, agreed with the Bank that it was beyond Designer: Eli Butler repair. The Bank took its other two insurers, Allianz US correspondent: Milan Korcok survey and AXA to court to force them to pay for the total India correspondent: Saby Ganguly loss of the building. countries, representing a global network that unites all The latest regional UK insurance broker survey The parties have now agreed to pay Deutsche Bank the disciplines that make up the travel industry. SITE Legal correspondent: Dick Atkins compiled by Deloitte has revealed that less than $140 million for its insurance claim. The Bank is has been witness to the harmful effects a negative Conference manager: Denise Clements one per cent of brokers think that insurers provide then going to sell the property to the Lower travel advisory can have on a country and urges the an ‘excellent’ claims service. Almost a third of Manhattan Development Corporation, which will government to review their travel advisories on a Production: Adele Brown brokers felt that insurers provide a ‘poor’ service demolish the remains of the building. Demolition more regular basis with a neutral approach. Production assistant: Helen Watts overall and over half rated it only ‘fair’. will start in autumn and is expected to take six to ‘While fully supporting governments’ need to Advertising sales: Brad Cross The survey also states that a good claims service is seven months to complete. protect their citizens’ security and help them avoid Jon Despres considered more important to their customers than A new park and possibly an office tower and proven risks, SITE asks that leaders of individual the cost of the premium. ‘A good claims underground parking for buses will replace the nations also take into account the impact travel Cartoonist: Chris Duggan service is the shop window of the building. advisories and restrictions can have on a region’s organisation – when a customer makes a economy,’ said Brenda Anderson, SITE CEO. claim, this is the only time they really see ‘Travel advisories or restrictions should be no FREE SUBSCRIPTIONS FOR what they have been paying for,’ said broader than necessary and should avoid creating TRAVEL PROFESSIONALS Angus Tucker, Director at Deloitte. additional challenges for the travel and tourism Respondents of the survey believed industry, which is a major economic factor in many ITIJ insurers provided a poor service in the local economies.’ areas of loss mitigation, disaster recovery, Last May, the WTO released its Crisis and Disaster Voyageur Buildings claims preparation and claims life cycle. Management Guidelines and advised member 43 Colston St Increasing consolidation in the insurance countries and organisations to ‘stay out of the travel Bristol BS1 5AX industry was highest on brokers’ lists of advisory war’ by following Article Six of its Global UK threats to the industry, followed by Code of Ethics for Tourism, which states: editorial: +44 (0)117 922 6600 insurer capacity to underwrite businesses ‘Governments should issue such information advertising: +44 (0)117 925 5151 and the lack of flexibility by underwriters without prejudicing in an unjustified or exaggerated fax editoial: +44 (0)117 929 2023 in providing required cover. manner the tourism industry of host countries and fax advertising: +44 (0)117 925 2040 The low rating will disappoint insurers the interests of their own operators.’ email: [email protected] and should encourage them to make In the current climate, tourists are relying on travel web: www.itij.co.uk sure that the reality of the claims process advisories to update them on the safety of a meets customer expectations. country. Damaging travel advisories cause people to delay or even cancel their trips often unnecessarily… as long as they’re insured.

International Travel Insurance Journal www.itij.co.uk

4 NEWS

HHH bias UK Travel industry Oz insurer forced to Aviva’s closure of its broker subsidiary squabble over training close Hill House Hammond (HHH) is still causing problems. According to reports, customers are being directed Pressed into regulation by the FSA (Financial Smart Cover Travel Insurance in Australia has shut by HHH to parent company Services Authority), ABTA (Association of British its doors and put up the shutters after a split with Norwich Union (NU)’s subsidiary Travel Agents) has been forced to accede to the underwriter Worldcare, leaving its 350 independent Haven Insurance Polices, regardless demands of the larger tour operators over the cost travel agents unable to sell any of its insurance of what type of policy they are of its travel insurance training schemes. The likes of products. Smart Cover Travel Insurance ceased looking for. Understandably this is not MyTravel and Thomas Cook have pressed for fees trading on the 11 March, the same day the going down too well with HHH to be lower than originally proposed by ABTA. Ian Financial Services Reform Act (FSRA) was customers or other insurers. Reynolds, ABTA’s Chief Executive is reported to inaugurated in Australia. Zurich is proposing to write to its 21,000 HHH have admitted: ‘We can’t go ahead with a scheme The FSRA was introduced to bring all financial policyholders directly and offer cover rather than Not covered for like this unless the major players are on board first. services and products under one regulatory body. It see them snapped up by Haven or NU Direct. It became clear they weren’t happy.’ is also hoped to increase the level of compliance Zurich said it had cancelled its agency agreement travel Makes you wonder who exactly makes the and competency in the financial services industry. with HHH with the view to redistributing the decisions at ABTA. The two components of the FSRA are licensing and business back through the intermediary channel. training. Every person who gives advice about a The move comes after NU’s announcement that it The US State Department has issued a travel financial product must either hold an Australian has exclusive rights to approach HHH policyholders. warning for Israel because of fears of retaliation for Financial Services Licence or be authorized by a The clause in HHH’s agency agreement is claimed the assassination of the Hamas spiritual leader, licensee to give advice on their behalf. to stipulate that customer ownership switches from Sheikh Ahmed Yassin, leaving many travellers with Business will increase This means that all travel agents must be authorised it to the underwriter as soon as it ceases trading. trips to Israel planned, without insurance. by an insurer, through the Australian Investment NU, however, says that insurers have Under US policy, when travel warnings are issued with market reform and Securities Commission (ASIC), in order to be misinterpreted the clause: ‘This does not give the by the US State Department, US-issued travel able to sell its products. After receiving panel exclusive rights in respect of those customers insurance coverage is automatically annulled. In the UK, at a market briefing for the International authorisation, the agents also have to undergo an and does not prevent us from offering those Insurance companies are advising many Underwriting Association (IUA), members were ASIC-approved training course in a specific insurer’s customers an NU product,’ said an NU spokesman. businessmen travelling to Israel that they will not be told reform of outdated practices will make a product before being allowed to sell them. Online customers are, therefore, informed that new covered for any eventuality occurring in Israel and positive difference when it comes to increasing Worldcare refused to appoint Smart Cover as an insurance enquires are to be handled by NU and take the risk entirely upon themselves. As a business opportunities. authorized representative under FSRA rules, are taken by a direct link to the NU website. consequence, many have cancelled planned trips to Business opportunities were being turned away meaning that all of the agents exclusively selling Those who decline the NU products will be the Middle East and there are fears that this will from the London insurance market because Smart Cover products must apply to other insurers transferred to the broker BDML Connect, who will seriously affect Israel’s economy. The Israeli inefficient accounting and settlement processes for ASIC authorisation to sell their products. redirect customers to its panel of insurers. government promised to offer travel insurance to make it too expensive to service. Reform of many Smart Cover said it had advised all agents of the Currently, not all of HHH’s panel of insurers are on foreign businessmen visiting Israel through its Inbal outmoded practices should allow brokers to bring situation and that some already had authorisation to BDML’s panel and insurers are concerned about insurance company a year ago, but has not yet more overseas risks to the marketplace. sell the products of other insurers, but for the rest, whether they will be considered. One provider done so. The market reform proposals in question have been it left them unable to trade and frantically looking excluded from the panel is Churchill. In the wake of the US travel advisory and the developed by the London Market Principles (LMP) for insurers with licences and willing to authorise HHH will continue to operate and trade until the end negativity surrounding Israel in wake of the killing of initiative and should make a significant improvement them to sell travel insurance. of the year, but are not taking on any new personal Sheikh Ahmed Yassin, Israel would do well to to conducting international business. lines business. All current polices are to be honoured arrange insurance for US businessmen or risk a Marie-Louise Rossi, Chief Executive of the association as per the terms stated in the policy booklet. serious blow to the economy. and Chair of the LMP Accounting and Settlement Steering Group said ‘Accounting and settlement reform Fraudulent tourists has been one of the IUA’s top priorities…The aim is to get money moved around much more efficiently for the benefit of us all in the market: IUA companies, increase premiums Lloyd’s and brokers as well as our customers.’ A survey has found that nearly eight million UK tourists have tried to make ©Alex Taylor fraudulent travel insurance claims. The survey conducted by Direct Line International found 15 per cent of respondents had made a fraudulent claim on their travel insurance. A false claim typically involved adding an extra item to the genuine claim or increasing the value of the lost item. Of the people surveyed, four out of five who admitted they had made a fraudulent claim refused to elaborate on what they had done. But 15 per cent said they had increased the value of the claim, while five per cent confessed to totally inventing a claim. The most popular item inflated in value by tourists Mars could have was found to be sunglasses, with 27 per cent divulging they had lied – their Woolworth’s shades cost the Earth had suddenly become Armani or Gucci! Other favourite items to exaggerate were luggage A hasty gamble on Mars may have seen an insurer values (18 per cent), medical bills (17 per cent), mobile pay out a fortune so Americans could enjoy a free phones (14 per cent) and cameras (10 per cent). shrimp snack. Ronn Mullins fishes for the facts However, some good news for insurers is that fraudulent claims were often found to fail. Sixty two In January 2004, Long John Silver, the largest per cent of the eight million fraudsters failed to get seafood chain in the United States, announced it a payout after insurers became suspicious and would provide each American with a free shrimp if asked for additional documentation. NASA’s Mars Exploration Rover found conclusive Chris Price, Business Manager at Direct Line, evidence that water had ever existed on the planet. warned that if the trend continued insurance The chain had set 29 February as the deadline for premiums would have to increase to take account finding water and NASA’s scientists announced their of all the bogus claims. discovery that water had indeed been present on In response to the findings, the Association of Mars on 2 March. It was a lucky escape for Long British Insurers (ABI) is stepping up data-sharing John Silver. initiatives. Establishing a database is thought to be But to protect itself against such a tremendous loss, the industry’s key resource in a drive to decrease Long John secured an insurance policy to cover its the level and cost of fraudulent claims. The ABI has losses if it had to make good on the promotion, started work on the project and it should be piloted which could have cost up to $231 million. early next year.

International Travel Insurance Journal www.itij.co.uk 3/11 MADRID 5

Spain unites for peace 3/11: Slaughter in Another Morning in Madrid Spain In the immediate aftermath of the massacre in Madrid, three days of mourning began across Spain. Over 11 million people, a quarter of the national On Thursday 11 March, as the people population, took to the streets in an act of defiance of Madrid woke up to another day, against the terrorists. A sea of people flooded much as the people of New York had Spanish cities in solemn determination to stand up two and a half years earlier, several and be counted. People poured into Barcelona, train carriages were indiscriminately Seville, Valencia, and even the Canary Islands to blown apart by a series of bomb demonstrate in force. blasts, leaving 190 people dead and In Madrid, rain pelted down on the crowds in a scene around 1800 injured. At 7.40A.M., the that was both melancholy and intensely powerful. The first three of 10 bombs exploded on a bleak weather didn’t prevent two million people from train close to Atocha station, one of showing their solidarity, with crowds numbering Madrid’s main commuter hubs, hundreds of thousands cramming into the central followed in quick succession by a Cibeles Square and around Atocha station, where the further seven bombs, which exploded first bombs went off. The scale of the protest was as at smaller stations at El Pozo and Santa staggering as it was moving. Eugenia. Shouts of ‘assassins’ and ‘cowards’ marked the Despite the Spanish government unequivocally blaming ETA, the Basque separatist group, for the atrocity – a claim that has been vociferously denied by ETA leaders – the attack had all the hallmarks

of an al-Qaida- ©AP related group. No warnings, indiscriminate targets, Madrid resident, ITIJ Correspondent David Ing, massive open-air protests against terrorism by the and maximum disruption. In gives his perspective on the affect of the bombings people. addition, a van was found in For foreigner visitors, it is this vibrant street life and Madrid containing detonators and Spain’s own version of ‘September 11’ is unlikely to the friendliness of the citizens that are among a tape recording of verses from have anything near such a profound effect on Madrid’s biggest draws, ranked up there with its the Koran. At the same time, the tourism as the assaults exactly 30 months earlier on world famous art galleries. Arabic newspaper Al-Quds al-Arabi New York and Washington. Although the survivors Transport to the city has been little affected. Rail in London, received a five-page e- have to bear the scars and the torment of what services were virtually back to normal the day after mail claiming that the Brigade of happened on 3/11, there has been no wipe-out of a the blasts. Less easy to gauge is what will happen to Abu Hafs al-Masri carried out the landmark building, as occurred with the Twin Towers the city’s hotels and tourism industry if visitors attack on behalf of al-Qaida, of the World Trade Centre in Manhattan, to should decide to stay away. quoting, ‘This is part of settling old constantly remind them of what took place. The leader of Spanish travel agents, Jesus Martinez accounts with Spain the crusader, Road traffic was circulating normally, if much less Millan, said he thought the bombings would have and America’s ally in the war busily, in front of Atocha railway station, the ‘little affect’ on tourism to Spain in general. Most against Islam.’ epicentre of the bombings, within hours of the visitors go to the coast rather than inland, and it was But the terrorists made some big attacks. clear that the Madrid bombings were ‘against Spanish mistakes and evidence left near a And if the atmosphere in Madrid’s famous bars and society’ rather than the tourism industry, he added. series of bombs that did not restaurants was understandably detonate led police quickly to distinctly subdued that Thursday

©AP several suspects. evening, it seems inconceivable Fourteen of these suspects are that the attacks will dampen the simmering anger and heartache of the population – now being held in connection with the bombings. Spanish capital’s lively nightlife for the shouts aimed seemingly at the air in lack of a Many of them are of Arabic origin and links to al- long. tangible target. One chant rang out amongst the Qaida have been clearly established. Spain is a country that has already voices summarising the sentiments of the people, Anti-terror experts have told news stations that they grown used to terrorism, long ‘No more war!’ it demanded, ‘we want peace!’ expect the number of suspects arrested to increase before the attacks on the United Candles were lit for the dead and Madrid had the dramatically – up to 30 arrests even. States. It also depends heavily on atmosphere of a giant wake as much as a protest The bombings are regarded as a wake-up call for tourism for a living. against the violence. many countries. France responded by raising its While none of the recent bombs In the mass of demonstrators you could spot black terror alert, whilst Greece plans to improve rail laid have claimed anywhere near as ribbons pinned onto lapels, a symbol that now security for the Olympic Games. Although Spain is many victims as 9/11, the explicit stands for the intense emotions people harbour the latest victim in a trend of large-scale terrorism, it TV shots of dead and injured in the against terrorism. is doubtful that it will be the last. capital are not new. Nor are the

www.itij.co.uk International Travel Insurance Journal 6 INSURANCEMATTERS

Increased terrorism Improvement in Heath Lambert sells St Paul Travelers cover Hong Kong to Marsh merger approved

New York State insurance commissioners are Hong Kong’s insurance industry, Broker, Heath Lambert, has announced Shareholders of the St Paul Companies and Travelers rallying insurers and policyholders to support Asia’s biggest after Japan in terms that it has sold Heath Lambert Australia, Property Casualty Corporation have overwhelmingly Congress in extending the Terrorism Risk Insurance of per capita premium, braved based in Sydney, to Marsh. This move is cleared the way for their merger to form the second Act, which is set to expire in December 2005. This difficult economic circumstances to part of a strategic review of its business, largest commercial insurer in the United States. is due largely to a disappointing number of register a token improvement in with the objective of simplifying the More than 95 per cent of the shares voted were in policyholders taking up the insurance. performance in 2003. Our Asia company and allowing the group to favour of the various merger amendments. The 9/11 attacks prompted the creation of the correspondent, Saby Ganguly, is optimistic concentrate resources on areas where it can The new company, to be known as the St Paul government-funded backup for insurers against maintain or develop a pre-eminent position. Travelers Companies will be headquartered in St terrorism-related losses, as these can be cripplingly Provisional statistics released by the Commissioner of Ian Martin, Executive Chairman of Heath Lambert, Paul, Minnesota. large. Insurance (COI) show that gross premiums in said: ‘The group has excellent skills and market The shareholder approvals came immediately after The future of the Act hangs in the balance and general insurance, including travel, rose one per cent positions in a significant number of the areas of the the Connecticut Superior Court announced decisions will be made later in the year on whether to nearly HK$24,000 million and net premiums global insurance broking market. In order to settlement of lawsuits in which Travelers it should be continued. The Madrid bombing has, were up 1.2 per cent to slightly over HK$16,000 achieve strong future growth, the new shareholders sued their company however, convinced many that terrorist cells are million. Overall underwriting profit of the general management team is focusing the group’s financial (headquartered in Hartford, Connecticut) claiming still very active and that they could be planning insurance sector improved from HK$1,243 million in and staff resources on these areas of strength.’ that the merger provided an unfair windfall to future attacks against the US. 2002 to HK$1,698 million in 2003. management at the expense of shareholders. A noteworthy feature of the year was that the The merger still remains subject to approval from general liability business reversed from a loss of several state regulators, but is expected to close in HK$18 million in 2002 to a profit of HK$138 Allianz not to sell the second quarter of 2004. Fortis announce million in 2003. The COI report attributed this improvement to the general increase in premium German insurer Allianz will not sell its Dresdner Bank rates. Property damage business remained the subsidiary or merge with another group despite 2003 results most profitable segment of the insurance market, another €1 billion-plus loss at its banking unit. The Swiss Re to buy CNA accounting for an underwriting profit of nearly announcement was made at the unveiling of its 2003 Fortis have announced their end of year results for HK$800 million. results, which showed a return to profit for the Swiss Reinsurance has said that it will buy Chicago- 2003. A combination of good operating The long-term business scenario, which includes Allianz Group, with a net income of €1.6 billion. based CAN Financial Corp’s life insurance business performance and improved market conditions have term contracts for travel and health insurance, was Micheal Diekmann, Allianz Chief Executive, said: ‘I for around $700 million. amounted to a net profit of quite positive. Total premiums of long- can’t imagine taking part in German banking This is to include term, universal and permanent life €2.2 billion (increased from term in-force business amounted to consolidation. We see enough growth potential insurance policies and individual annuity products. €532 million), bringing HK$77,951 million in 2003, an increase [organically] in the areas that are important to us.’ Swiss Re is the world’s largest life and health return on equity for the year of 14.1 per cent over 2002. Allianz has reported improvements in all business reinsurer. This agreement is one of several Swiss to 19 per cent (compared to Hong Kong has a total of 190 authorised segments in almost all Group companies despite Re transactions in the US in which it is acquiring 4 per cent in 2002). insurers, of which 95 are incorporated restructuring expenses at Dresdner Bank blocks of life and health insurance and Swiss Re It’s welcome news for share overseas as of June 2003. However, the amounting to €840 million and a tax charge on administers the underlying policies until the holders as a cash dividend of total number of establishments involved German life and health insurers as a consequence insurance contracts expire. 0.92 cents per share (an in insurance – such as brokers and of new tax legislation. CNA is a commercial insurance writer and it increase of 4.5 per cent from agencies – is as high as 8,000; employing The Group reported a four per cent rise in premium anticipates a $300 million loss in the first quarter on 0.88 cents) will be proposed nearly 27,000 people. income for property and casualty insurance – due to the sale. This is the company’s third major sale in by the Board of Annual Most insurers are into the general sector. a pricing policy more proportionate to the risk the last four months. Directors to the Annual Among the overseas-incorporated involved – in particular in Germany, France, Spain It wants to focus on core property and casualty General Meeting of insurers, the US leads with 20 companies and the US. Total sales in life insurance also went up, businesses. As part of its agreement with Swiss Re, Shareholders in May. followed by the UK with 14. Big players from €40.2 to €42.3 billion. it has stopped Fortis CEO, Anton van have a dominant presence in the market, ‘We know that we still have some way to go in accepting new Rossum, comments: ‘We with the top 10 taking around 40 per order to achieve profitability goals, particularly in applications for had a good performance in a year that started cent of the general insurance market and over 70 banking business and in some insurance units. individual life and poorly with a weak economy and low stock per cent of the long term insurance market. However, we have the strength and financial annuity products. markets, but that ended well. Operating As China’s preferred international business centre, muscle to achieve this,’ said Mr Diekmann. performance continued to improve thanks to Hong Kong presents a strategic advantage to global further cost reductions, better interest margins and insurers and reinsurers as they balance international excellent results at Non-life insurance, owing to risk concentrations away from Europe and North sharply reduced combined ratios.’ America. But it remains to be seen how long Hong Munich Re suffer under tax ‘We successfully concluded an initial public offering Kong is able to maintain its number one status.

(IPO) of 65 per cent of the common stock of Competition has been hovering for about the past Munich Re, the world’s biggest reinsurance group A one-off tax Munich Re’s Leopoldstrasse building and Japanese gardens Assurant Inc., our US specialty insurance subsidiary, two years and will only thicken post-2004 when has had a bad year: In fact, the toughest in a charge amounting in February 2004. The proceeds of this IPO will be China removes all geographical restrictions on century. They posted a net loss for 2003 of $434 to €1.8 billion had to be faced last year, which was used in line with our strategy to strengthen our foreign insurers, reinsurers and their branches. million. The last time the company plunged into the a hard pill to swallow. However, Munich Re is businesses in our home markets, the Benelux Foreign insurers are qualified for a licence if they red like this was in 1906 – a year in which a large adamant that the forecast for 2004 is a €2 billion countries,’ added Mr van Rossum. have more than 30 years experience in a WTO earthquake hit San Francisco. What also makes this profit and that 2003 was the end of the bad times. Forecasts based on the last year’s performance member country, a representative office established latest profit statement so alarming is that in 2002 As Jorg Sehneider, Munich Re’s Chief Financial have made Fortis optimistic about 2004. in China for two consecutive years and global the company made a profit of $1.1 billion. Officer said, ‘with the net loss for 2003, we are assets of over US$5 billion. So what’s the reason behind the dramatic fall? Tax! drawing a line under three difficult years.’

International Travel Insurance Journal www.itij.co.uk

8 INSURANCEMATTERS NEWSWIRE

GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAP Lloyd’s profit orporacion Mapfre is hoping to raise €500 optimism million through a rights issue next month. GRAPEVINE C The Spanish company will use the The London-based insurance market Lloyd’s is proceeds from the rights issue for partial repayment of existing debt and for acquisitions. It expected to record full year profits of more than £1 Cost of fat cats will also provide a capital injection for the group’s Hard men billion in April. reinsurance operation, Mapfre Re, currently Lloyd’s lost £3.1 billion in 2001 because of its rated A+ (Superior) with a positive outlook. According to a report by supermarket Asda, the Homayoon exposure to the attacks on the World Trade A.M. Best Co. sees this announcement in line with obesity epidemic in the UK has now spread to the Kazerooni is a Centre. Although it will take several more years expectations and does not foresee an immediate owners’ pets, with fat cats and porky pooches professor of before Lloyd’s completely recovers from those impact on the ratings of any Mapfre companies. costing a fortune in vets’ fees. Figures show that mechanical loses, this year’s results should exceed last year’s the number of pet insurance claims related to engineering and £834 million profit. eath Lambert has landed a deal with QVC. obesity in 2003 was double that in 2002. the Director of Lloyd’s would not comment on the profits before The independent insurance broker has Vets are now treating a lot of obesity-related UC Berkeley’s they are posted on 7 April, but said it was important Hbeen appointed insurance and risk management advisor to owner of The Shopping conditions, such as heart disease, arthritis, robotics and for subsidiaries not to underwrite any policies that Channel, QVC UK. breathing difficulties and diabetes. In response to human would undermine the market’s recovery. this unhealthy trend, Asda is encouraging its engineering Other good news for Lloyds comes from Lloyd’s XA SA has reported an increase in net customers to take out insurance to cover the laboratory, and names, who have increased their commitment to income of six per cent to €1.0 billion from rising costs of treating their overweight pets. Pet he is working on Lloyd’s during 2004. Association of Lloyd’s A €949 million in 2002. The group said good insurance is now the third most common type of a project that Members Chairman, Michael Denny, said: ‘The progress had been achieved in its general cover after car and home insurance. could give you current profitability of Lloyd’s will enable names to insurance activities. In 2003, AXA’s combined ratio But remember, there is no bandwagon not worth the power of recover some of the heavy losses they have improved to 101.4 per cent from 103.3 per cent jumping on. All too conscious of this, the superhuman suffered in the past. They are encouraged by the a year earlier. AXA’s current combined-ratio target supermarket has now joined the fad diet brigade strength. important changes being made at Lloyd’s, which is in the range of 98 per cent to 102 per cent. for moggies and doggies by publishing its own Kazerooni is should improve its ability to manage future he Swedish savings and insurance company, Catkins diet. devising an artificial exoskeleton for people to Försäkrings AB Skandia, reported a net wear like a suit, which enables you T profit of 1.46 billion kronor (€158 million) to lift weights way beyond your compared with a net loss of 4.51 billion kronor normal thresholds. Imagine the (€488 million) a year earlier. The figure includes effects it could have on tours, hiking a 1.5 billion kronor gain on its 19.4 per cent with large loads, travelling long stake in If P&C Insurance, which it agreed to sell distances on foot with vast supplies. to Sampo Oyj of Finland. It would literally take a load off your back. However, he is funded by the viva has announced a rise in profits for 2003. The London-based insurer said it moved to a Defence Advanced Research Projects net profit of £932 million from a loss of £551 Agency or DARPA, which is a A million. Operating profit, a figure that matches division of the Pentagon, indicating income and costs over the life of insurance that it might have more military products, rose 11 per cent. The profits come after applications initially. No surprise a year in which the company took action to cut there then! costs and improve margins. Aviva said it believed a

steady increase in rates would continue. PEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVIN EVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRAPEVINE•GRA BOS said that general insurance premium income increased by 19 per cent to £1.6 US insurance chief Hbillion in 2003. The company said it saw encouraging volumes of new travel and commercial insurance business acquired criticized throughout 2003. ‘This combination of strong financial performance, customer focus and Simplifying regulation of insurance in the US is business development positions HBOS threatening state regulation. Ronn Mullins favourably in its aim to become the UK’s first investigates choice bank-related insurance business,’ said Michael Warren, Finance Director, Halifax ‘I have absolutely not abandoned state regulation,’ General Insurance. said Ernie Csiszar, President of the National ustralia’s international general insurance Association of Insurance Commissioners (NAIC), and reinsurance company, QBE, has fighting back against an accusatory letter from A revealed a 105 per cent increase in profit consumer groups that expressed ‘grave concern after tax for 2003. The figures are up from $279 about damage to insurance regulation being done’ million to $572 million. The increased profit by Mr Csiszar. came from higher insurance profit margins and J. Robert Hunter, the Director of Insurance for the improved equity markets, partly offset by an Consumer Federation of America who also signed increase in the tax charge. the letter, noted that he felt Mr Csiszar had abandoned some of the association’s regulatory loyd’s insurer Kiln non-marine Syndicate projects and did not appear to fully support state 807 has announced a positive performance for the 2001 year of account, despite the regulation of insurance, but instead seems to favor L World Trade Centre disaster. It has maintained its federal guidelines. Mr Hunter believes that federal strong forecasts for 2002 and expects 2003 to guidelines may weaken protection for consumers as continue in line with this growth. Kiln has also far as rates and coverage are concerned. In the started 2004 with renewal rates holding steady. United States, almost all regulation of insurance is done by the individual states. haucer Holdings, a leading managing ‘The NAIC continues to work with members of agency at Lloyd’s, has said the 2004 year of Congress to ensure that ongoing regulatory reforms C account had started positively with gross will preserve state regulatory authority and essential written premiums ahead of the total for the consumer protection initiatives,’ Mr Csiszar, who is same period in 2003. Chaucer said the 2003 Syndicate forecast ranges had all improved, with also the Director of Insurance in South Carolina, the 2003 initial ranges either equal to or better said in a statement. ‘They [consumer groups] have than those for 2002 at the same stage. misrepresented the facts.’ Increasingly, there has been a call for more federal ill Van Ameyde & Wallis buy IMR? control of insurance by many large insurance Rumours abound that Van Ameyde & companies. They say state regulation that has been W Wallis, the parent company of Voyager in force for more than 150 years is complex, Assistance are on the verge of completing the cumbersome and costly because of the duplication purchase of IMR (International Medical Rescue) of filings that must be done in each state. from AON. Several bills may be submitted to the US Congress ITIJ spoke to Ian Gilmour, Managing Director of Van Ameyde & Wallis, who declined to that would attempt to create a federal insurance comment at this time. regulator. The bills would provide a means for individual insurers to choose whether to be regulated federally in Washington D.C. or to continue to deal with regulators in each state.

International Travel Insurance Journal www.itij.co.uk

10 COMPANYBRIEF

Just the ticket AIG helps travel Insure my trip for The Exchange’s Safe Travel Care Inc. (STC), based in California, has agents out cancellation general insurance announced a range of improved products, and the addition of ‘restricted air fare’ coverage. Commenting on these changes, Robert Schultz, AIG Europe believes InsureMyTrip.com, the online travel Independent Financial Adviser (IFA) portal The CEO of STC, said: ‘We are pleased to announce travel agents should insurance provider based in the US, Exchange is expanding the general insurance several truly innovative changes to our product line review their travel has announced a number of new section of its Exweb portal with the launch of and are especially pleased to announce the addition insurance sales because travel insurance products from CSA software company Berkeley Alexander’s quotation of ‘Just the Ticket’ to our portfolio. This product many are losing out on Travel Protection and Travelex and transaction services for general insurance provides protection to clients who are travelling on potential revenue when Insurance Services, designed to protect products, to run alongside its existing general restricted airfare tickets.’ the customer does not take insurance out with the consumer against trip cancellation loses. insurance service. Exweb will now have a wide Today, travellers are risking purchasing more and them. A link from a travel website or from a call CSA Travel Protection, based in San Diego, has range of products that intermediaries can purchase. more highly restrictive airfares because of low initial centre agent – the travel agent’s usual mode of added two more products to its repertoire: Web IFA clients will be able to purchase general outlay. However, if for some reason a person booking insurance – results in around a mere 0.5 Direct and Web Direct Extended. These policies insurance products via the IFA’s website, with the misses such a flight, there is little chance to claim per cent of people taking up a policy with their provide trip cancellation and interruption along with IFA receiving commission for each transaction. compensation. In response, STC has come up with travel booking. a full complement of coverage, including baggage, David Child, Chief Operating Officer of The these new products to protect travellers from AIG Europe states that their online system gives baggage delay, travel delay, accidental death and flight Exchange, said: ‘The requirements of regulated costly missed flights. instant personalised quotes at the point of sale and insurance. Medical limits of $50,000 per policy and brokers are set to converge with the onset of ‘Just the ticket’ is designed for ‘air only’ passengers increases the travel agent’s conversion rate to as medical evacuation limits of $250,000 per policy are general insurance and mortgage regulation. We are who purchase a non-refundable or restricted much as 15 per cent. For call centre travel agents, incorporated into each plan. The Extended plan also developing Exweb into a trading platform that gives airfare. These passengers are at extreme exposure this figure is apparently in excess of 30 per cent, has a ‘financial default’ benefit and a pre-existing intermediaries a single access point to all the main to loss and will be compensated in the event of a providing a major income potential. medical condition waiver included. personal finance products.’ missed flight covered by a named peril. AIG Europe’s e-commerce technology has been Meanwhile, Travelex Insurance Services of Omaha, STC will begin by marketing these products and designed to help travel providers maximise Nebraska has revamped two of its plans: TraveLite services to North American travellers through revenue streams and, at the same time, retain and TravelPlus. The plans have a longer, 21-day alliances with travel professionals, insurance customers. It provides the technology, training and window, from trip deposit to date of purchase for Unmarried travel providers and Internet travel providers. ongoing support needed to integrate smoothly inclusion of financial default protection and the pre- At the beginning of March, Wall Street named STC as with their partner travel agent’s operating platform. existing medical condition wavier. Medical and a stock to watch after this announcement, which is Features include: medical evacuation limits have also been increased insurance great news for investors and perhaps a suggestion that • The customer gets an instant personalised quote to $50,000 per person for the Lite plan and One insurance company that has recognised the other travel insurers should get on the bandwagon. whilst buying their holiday or flight – additional $500,000 for the Plus plan. change in attitudes to marriage is Access America, details or click-throughs are not necessary. ‘The travel insurance industry is changing to meet who has introduced joint travel insurance policies • No need to redirect the customer to a different the needs of the travelling consumer,’ stated Jim for unmarried couples. The travel division of World GoSure extranet site and potentially lose the sale. Grace, President of InsureMyTrip. ‘These innovative Access Services Corporation, headquartered in • Pre-population of most of the required fields. plans and meaningful coverages will greatly benefit Richmond, Virginia, has expanded its travel The entirely Internet-based travel insurance • Fully computerised policy fulfilment. travellers. I foresee other insurers following suit, insurance policies to include protection of domestic provider GoSure.com has introduced an extranet Peter Kitt, AIG Europe’s Travel Systems Manager, but the bottom line remains: It pays to compare.’ partners, defined as ‘persons with whom the service that allows brokers access to its range of said: ‘Many travel provides are losing out on their policyholder has lived continuously for 12 months travel polices on a flexible commission basis. rightful share of the £6 million market. We are prior to the effective date of coverage’. This The service allows brokers to sell single or group looking to develop long term, supportive includes cohabitating partners and also gay and polices from a range of GoSure products including relationship partnerships and help agents exceed lesbian couples who live together and travel as a ski, backpacker and family polices. their profit expectations.’ family. Emily Porter, Vice President of Marketing for Access America said: ‘Its pretty new, but I would say more and more people are recognising the need for travel insurance. As such, we wanted to extend the opportunity for protection to as many people as possible. We just wanted to have our benefits STAR HEALTHCARE NETWORK reflect the reality of the marketplace.’ US hospitals told: No law against discounting continued from p.1 Medicaid, which administers both programmes, to discounting and said that such discounting, including OVER 15 YEARS OF EXPERIENCE IN clarify the rules concerning discounting – especially in for travel health insurers, has never been a COST CONTAINMENT INDUSTRY light of the growing government and consumer problem at his institution. But he agreed that HHS pressure on hospitals to give ‘clarification’ might remove ‘an DISCOUNTS WITH PROVIDERS the uninsured or underinsured excuse or a rationale’ for a WORLDWIDE AVERAGING 35% at least the same break they hospital not wanting to give a give group insurers. discount. ‘My interpretation of RAPID CLAIMS TURN AROUND TIME In an especially brusque the (Medicare) rules has always retort, Thompson told been that it’s ok to offer a QUALITY AND EFFICIENT Davidson, ‘To be sure that discount if one chooses to do CUSTOMER SERVICE there will be no further so, but that charges need to be confusion on this matter, at consistent regardless of the DEDICATED TO CUSTOMER NEEDS my direction, the Centres for payer. In effect, the basic Medicare and Medicaid Services and the Office of charges offered to different payers don’t differ. But CASE MANAGEMENT / the Inspector General have prepared summaries of discounts, are quite different,’ he said. NEGOTIATION SERVICES our policy that hospitals can use to assist the There has always been a lot of flexibility as to what uninsured and underinsured. This guidance shows kind of discounts on the charges can be offered. that hospitals can provide discounts to uninsured ‘The practical reality of what hospitals deal with is and underinsured patients who cannot afford their that some people actually pay the full charge hospital bills and to Medicare beneficiaries who amount, and some people don’t pay anything cannot afford their cost-sharing obligations.’ He because they have no resources,’ added Mr Harr. emphasised, ‘Nothing in the Medicare programme ‘Practically speaking, nobody does (pay retail)…even rules or regulations prohibit such discounts.’ travel insurers. On the other hand, nobody feels Thompson’s response to hospitals’ requests for they get the discount they deserve,’ he said. guidance on this issue was prompted by a growing The government’s and the hospital industry’s focus number of complaints that hospitals were charging the on Medicare rules impacts all other insurers and uninsured, or other individuals not covered by payers because those rules generally define the employer-sponsored or group plans, full retail price for shape and dimensions of the healthcare playing field, their services. In America’s managed care environment, just as the rates determined by Medicare for various CONTACT: GIGI GALEN, PRESIDENT virtually all employer-sponsored or group insurance hospital and doctors’ payment fees are used as 850 SEVENTH AVENUE SUITE 803 NEW YORK, NY 10019 plans pay only a negotiated share of the retail price. standards by commercial insurers. In effect, the PHONE: (212) 581-8228 FAX: (212) 581-8272 E-MAIL: [email protected] Steve Harr, Vice President of Managed Care at federal government’s ability to regulate Medicare Florida’s Orlando Regional Healthcare System provides its primary leverage over the nation’s concurred with Thompson’s remarks concerning healthcare delivery system as a whole.

International Travel Insurance Journal www.itij.co.uk

12 TRAVELMATTERS

Pakistan embraces tourism

on tourism are hoping people will come back. Reports show that there is already a definite increase in bookings for this year from foreign tour operators. The almighty Mount Godwin-Austen Chogori in Pakistan, more commonly known by its surveyor name of K2, celebrates its 50th birthday in 2004 and many events are being organised around the mountain’s base camp. The mountain was first climbed in 1954 by an Italian expedition headed by Achille Compagnoni and Lino Lacedlli. Many climbers are expected to come and pay their Tourists are set to return to Pakistan this year after respects to the mountain this year and the Pakistan several years of avoidance. Disastrous events – from government has announced up to a 50 per cent the country’s 1998 detonation of a nuclear device, reduction in climbing fees for all peaks in excess of through to the overthrowing of the Nawaz Sharif 6,000 metres. With an elevation of 8,611 meters, government by General Pervez Musharraf and of K2 certainly tops that. course the events of 9/11 – have all deterred Minister of State for Sports, Culture, Tourism, visitors and the tourism industry has thus suffered. Minorities and Youth Affairs, Rais Munir Ahmed With the country’s close proximity to Afghanistan Sunday has also announced plans to develop tourism and with the international press reporting how the in southern Pakistan, including development work to Taliban and Al-Qaeda were hiding out in Pakistan, introduce recreational facilities on the beaches and the country has understandably felt the negative constructing a tourist complex at Gawadar port. With effects of being associated with terrorism. these plans in place to improve the country’s appeal But with travel advisories having recently been either to tourists, it looks like 2004 will be a progressive removed or relaxed on Pakistan, businesses relying year for Pakistani tour operators.

Business class only

Airlines have been struggling for the past few years due to the downturn in tourism. Now, they are trying to get back into the black by encouraging their most profitable passengers – business-class and premium-class flyers – to return. Even though a massive 65 per cent of British Airways’ revenue comes from premium-priced fares, these travellers usually occupy only 35 per cent of the seats on an aircraft. This is due to the high cost of such tickets. According to a 2003 US survey by economists Steven Morrison and Clifford Winston, fares for business travellers have increased 10.4 per cent since 1989 in comparison to a mere 2.4 per cent and JFK in New York. increase for other travellers, thus giving an Other business-only services in Europe include indication as to how important business travellers Club Airways, a Geneva-based group that operates are to the air business. a service between European capitals on corporate As such, airlines are trying to tempt the jets for passengers who pay an annual subscription. businessperson back with upgraded facilities such as Meanwhile, Blue Fox Airlines is trying to raise finance in-flight Internet connections, flat beds, special to operate twice-daily direct flights to JFK from check-in facilities and serene business class lounges Stanstead in the UK, with future plans to fly to at the airport. Various airlines are taking one step Washington, Boston, San Francisco and Los Angeles. further and introducing business-class-only flights. Singapore Airlines offers only business class on its Since the last flight of supersonic Concorde, there new, direct Singapore to Los Angeles route. The has been a gap in the market of airline services route was inaugurated on 4 February with an dedicated to business and other premium-class Airbus A340-500 that normally seats 313, but will travellers. But some airlines, including Lufthansa, Air only carry 181 top-class passengers. France, Singapore Airlines and Delta, have decided In the US, Delta Air has been testing an all-business to take advantage of the opening in the market. service between Atlanta and Houston, and Although they don’t promise to get you there any between Atlanta and Kansas City. In the Middle quicker, they do aim to get you there in style. East, both Qatar Airways and Gulf Air are offering Germany-based Lufthansa now has three business- some flights with business seating only. class-only routes operated by PrivatAir, flying from But although the introduction of business-class smaller airports rather than Lufthansa’s main flights seems a good idea, airlines are worried about German hub of Frankfurt. Lufthansa was the first undermining the economics of their existing airline to begin business-class-only services, with a services. Due to airlines having limited numbers of Düsseldorf to Newark flight in June 2002. The slots at hub airports, they want to put as many airline is now introducing more such routes. bums on seats as they can in each slot. It would be ‘Besides providing a non-stop service, we offer ideal less efficient to put smaller aircrafts into the connections to the business centres on the East schedule, especially if they were filled with business Coast of the US and the Mid-West,’ said Lufthansa people who would have simply flown business class Chief Executive Officer, Wolfgang Mayrhuber. The on a mixed-class plane. services operate using two Airbus A319 aircrafts This has deterred some airlines such as Virgin and a Boeing Business Jet, each fitted with 48 seats Atlantic, which has been considering a transatlantic – as opposed to the usual 128 – for extra comfort. business-only service called JetSet. The business- Recently, Air France got on the business-class only service of Kirk Kerkorian’s MGM Grand Air in bandwagon by announcing plans to offer seven the US has also reported mixed responses. routes for oil-industry executives who travel to But factors such as security delays and congestion at remote petroleum-rich destinations, such as Atyrau big airports could make such deluxe services more in Kazakhstan. According to Air France, this is attractive. Lufthansa’s idea to travel from smaller expected to become a profitable niche route fairly airports maybe the way forward. quickly, even though it outlayed €300 million for its Big airlines are watching these developments development. closely. They have already lost custom to low-cost In Paris, Premium Airways says it expects to be airlines and they cannot afford to lose out on more flying by this May. The airline will offer business- business, especially when it is the lucrative trade of class-only flights between Charles de Gaulle, Paris premium travellers.

International Travel Insurance Journal www.itij.co.uk

14 TRAVELMATTERS

Changes to air space reforms in EU airline sanctions Australia The European Union (EU) will soon be able to As reported in ITIJ 36 (Travel concern being an incident involving a passenger impose sanctions on foreign airlines that have matters, Risk of collision on jet and a light aircraft over Launceston (in profited from state aid or engaged in unfair the up), there was a chorus northern Tasmania) just before Christmas 2003. pricing tactics. Milan Korcok reports of concern from pilots and In response to this, and other incidents, changes air traffic controllers around to the National Airspace System were The need for the law comes after complaints that Australia at the introduction, announced in late February and more changes US airlines have been receiving subsidies since 9/11 by the Australian are now possible. – when they experienced a drop in demand and a government, of new air-space Pilots will receive more education, key radio rise in insurance premiums – giving them an rules, which came into effect frequencies and the routes flown by jets will be advantage over European airlines. on 27 November 2003. Roger placed on aviation charts. Proposals requiring pilots It has been estimated that the US aviation sector Allnutt looked into this new flying in the same airspace to rely primarily on has received somewhere in the region of $15 system, which allows light visual checks for other aircraft, could be billion, allowing them to offer cheaper rates to planes into areas used by modified. transatlantic passengers flying the same route as commercial airliners and Based on the US system, the changes introduced European carriers, thus having a negative effect on involves a reliance on visual in November were designed to provide greater European carriers revenue. checks for other aircraft flexibility to visual flight rules, but the conclusion The US already has laws in place to protect it from of a review after the first three months was that European airlines offering unfair pricing deals, but Following the introduction of this might have been flawed, with service levels the EU has no similar law as aviation falls outside of the new rules, there were reduced. EU and World Trade Organization (WTO) claims of a number of near A spokesman for federal Transport Minister John jurisdiction. Therefore, the new law puts the EU on misses, with the major Anderson, said the changes would be 'minor'. a level footing with the US. However, the US has never used its legislation to impose sanctions on a GTA break into China European carrier and is thought to be more of a Gullivers Travel Associates (GTA) has become the conduct business, as there's no monetary exchange. deterrent than a practice. first Western company (and only the second Under its new status, GTA will operate as a full- The new law will allow the company worldwide) to be awarded a travel license service travel company – GTA China Limited. European Commission to by He Guang-Wei, Chairman of China National Travel in China is currently experiencing very rapid investigate foreign carriers Tourism Administration (CNTA). This license grants growth; the World Travel & Tourism Council’s recent believed to be receiving GTA the right to apply for a business permit to forecasts predict China's growth in travel and tourism will state aid or selling tickets open as a full service travel company in Beijing. exceed 13 per cent in 2004 and will continue at well below cost price, but can Once the company is established, GTA will be able over eight per cent per annum for the next decade. only react to new cases. to sell domestic travel and bring inbound groups Bernard Bialylew, GTA Director, based in Shangahi, Airlines found guilty of and fully independent travelers (FITs) in to China said: ‘This is a really fantastic achievement for a contradicting these new with the same rights as other local businesses. At Western travel company. It will enable us to rules will be fined. present, other Western tour operators can only act capitalize on the exploding market for travel in as a liaison office with local suppliers; they cannot China.’

International Travel Insurance Journal www.itij.co.uk TRAVELMATTERS 15

Extreme weather hits Oz US tourism on the up

Brisbane in Australia saw record The World Travel and Tourism Council increasing flights to popular US destinations in temperatures in the last weekend (WTTC) has announced its forecast for US preparation for an influx of visitors this summer. of February, when the mercury travel and tourism in 2004 and the results WTTC president Jean-Claude Baumgarten said: topped 41.7 degrees centigrade. look promising. After a couple of years of ‘We are cautiously optimistic that the corner has Australia’s third largest city, disappointing tourism in the US, resulting been turned for travel and tourism. After nearly Brisbane, on the East Coast, is from an economic downturn, the risk of three years of gloom and doom, we are expecting used to hot temperatures at this terrorism, the Iraq war and SARS, the the pent up domestic demand to surge in the time of year but at the weekend it WTTC predicts a welcomed growth in the United States, while inbound visitors, especially was too hot for even the toughest tourism industry. from Europe where the Euro and Pound are of Ozzies. Predictions that the US would benefit from particularly strong, are expected to provide a much Queensland Ambulance Service an increase in European and UK traffic, needed boost to the industry.’ said that the number of call-outs at resulting from the falling dollar, are already American workers can rejoice with the suggestion the weekend was 53 per cent coming true. With the exchange rate so from the WTTC that the travel and tourism above average and two favourable against the dollar, the US is industry is expected to produce more than one paramedics were treated in seeing more and more Europeans flock to quarter a million new jobs in 2004 (over its 2003 hospital for dehydration after US cities to get a good deal. Canny tourists level) to total 6.6 million jobs, or 4.7 per cent of working in the soaring heat. The are hopping over to the US to pick up total employment. ambulance was stretched so much clothes and electrical goods, sometimes at that fire fighters were being sent half the price of in their out ahead of paramedics to home country. ITIJ administer first aid until the spoke to business ambulance arrived. Twenty-nine traveller Alasdair sudden deaths were recorded Watson from the UK over one weekend, compared to who has scheduled an only seven the previous weekend. extra day into his travel The unbearable heat is thought to plans to make the be the cause. most of the malls in Along with the ambulance crews, Miami. He told us, ‘I the Royal Society for the decided to get an extra Protection of Cruelty to Animals day in to visit the malls said that they experienced one of their worst mobile telephone services to be cut, has also and take advantage of the weekends in memory with 74 call outs to heat- brought much-needed rain to drought-stricken excellent exchange rate. I can distressed animals that could not get cool either. areas in North Western Australia. The slow-moving get an ipod for the equivalent Hotels reported a massive increase in bookings as cyclone was expected to lose its tropical cyclone of about £130, when they are people without air conditioning in their homes status and become a rain-bearing depression as it about £250 over here. Clothes flocked to the cool interiors of the fully equipped moved inland and that seems to be what has will be really cheap too.' hotels. happened. No serious injuries have been reported Figures from hotels and tour Meanwhile, the other side of Australia has been as a result of the cyclone. operators suggest foreign struck with destructive winds of up to 200 The message to tourists is to be aware of the visitors are booking up holidays kilometres per hour from Cyclone Monty. Monty, unpredictable weather Australia is currently to the US and hope the trend who has caused damage, including home and experiencing and pack for all weather conditions. continues. Airlines are also

www.itij.co.uk International Travel Insurance Journal 16 HEALTHMATTERS

Rent-a-patient schemes balk insurers Hospital hell

Cigna Corp., UnitedHealth Group and Blue As if suffering from cancer were not enough, a Cross/Blue Shield plans, as well as large self-insured woman cancer patient in the Royal United Hospital Editorial employers who traditionally offer generous benefit in Bath, England, then contracted Legionnaire’s packages that allow members to seek care outside disease while she was in a specialist ward. It is their providers’ networks, as among the major thought that the Legionnaire’s infection was linked to targets of the rent-a-patient scam. the shower head in the bathroom, and 12 high-risk Comment In one case cited in the Wall Street Journal, a patients have now been moved out of the ward. recruiter, or ‘capper’ solicited a young Midwest factory worker and his wife to fly to Los Angeles It feels awful to say it, but the word and visit a local outpatient clinic for a few minor ‘terror’ is losing its potency, as every procedures – all expenses paid plus $1,000 to word will if used so many times in the spend. While there, doctors removed a bunion on media. We are growing accustomed as the husband’s foot and performed colonoscopies a society to the fact that in today’s and endoscopies on each of the two patients. world we have to live with the reality Following a 15-month probe, the US’s Federal These normally cost about $2,000. But the claim of terrorist attacks on a daily basis. It is Bureau of Investigation (FBI) and insurance submitted to their insurer Cigna, totalled $220,000. now more a fact of life than an event in industry investigators have ripped the cover off Fortunately for Cigna, the claim was flagged, isolation. Because of this, travel will one of the most brazen medical scams ever denied, and referred to law enforcement for follow become less and less affected in the devised. Milan Korcok tells all up. Many smaller insurers with fewer resources, long run because we begin to however, simply pay the bogus claims. desensitise to our original fears, and we This scam has seen some of the largest health In another case reported in the media, a Texas realise that if we want to live normal insurers in the United States bilked out of hundreds couple travelled to the Los Angeles area and lives and travel the world, as is our of millions of dollars by outpatient surgical clinics received three endoscopies, a colonoscopy and a right, we cannot afford to be dictated doing needless surgery on healthy patients recruited hemorrhoid removal, all of which were billed to to by bands of extremists. Terrorists for money and the promise of a pleasant vacation in Cigna Corp. for $228,000. Cigna caught and win if they prevent you going about sunny Southern California. The so-called rent-a- denied the claim. your normal life. So in some ways, you patient schemes involve paying willing ‘patients’ – Investigators are hampered in tracking down these could say they are not winning. usually young and healthy – to travel to outpatient facilities because California law makes it easy for Ironically trade and tourism are clinics to receive unnecessary elective, surgical or them to change names and tax identification numbers becoming harder-skinned and more diagnostic procedures such as endoscopies, and move around very quickly. Many states also have robust to attacks, the more frequent colonoscopies or sweat gland removals, which are ‘prompt pay’ laws, which require insurers to pay they are. In Madrid, David Ing, our then billed back to the patients’ health insurers at providers within 30 to 45 days, and this denies many correspondent who lives there and saw vastly inflated rates. In return, the patients receive of them the opportunity to duly investigate and the city bounce back, said that despite cash rewards, free travel and accommodation, and challenge suspect or aberrant claims. Some insurers the massive protests and anger of the sometimes have procedures like free cosmetic and self-insured employers are somewhat protected country, the infrastructure and the surgery thrown into the bargain. The patients are from the most flagrant charges as their policies specify future forecasts for tourism have not often recruited by fellow workers, relatives, or they will only pay the ‘usual and customary’ fees for been damaged significantly. If anything, friends who have heard of these ‘special deals’ and the given area. But many insurers don’t have such it makes the terror attacks all the more who in turn will get their share of the proceeds. provision and so are on the hook for the full claim. pointless, despite the fact they were The FBI, which believes the schemes now involve Though indictments of some of these centres are Cross in Malta ultimately without any sense in the first dozens of clinics and more than 100 doctors and expected soon, government and insurance place. Tourism is an industry that can other healthcare providers, mostly in Southern investigators can only guess about the scope of the There’s been a bit of a spat between Dr Frank be hurt, but not for long. California, recently raided the Millennium Outpatient problem. Some suspect the groups involved may Portelli, Chief Executive of the privately owned St Surgery Centers in Fountain Valley and Santa Ana be connected. Phillip’s Hospital in Malta, and the British Medical Richard Forsyth (Orange County), the Bel Air Surgical Institute in Los One giant national insurer, UnitedHealth Group, has Emergency Service Forum (BMESF), which has had Managing Editor Angeles, and Valley Multi-Specialty Surgery Center in reportedly identified 300 fraudulent Southern a public airing in The Sunday Times of Malta, and Reseda. According to an Associated Press report, California surgical centres involved in suspect schemes. which should interest anyone involved in the assistant US attorney Jeannie Joseph said the Bruce Chambers, Assistance Vice President of related industries of insurance and assistance. investigation was ongoing and ‘we do plan on special investigations at Philadelphia-based Cigna Dr Portelli considered the use of private medical bringing indictments, hopefully in the near future.’ Corp., is quoted by the Associated Press as saying facilities to improve long waiting times for treatment Bill Mahon, President of the National Health Care that the rent-a-patient scam ‘just keeps and referred to what he called a ‘racket’ involving Anti-Fraud Association – an arm of the insurance spreading….It’s become an industry in itself.’ foreigners whose insurance companies take industry – said these and other clinics have bilked Chamber said further that an estimated $65 million premiums from them in order that they receive insurers out of $300 million to $500 million in in fraudulent payments stopped by his investigators treatment in private centres. Such expectations are recent years and have hit upon employers and last year, originated in Southern California justified, he said, for people who have purchased insurers in every state in the country. He cited outpatient surgery centres. private medical insurance. But Jon Phillips, chairman of BMESF, has pointed out that the vast majority of British visitors to Malta have not purchased private medical insurance and expect to be able to take advantage of the reciprocal health agreements with Malta and to use the public facilities. He believes that Dr Portelli has deliberately confused private medical insurance with the much cheaper emergency travel insurance. One local doctor is known systematically to refer British tourists to Dr Portelli’s clinic, where their treatment is not necessarily covered by their insurance. Mr Phillips points out that, when Malta accedes to the European Union, the treatment of all EU visitors in Maltese public hospitals will be paid for by the relevant institution in the visitor’s home country. Due to the way in which patients are referred by the local doctor concerned, BMESF has in the past made representations to the Medical Association of Malta and the Maltese High Commissioner in London to bring these matters to the attention of the authorities in Malta. Since no significant progress has been made, BMESF– in conjunction with virtually the entire UK travel insurance market – has taken the unprecedented step of commencing joint legal action to prevent British tourists to Malta being treated unethically. We wait to hear what happens with interest. This contretemps has been rumbling along for some time now, and it will be interesting to see it finally resolved.

International Travel Insurance Journal www.itij.co.uk HEALTHMATTERS 17

Deadly strain of TB Illegal meat and fish

New strains of tuberculosis that are resistant to the What some people bring back from their travels drugs used to treat the illness are proliferating will never cease to amaze… around the world, with the result that, according to The threat to health of illegal meat and fish from the World Health Organization (WHO), there are Africa continues apace, if what people try to bring now some 300,000 cases of multi-drug-resistant in their luggage is anything to go by. A woman TB worldwide. The problem is especially prevalent landed at Heathrow airport, London, from Gambia in eastern Europe. in early March with 84 kg of fish and meat in her And, in these days of frequent and easy suitcases. The sheer weight of her luggage, if international air travel, noone is considered to be nothing else, must have aroused the airport staff’s immune. The WHO’s ‘Stop TB’ department has suspicion, though presumably there may also have said that aircraft passengers are spreading TB in a been at least a trace of a telltale smell. way that simply cannot be controlled. This is a very She was arrested by customs officials on the spot different problem from, say, malaria, when the and will appear before magistrates in April. Bird flu suicides Delhi belly vaccine interiors of planes leaving malarial zones are sprayed to kill mosquitoes. Tuberculosis is A Japanese poultry farmer and his wife, who were Travellers’ diarrhoea – or ‘Delhi belly’ – has for spread simply by coughing, speaking, suspected of covering up a recent outbreak of bird years been one of those almost unavoidable breathing – and people may not even know flu, were found hanged in early March. They were ailments that many western tourists seem to get that they have it. found by an employee, hanging from a tree near the when venturing to exotic places, no matter how Of particular worry is the strain of TB known farm in Himeji, in western Japan. The police later much purified water or thoroughly-cooked hot as MDR TB, which if untreated, is a death found a suicide note, in which the man said that he food they eat. But now an end to the stomach sentence. Treatment requires a cocktail of realised they had caused a great deal of trouble. cramps and days spent in bed missing out on expensive drugs, which is difficult to The firm had been criticised for waiting a week valuable holiday time is in sight. administer. It is most common in the former before reporting the deaths of thousands of A team of British scientists has developed an oral Soviet Union, which has a rate almost 10 chickens in February. The outbreak had only been vaccine that provides up to three months times higher than anywhere else. But that uncovered after local agricultural officials received protection against E coli. The product is currently said, there are nearly nine million cases of it an anonymous tip-off. undergoing its first phase of clinical trials and is around the world every year, and two The farm boss had faced possible criminal charges producing excellent results. There will also be a million deaths. but had denied attempting to conceal the deaths. clinical trial in the US. There are about 40 to 50 cases of MDR TB He admitted, however, stepping up shipments of A similar product, Dukoral, which protects against E in the UK each year. This represents about live poultry after chickens had started dying in large coli and cholera, is already available in Canada and one to 1.5 per cent of TB cases, and the numbers. New Zealand. numbers appear to be stable. The month of January had seen over 30,000 Obviously good news for tourists, the vaccine also The charity TB Alert in the UK has said that chickens die in Japan’s first outbreak of bird flu for has wider usages, however: It is thought it could be TB is an airborne disease and it is simply not nearly 80 years. No human cases have been used to save up to 85 per cent of the half a million possible to isolate any one part of the world reported in Japan, but there are fears that wild lives lost each year to diarrhoea in the developing from the rest of the world. Screening at birds could spread the disease. world. ports of entry will not work – the only way to deal with it is though better detection and treatment in the worst-affected countries. Answer to jet lag

Scientists in the US believe that they days of fasting. This, the scientists What to do have finally overcome that sworn involved believe, alters the body’s Start three days before enemy of travellers everywhere – jet internal clock. The high-protein you are due to fly. lag. The way to do this, they say, is to foods stimulate the body, causing it follow a strict eating plan, consisting of Day 1: feast day to wake up and have extra energy; feasting and fasting, for three days Eat three full meals, the low-carbohydrate fasting days, before a flight, which will fool the body with as much protein on the other hand, then make the into thinking that it is in a new time as possible. body feel sleepy. zone before take-off. By alternating eating patterns for This dastardly plan was originally Day 2: fast day three days before flying, the body devised by American government Eat three small meals, can gradually move on to a new scientists, who were trying to devise a low in both time zone in advance of the journey, way of allowing soldiers to operate carbohydrates and thus avoiding the ‘crash’ effect of anywhere in the world without feeling calories – say, salads instantly changing to a new time tired. It was then discovered that the and thin soups. zone. Food is the key to controlling diet also helped reduce the symptoms the internal body clock, and can Day 3: flight day of jet lag. Try to get to sleep as stimulate the production of key They are now making their discovery soon as possible when chemicals in the brain. public because they feel that the diet you get on the plane. The researchers claim that, if the will be of invaluable help to civilians diet is followed correctly, it virtually keen not to suffer the after-effects of a eradicates jet lag. Research shows long-haul flight. that travellers using it are seven So what is this magic diet, you ask? Well, it consists times less likely to experience jet lag when travelling of alternating days of eating high-protein meals with east, and 16 times less likely when travelling west.

www.itij.co.uk International Travel Insurance Journal 18 NEWSANALYSIS

It was just another morning on the 06:45 train from Guadalajara to Madrid. As the train in perpetrating this latest ghastly act. only the details that will no doubt eventually come If they were indeed Islamic fundamentalists, as most out in the wash. approached Atocha Station no one knew or would even have dreamt that within a few people now seem pretty sure – though some One of the problems with al-Qaida is that it is a doubts still remain – they seem to have adopted movement – not a specific group, or even a seconds their train would be the curtain raiser in a series of bombs that would mark the entirely new tactics and to have shown a surprising campaign – and that its sympathisers are therefore new expertise in bomb-making. And that is the really not always easy to trace. Al-Qaida is known to first attack by al-Qaida in western Europe. Anne Johnson takes a deep breath and looks scary part. Because it means that we can’t rely on exploit the help of local sympathisers wherever it their past actions as any reliable indication of what operates, and it would seem that the action in at what we can expect in the future they might do in the future, and we actually have no Madrid may have been planned, at least in part, and idea what to expect next. We don’t have a clue. carried out by local radicals. Al-Qaida has used Spain as a regular transit point Ten bombs hidden in rucksacks exploded on four agencies call ‘chatter’ or intercepted A new era of terror and the country’s proximity to north Africa has commuter trains travelling into Madrid during the communications – was in itself bound to set off In the past, al-Qaida has chosen targets that had also meant ease of access for Algerian and peak of the rush hour on 3 March. The latest alarm bells. There was not even any suggestion that some kind of symbolic significance: The Twin Moroccan groups of sympathisers linked to al- figure is that 190 people were killed, but many there had been an increase in al-Qaida activity. Towers in New York, symbols par excellence of Qaida. The upshot of all this is that Spanish are still critically injured. This was clearly a One well-placed source with links to the intelligence giant western financial power; a big western bank investigators are all but convinced that the tragedy on an enormous scale, but it was also the services was quoted as saying that ‘our in Istanbul; a tourist spot in Bali, where decadent bombings were the first instance of Islamic jihad worst act of terror in western Europe since the understanding of al-Qaida is not as it should be. westerners came to mingle with the locals and to attacks in the European Union. bomb that blasted Pan Am flight 103 out of the There was no tangible lead.’ And this is about as party. But the targets in Spain were something sky over Lockerbie, UK, in December 1988, worrying as it is possible to get. entirely different – commuter trains, packed with The implications killing 270 people. It seems to suggest a monumental gap in people going about their business on their way to The implications for the world are huge and This latest and deadly episode was obviously intelligence, and this in itself has to be taken very work. And this time the attacks, as far as it is serious, as it becomes clear that al-Qaida had no serious, and the Joint Terrorism Analysis Centre at seriously indeed. We have come to rely to a large known, do not seem to have been done by problem infiltrating the continent of Europe and MI5’s London headquarters, Thames House, met in extent on our intelligence services and where they suicide bombers. masterminding an outrage of such devastating response in an emergency session as soon as they obviously fail us, we feel that we have been let First of all, a videotape which was found in a rubbish proportions. As a result of the Madrid bombing, the heard of the scale of the Madrid bombings. The down, abandoned, and left exposed and vulnerable bin near a large Saudi-financed mosque that has EU called an emergency conference of interior security services had been expecting something like to whatever fate – or, more specifically in the known links to al-Qaida, threw the western ministers on 19 March, precisely to discuss the this for months – a suicide bombing, perhaps, or current climate, the terrorists – have to throw at us. intelligence services into a spin. It showed a man in implications of the train bombings, ahead of a attacks on aircraft. Something like this, but not But as well as that, the fact that what occurred was Arab dress, speaking Arabic with a recognisably planned summit a week later. precisely this. Not at all… so different both in procedure and in detail from the Moroccan accent, purporting to be al-Qaida’s No country in Europe can ever consider itself to be The fact that this had occurred with no advance hint usual Islamic fundamentalist method of attack, was commander in Europe claiming responsibility for the entirely free of the threat of terrorism, but the UK, of what was afoot – no rumours, no whisperings, also alarming. This was why no one could be sure, Madrid bombings and issuing a chilling threat of which entered into the war in Iraq alongside the US no suspicions, no sightings, no what the intelligence at first, who the terrorists were that had succeeded further attacks against western targets. ‘You love life and Spain, must surely see that it must be at the top and we love death,’ he said. of the list, and people are feeling very nervous. It He suggested that the attacks in Madrid were a obviously raises uncomfortable questions as to retribution for the Spanish government’s support for which country might be next, and whether the George Bush over the war in Iraq. But it has to be intelligence services actually have the capability to said that establishing the authenticity of these so- prevent further massacres of this kind. For the time called al-Qaida tapes is well nigh impossible. Al- being, anyway, and going by past experience, it Qaida is known normally to be slow, and would seem that this is unlikely. sometimes to take months to claim responsibility, as There is a tangible feeling of great apprehension in it did over the 11 September attacks. Sometimes, it the train stations in England and on the does not even claim responsibility at all. Underground, and passengers are talking – or at As the days went by after the bombings and the least thinking – about little else. There is clearly a Spanish police concentrated their investigation on new and definite fear of train travel, though many the ten men who are now being held in connection people are voicing a determination to keep on with the bombings in Madrid, at least half of whom travelling. If we stop, they say, the terrorists will are known to be Moroccan, things became have won. somewhat clearer. One of the men has apparently The reality of the terror threat facing the UK was been identified by a survivor who saw him on one underlined on 15 March, when Scotland Yard of the trains. It was revealed, too, that the same confirmed that four embassies in London had man, who is called Jamal Zougam, is known by the received suspicious packages containing white police and intelligence services in several countries, powder. Initial tests have not revealed any including France, Spain, Morocco, Norway and Iraq, suspicious substance in the powder. for his contacts with radical Islamists and al-Qaida Britain’s most senior police officer, Sir John Stevens, suspects. He and the three other men were the Metropolitan Police Commissioner, has said that arrested after police traced mobile phones used in it would be a miracle if terrorists did not get the bombings in Madrid. But he has been known through to London and that it is no longer a matter for some time, as the Spanish police searched his of if, but when. He has disclosed his readiness to Madrid flat in October 2001, and found videotapes deploy the army on the streets of London if that of jihad fighters and an interview with Osama bin becomes necessary to guard the capital from the Laden. Three of the men have police or judicial terrorist threat. records and one is apparently under suspicion in a These are fine words indeed, but even the army murder inquiry. would not have sufficient troops to search every As a result of these findings, speculation has grown bag that is taken onto public transport and to be that there is a direct link between the Madrid sure of being able to stop an outrage of this kind. bombings and the group that killed 44 people in And perhaps still more important, these fine words suicide bombings in Casablanca in May 2003. do little to help us understand what we can expect Spanish investigators have travelled to Morocco to from the evil minds of the terrorists in our midst. look into this further. One of the Moroccans Security has been stepped up both on trains and arrested is also known to have had links with an on the London Underground, and undercover alleged al-Qaida cell leader who was charged with officers will mingle with passengers. New aiding the 11 September attacks in the US in 2001. billboards have been put up all over the tube The US has now acknowledged, as of 15 March, network asking people if they know what is in the that there are indeed definite connections between unattended bag at their feet, and people are being the atrocities in Madrid and al-Qaida. The depth of urged to be vigilant. that connection has not yet been determined, nor There is a deepening realisation that the 190 deaths the total level of responsibility, but these seem to be in Madrid on 11 March probably constituted rather

International Travel Insurance Journal www.itij.co.uk NEWSANALYSIS 19

more than a domestic Spanish terrorist event. entirely clear. Whichever way you look at it, country, if only because Spain’s troops are based countries such as Italy, Japan and even Britain, all of Whatever happens, the repercussions of Madrid are though, the overall message that can be read from exclusively in the relatively peaceful Shiite- which have committed troops to Iraq in the face of highly unlikely to stop at the Spanish border. the election was abundantly clear. dominated regions of southern Iraq. But it would mass national opposition, may reconsider their If, as now seems likely, al-Qaida is responsible for the The political shockwaves resounded throughout have a marked psychological effect and it would be position for fear of a massive domestic backlash. attacks in Madrid, the implications for Europe will be Europe and the US, as this became the first bound to increase pressure on British Prime Both Bush and Blair will be facing elections in the vast. If it is indeed confirmed that the Madrid attacks European election in which Islamist fundamentalism Minister, Tony Blair, who is likely to feel increasingly not too distant future. Both will continue to work have an Islamic background, and this now looks was seen as dictating the eventual outcome. As isolated, as well as on the Poles and the Italians to hard to justify their position on Iraq. They must highly likely, this will mean that Islamic terrorism in Jonathan Eyal, Director of Studies at the London- reduce the size of the force in Iraq. both wonder, though, with much-increased and Europe has taken on a new and deadly quality. based Royal United Services Institute, put it, Spain People are all too conscious of what is seen as the focused concern, whether their trains, planes and The Madrid bombings will therefore be seen as had become the first country ‘to have a Prime unnecessary danger in which Spain put its people by people will be next. western Europe’s equivalent of the 11 September Minister owing his position to bin Laden.’ supporting the United States. The US must fear that Al-Qaida, or whichever of its various satellite attacks in the US, and this raises huge questions The Socialist leader, Zapatero, groups was responsible for about the effectiveness of the security services in won the election and began his Madrid, is likely to have been understanding and monitoring al-Qaida. There are acceptance speech with a chilling emboldened by the devastating obviously limits to what can be done. There is no minute’s silence in honour of the impact of what looks like being EU intelligence service, and perhaps this should be victims of the attacks on the trains, its first terrorist attack in seen as a lesson for the EU. But even if there before vowing that he would western Europe. The governing were, it would still have only a fraction of the summon all his forces to fight all party has dramatically lost the resources that the US had before 9/11. And even kinds of terrorism. He pledged, election, and now the new with those at its disposal, it did not manage to stop too, to withdraw Spain’s 1,300 party in power is talking about that happening. troops from Iraq if the United pulling its troops out of Iraq. And that is perhaps the most chilling aspect of all. Nations does not take control by No victory could have been 30 June, which is when more conclusive. The political fallout Washington plans to hand power So is the travel industry in for The immediate fallout from the bombings in the back to the Iraqis. This will blow a slump of the magnitude of the Spanish capital resulted in one of the most dramatic yawning hole in the West’s anti- post 9/11 era. Surprising elections in Spain of the post-Franco era. José Maria terrorist front, and this will be perhaps, it would appear not. Aznar’s ruling conservative People’s Party, which seen as an undoubted success for Surveys of people around the had been the firm favourite to win the general Islamic extremist violence as the world have revealed that only a election on 14 March, ended up being thrown out terrorists clock up their first minor percentage of people are of power. In the event, this was a surprise to electoral casualty. even considering changing their everyone involved, including both Mr Aznar himself The withdrawal of Spanish troops travel plans. Whether people and the new man who succeeded him, a mild- from Iraq would complicate the have now become numb to mannered gentleman of peace, the 43-year-old United States’ efforts to bring atrocities of this magnitude, or lawyer José Luis Rodriguez Zapatero. NATO into the picture. It will they are just determined not to Whether Aznar’s lack of support in the elections certainly put President Bush in a let the terrorists win, the should be seen as a punishment for his support of difficult position, although it will message is clear: Life will go on. the war in Iraq or for his frankly dreadful handling of not actually make much difference the aftermath of the bloodshed in Spain, is not to military operations in the

www.itij.co.uk International Travel Insurance Journal 20 FEATURE

Dubai is fast becoming an international insurance hub in the Middle East. Fetooh Al Zayani, Head of Insurance and Reinsurance, at Dubai International Financial Centre (DIFC) reports

Developments in Middle Eastern insurance markets are continuing to accelerate as international insurers show increasing interest in the region. January’s Middle East Insurance Forum attracted an unprecedented audience, including speakers from Lloyd’s, Norwich Union, Aon, Willis and Heath Lambert. As well as international companies moving into the region, new initiatives are underway within the region itself. The Minister of the Economy and Trade of the United Arab Emirates recently called for consolidation within the insurance sector of the Gulf countries, so that local companies will be better able to compete with international entrants to the market. However, the most important new development is the commitment of the Dubai International Financial Centre (DIFC) to creating an international insurance hub in Dubai. A new regulatory framework is being specially designed to meet the needs of the global financial services companies located within the Centre. As well as the regulatory and commercial infrastructure, the DIFC is also at this moment building the physical environment, in the form of an ultra-modern, purpose-built, state-of-the-art, secure financial district. The DIFC is now considering applications to operate within the Centre. Among the attractive features it offers its participants are:

• One hundred per cent ownership • Zero tax • The highest regulatory standards, in accordance with global best practice • Full freedom to repatriate capital and profits • Ease of communication with regional and international markets • Political and economic stability

Major insurers move in The above factors are creating great interest in the now decided to make reinsurance its ∆‘…demand for insurance services is • The growing demand for aviation and DIFC amongst major global insurers, many of priority in the Middle East and has also other forms of commercial insurance, in whom are already looking seriously at the possibility increased its capacities in the expected to grow at 10-20 per cent line with the rapid development of trade in of transferring part of their operations to Dubai. In engineering and property lines. the region. November 2003, Allianz decided to conduct both Other international reinsurers have over the next ten years.’ • The privatisation of state assets resulting facultative and treaty underwriting in the Middle East adopted different strategies. Swiss Re in previously uninsured risks requiring from Dubai. Previously, treaty underwriting had provides reinsurance for the life insurance cover for the first time. been handled from the Munich head office, but in division of National General Insurance, • The introduction of compulsory health 2002, the Dubai office oversaw $23 million in one of Dubai’s largest operators. in Abu Dhabi, with insurance risk at an international insurance, notably in Saudi Arabia and the other Gulf facultative reinsurance and treaty reinsurance from Other insurers sharing a new commitment to Dubai level due to project size, bringing exposure to countries. Munich, which amounted to $45 million. Allianz has include Aon, which in September 2003 issued a European and London insurance markets. Trends in 2002 show that the growth potential for Letter of Intent regarding its application insurance in the Middle East is beginning to be for an operating licence in Dubai. Aon has Prospects for Insurance in the Middle East realised. According to Swiss Re, ‘Personal lines expressed its interest in working with the Insurance in the Middle East stands on the verge of business is the growth motor of the insurance DIFC in such areas as Captive Insurance a major step forward. The rapidly growing continued on p.22 and Risk Management, but also has a long population in the established presence in energy insurance, region requires huge which continues to be a profitable sector investments in new for underwriters. It currently operates infrastructure for nine offices, employing about 100 people energy, water, in the Middle East; including offices in the transportation and UAE, Saudi Arabia, Oman, and Iran. In an chemicals – not least important restructuring effort in the in the rebuilding of region, Aon plans to unite these nine Iraq. At the same separate offices under one management. time, other factors are As well as the general trends affecting the also driving growth in whole region, a diversity of markets demand for both continues to exist. Within the UAE, major insurance and oil and gas projects dominate the market reinsurance:

International Travel Insurance Journal www.itij.co.uk INTERNATIONAL TRAVEL INSURANCE CONFERENCE 2004 EUROPEAN BRIGHTONBRIGHTON

11th - 13th MAY 2004 For further 11thinformation - 13thand the conference MAY 2004 agenda visit our website: www.itic.org.uk As usual, we are not only offering a Included in the cost of your travel warnings have on the E111/E112: How did it originate? varied and topical agenda registration this year is a Welcome industry? Our second panel session How it is used in each member addressing current issues, but also Function on Tuesday 11th May, will address this issue and a Senior country and what are the changes providing a platform for unrivalled sponsored by Hygeia, and a Gala Minister from the UK Foreign Office that can be expected in the future? networking opportunities. Evening with entertainment on will make his official statement. Following last year’s feedback, we Thursday 13th May. Full details of Finally, what are the needs and The full conference agenda, detailing have introduced even more panel both will be confirmed once we considerations of the older traveller? the panellists, registration costs and sessions and the opportunity to receive your registration. What sector of the market do they an online registration facility are participate in afternoon focus groups. Panel sessions include European fill? How far do they travel? What available on our website: cost containment issues and the are the health implications that www.itic.org.uk. The aim of the focus groups is to Maltese High Commissioner will should be expected with extended encourage the exchange of views discuss the steps that were taken to life expectancy? Our panel of You are welcome to invite colleagues and information within small groups, improve the cost issues there: experts will discuss this specialised or clients to the Gala Dinner, which specific to targeted sectors. If you Perhaps these tactics can be sector. Also being discussed by can again be booked online. If you are interested in running or employed in other problem Peter McConn, Head of the Cross- would like to host a table, please participating in a specific group, countries? border Healthcare Team at the UK’s contact us for further details. please contact us. What impact will the withdrawal of Department of Health is the 22 FEATURE

The Travel Sector Growth in demand for travel insurance services is expected in the Middle East in line with general demographic and economic trends. At the same time, the rapid expansion of tourist and business travel to the region (and especially to Dubai) has created an increased need for cover in the Middle East. The region’s main travel fair, Arabian Travel Market, has recorded annual growth since its inaugural event in 1994 and experienced a record attendance in 2003 in Dubai, with 2,780 travel professionals from 61 countries present on the first result, the role of Dubai as a regional travel hub will day. The 2004 Market in May is receiving strong continue to strengthen. Emirates has achieved a ten interest and with three months to go, projections per cent increase in 2004 over last year in its sales indicate a 20 per cent larger show than last year. of special packages for the Dubai Shopping Festival Many of the regular destination pavilions, such as (DSF) 2004. As the world’s fastest-growing full India, Malaysia, Austria and Sri Lanka have increased service airline, Emirates has boosted tourism into the size of their stands to meet demand and Dubai from every destination that has come on line participants such as France, Hong Kong, Bulgaria, since operations began in 1985. Greece and Korea have now returned after their The airline now serves 74 cities in 52 countries on brief absence from the show. four continents and its promotion of Dubai has Regional presence at the show is the strongest to- gathered pace as the network has expanded. Recent figures from the Department of Tourism and Commerce Marketing (DTCM) show that, overall, hotel guests per annum staying in Dubai, have increased two and a half times from 1996 to 2002 (1,918, 471 to 4,756,280). Visitor numbers from the UK, for example, have increased four-fold from 1996 to 2002. Recent years have seen a huge expansion in air links with other key destinations in response to soaring demand. Flights to/from Saudi Arabia have leapt from eight to 15 per week in just the last four years, while those to some other neighbouring countries, such as India, have increased from 25 to 42 the same time, non-life premium rates increased by date with new pavilions from Abu Dhabi, Iran, Libya per week. at least ten per cent in all of the countries of the and development projects within Dubai such as Within weeks of the first DSF (Dubai Shopping Insurers fly Middle East. Dubailand. Festival) in 1996, Emirates made its entry into Out of the $2.3 trillion global insurance market, the Since travel within the region, as well as to the Australia, with a three-times-weekly service to Middle East currently accounts for less than $10 region, is also expected to grow significantly, Melbourne. Today, the airline flies daily to four business in the wealthy Arab states.’ Premium billion in annual premiums, but demand for Emirates Airlines, the UAE’s national carrier, is Australian destinations, with more increases around income from motor business in Saudi Arabia in insurance services is expected to grow at 10-20 per planning an ambitious expansion of services, with a the corner. 2002 was up 31 per cent over the previous year. At cent over the next ten years. projected increase in capacity of 30 per cent. As a The number of passengers coming into Dubai on Emirates has more than doubled since 1996, when the airline carried 691,705 passengers to its home base. By 2003, the number had risen to 1,515,345. Visitors handled by Arabian Adventures, the airline’s destination management company, also more than doubled during the same period. This trend will be further intensified by Dubai’s new prominence as a convention hub, which has been confirmed by the very successful IMF/World Bank Annual Meeting held in Dubai in September 2003. Dubai’s impressive world-class facilities and the efforts of the Dubai Convention Bureau (DCB) have made the UAE a most-preferred destination for the incentives and meetings industry.

The Future The insurance sector in the wider Middle East is changing rapidly. Wider acceptance of the insurance concept in its Islamic takaful form, increasing population growth, and new legislation are combining to produce structural change in the market. In the medium term, potentially large new markets may emerge in Iran and Iraq. As well as increased demand for insurance services, the region is, importantly, able to provide the capital to finance these developments. It should be noted that, according to a study carried out by Booz Allen & Hamilton, funds under management outside the region, with their origin in the Middle East, currently amount to $1.4 trillion. The development of the financial system in the Middle East will facilitate the return of part of this sum to the region, offering great potential to the reinsurance and other financial services sectors.

International Travel Insurance Journal www.itij.co.uk Tel: +254-20-600090/ 600552/ 315454/ 315455/ 602492 Fax: +254-20-336886 Mobile: +254-733-639-088, +254-722-314-239 Sat Phone: +873-762-315-580 Sat Fax: +873-762-315-581 Radio Frequencies: HF 9116 kHz LSB, 5796 kHz LSB email: [email protected] 24 FEATURE

Air ambulance regulation in Europe The EASA will eventually absorb all the functions has always been a fragmented concept, and activities of the JAA and ensure the full participation of the JAA non-EU members. The but newly formed regulatory bodies regulations set by the EASA will eventually be are taking the reins and leading the enforced by European law. industry toward greater co-operation and uniform standardisation. Rega and Quality charter Heading the list of criteria in the Quality Charter, Michael Weinlich explain the grand established by five of the leading air ambulance plan companies in Europe, is the guiding principle that the patient takes top priority. As a result, when assessing and carrying out a mission, economic Five of Europe’s leading air ambulance organisations considerations must always take second place to – Rega, Deutsche Rettungsflugwacht DRF, Tyrol Air medical and social factors. Equally, the priority of Ambulance, Luxembourg Air Rescue and ADAC- the mission is determined by the medical urgency Rückholdienst, the repatriation service operated by of the case. the German automobile association Allgemeiner The Charter requires that the employees of an air Deutscher Automobil-Club – have drawn up a ambulance organisation, who are identified as Quality Charter for the European air ambulance constituting a decisive factor in the company’s industry, which lays down uniform quality standards. success, must have all the necessary professional This Charter was signed by all five of the founding qualifications. A permanently available operations organisations and presented to the industry at the AIRMED 2000 congress in Switzerland. For the initial members of the Charter, it was very important that this paper they were signing really meant something and the rules and standards stated in the Charter were upheld. They thus asked the European Aeromedical Institute (EURAMI) to build up a European accreditation programme for the air rescue industry. Founded in 1992 in Frankfurt by 22 air rescue veterans from ten different countries, EURAMI has worked closely with the founders of the Quality Charter to build a European-focused accreditation process to maintain centre as well as a round-the-clock medical service quality levels in the industry. are further quality criteria that must be fulfilled. The basic conditions also cover the aircraft used to EU law perform the missions. All air ambulances, for The Charter, which comprises over 30 points, lays example, must have at least one permanent down the key medical and operational guiding stretcher area, as well as an on-board power principles for a uniform standard in the field of supply. international air ambulance services. It stipulates, for This Quality Charter adopted by the five leading example, that air ambulance organisations must be European air ambulance organisations, which between them transport several thousand patients each year, aims to lay down a uniform minimum quality standard and thus distinguish the companies involved from inferior, solely profit-oriented service providers. As a further step towards uniform European standards, the EHAC (European HEMS and Air Flying by the rules Ambulance Committee, established in 2000) plans to set up an Air Ambulance Sub-Committee in April of this year, which is open to all air ambulance organisations in Europe wishing to adopt the quality criteria laid down by the Charter. As a result, in future the EHAC will be dealing more intensively with problems and issues relating to the repatriation part 2 of patients by air. Maintaining standards certified in accordance with JAR OPS aviation Only with a neutral accreditation process, however, regulations, and that quality norms in accordance can quality of care and business standards be with CEN (prEN 137) should be complied with. controlled. EURAMI, therefore, produced a code of This also means that the companies concerned are ethics of its own and focussed its primary attention required to operate at least one aircraft that is on training, education, research, information, exclusively dedicated to the transport of patients. continued on p.26 JAR OPS standards are those laid down by the Joint Aviation Authorities (JAA), which was founded in the late 1980s by several countries in Europe, who came together to regulate all commercially operated fixed wing transportation, including air ambulances. However, in September 2003, via an initial recommendation from the JAA, a new European Union (EU)-regulated body, the European Aviation Safety Agency (EASA), began operating.

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‘A human voice that cares’ 26 FEATURE

publication. The In order to find out more about Europe-wide How could air ambulance regulation in major goal of the regulation for the air ambulance industry, Europe be improved? accreditation including regional laws, ITIJ spoke to a number of AA: ‘In my opinion, as we head towards a more standards is to air ambulance companies operating in Europe. global European Union, it won’t be long until we establish a level of We asked the following questions: have a common set of regulations from the quality that a European Commission (EC). This is inevitable. This provider of To what, if any, regulatory bodies do you will improve regulation as the more experienced air aeromedical belong? ambulance companies of Europe and maybe even transport must Atlantic Assist (Portugal): ‘All aviation companies in the US will share their knowledge and experience provide for its Portugal are under the jurisdiction of the INAC with smaller countries, such as Portugal, where the patients. The Instituto Portuges da Aviaçåo Civil (Portugues air ambulance industry is still young.’ accreditation Institute of Civil Aviation). When carrying medical E-f: ‘Standards should be harmonised so that every standards focus teams or operating as an air ambulance, all medical country follows the same regulations. The problem mainly on the repatriations come under the jurisdiction of the today is that not all service providers follow the medical facilities and Portuguese government’s medical council.’ same standards and that generates unhealthy the aircraft Euro-flite (Finland): ‘We belong to the AAMS competition in the industry.’ performance, but Association of Air Medical Services (US-based); NAA: ‘By the standardisation of all national aviation other criteria are EBAA European Business Aviation Association; and authorities.’ important too. NBAA National Business Aviation Association (US- RA: ‘Taking a careful approach to safety. The issue These include communication, management based). We are also a member of the American must not be strangled in details. Cost/benefit policies, and the quality of management or the Flight Safety Association. analysis must always be made. JAA must advise the Flying by the rules overall capabilities of the provider. Specific items Norwegian Air Ambulance (Norway): ‘Norwegian poorer countries as to which safety measures to refer either to the HEMS operation or the fixed Aviation Authority and JAA’ impose ie. Not the most expensive, which are not wing air ambulance operation. Redstar Aviation (Turkey): ‘We operate according necessarily proven as most safe.’ documentation, standardisation and supply in the Any provider can apply to EURAMI for to the Turkish government’s Ministry of Transport field of air rescue in Europe. Several accreditation. After application, the provider will and Civil Aviation Authority, which is a full member Do you think that air ambulance regulatory recommendations in the field of air rescue and a receive a EURAMI accreditation standards of the JAA. However, air ambulance operations, are standards should be enforced by law? If so, HEMS database were also developed by the questionnaire, which must be completed within one not regulated specifically in Turkey. We are also a what minimum standards do you think these association. year. Afterwards, a EURAMI air rescue expert will member of EURAMI and AMPA (Air Medical laws should require? Everyone or every institution with an interest in air perform an audit at the site of the provider. The Physician Association).’ AA: ‘Absolutely. Essential standards should be the rescue can join EURAMI. EURAMI now has almost written audit report will then be checked by two quality of the plane, medical team and quality of the 100 members, mostly in Europe, but also has members of the EURAMI board. If the provider How does this body / these bodies assure you information given to the treating doctors that will members in other continents. Nowadays, EURAMI matches the quality criteria, an accreditation adhere to their standards? follow the patient. Apart from the operational focuses mainly on modern air rescue training and its certificate will be issued. The companies of the AA: ‘All planes are subject to periodic inspections quality of the plane itself and the medical equipment accreditation programme. Quality Charter members applied for accreditation and then are approved (or not) according to INAC it carries, the medical team on-board should, in my The EURAMI accreditation standards are based on immediately and Luxembourg Air Rescue is now in rules and standards of procedure. You must pass opinion, include a doctor that specializes in the American Commission on Accreditation of the final stages of accreditation after being audited in these inspections in order to keep your operators emergency and intensive care, an intensive care Medical Transport Systems (CAMTS) (See ITIJ 38, mid-February. license.’ paramedic and a flight physician.’ Flying by the rules – part 1), which has more than The accreditation standards of EURAMI will enable E-f: ‘We are following their regulations and E-f: ‘I think minimum standards for equipment and a decade of air ambulance regulation experience in a provider to show patients and insurers that its recommendations as and when applicable.’ medical crew members could be required by law.’ North America. Further European standards like the operations and service standards are excellent. In NAA: ‘Strict regulations, documentation and NAA: ‘Minimum requirements should be the JAR prEN13718-1 and prEN13718-2 were also the future, the selection of certified providers will revisions.’ OPS standards.’ incorporated. allow the client to reduce the risk of legal issues and RA: ‘The ISO 9000 certified protocols and EURAMI RA: ‘Every country’s CAA’s requirements are The accreditation standards were then discussed of medical and operational problems. standards that we follow to the best of our ability enforced by law. The medical equipment, level of with several European air medical services before are the only ‘auto-regulations’ that we have.’ training and procedures and standards of the service is the main issue. Institutions such as EURAMI and Must you pay a subscription fee to belong to the AMPA should have more authority.’ this regulatory body? AA: ‘Yes, there is a high fee for inspections, How do you see the future of air ambulance certification and licenses. regulation in Europe? E-f: ‘Yes. Annual membership fees must be paid.’ AA: ‘I see it in the only context possible: NAA: ‘Yes’ Globalisation. The European market will become as RA: ‘Not for the Turkish CAA, but for the others.’ competitive as the US market. The rate of service and quality standards must also be similar to those Are you aware of the newly-formed European in the US by the near future, otherwise the smaller Aviation Safety Agency (EASA) and their companies will disappear and only a few of the regulatory capacity? larger operators will be left dominating the biggest AA: ‘Not really. There doesn’t seem to be much market in the world – Europe. information available as yet.’ E-f: ‘Like a new dawn.’ E-f: ‘Yes.’ NAA: ‘Standardisation through the EASA.’ NAA: ‘Yes.’ RA: ‘I only hope that it will not be complicated RA: ‘Yes.’ more. There is definitely a growing need for regulation – there is no doubt about that.’ Are you satisfied with the choice of regulatory body in the industry (with regards to the Our thanks go to Aurelio Rodrigues of Atlantic standards they set and how these standards Assist, Juhani Missonen of Euro-flite Air are enforced)? If not, why not? Ambulance, Otto Karud of Norweigan Air AA: ‘Absolutely. I think that because quality and Ambulance and Mustafa Atac of Redstar Aviation. price are protected, healthy competition is promoted between operators. It makes the marketing of your product much more important. Essentially, it also stops managers reducing quality of Oops… service in exchange for reduced rates. E-f: ‘Yes we are.’ In our last issue, we ran the first part of our feature NAA: ‘Yes, we are.’ on air ambulance regulation (ITIJ 38, Flying by the RA: ‘There is a definite commercial pressure from rules). This was written by Eileen Frazer. JAA on the aircraft side, but it simply cannot work Unfortunately, we omitted her biography from the on poorer countries and companies. There is also Contributors section, so please find it below: too much and unnecessary pressure dictated in the type and performance of the aircraft. I wonder Eileen Frazer, RN is currently the Executive what a study on the safety (which should be the Director of the Commission on Accreditation of concern of the community) of certain other Medical Transport Systems (CAMTS). Ms Frazer has European air ambulance-operated aircraft might many years experience in emergency and flight show? Finally, the cost of the modern machine nursing and has published and presented topics of leaves no space for air medical operations to air medical safety and accreditation throughout the develop other than in countries and companies US and Europe. Ms Frazer was instrumental in the already established.’ development of CAMTS in 1990 after completing a feasibility study for the Association of Air Medical Services (AAMS).

International Travel Insurance Journal www.itij.co.uk

28 PROFILE A travelling man

He may have upped sticks to the other side of the Jamaica was consultancy, Assistance Management Services, world, but it obviously suits him. Stuart Packington deteriorating rapidly working with assistance companies all over the is General Manager at Customer Care in Sydney, then, with a history of world, with clients in North America, South Australia, where he has settled like a duck to violence and drug America, Australia, the Far East and Africa. water. Anne Johnson met him at ITIC in Rome problems. Jeanine was More travel beckoned and that was when the idea restless and hankering of moving to Australia seemed to make increasing In spite of the fact that Stuart has lived in Australia for home. sense to Stuart. His youngest son, Duncan, was for the past eight years, he doesn’t have a trace of ‘Between the years training there as a commercial helicopter pilot and an Australian accent about him. So if you were to 1979 and ’80 during Stuart was visiting fairly regularly on business. meet him on a street corner somewhere in rain- the run-up to the When, after attending Duncan’s wedding to a local sodden England, you could be excused for thinking elections, there were Australian girl, Stuart’s elder son Simon announced he is a true Pom, who must live somewhere in the about 500 deaths in his intention to move to Australia as well, it was a Home Counties. Tall, elegant and refined, he Jamaica. The owner very easy decision to make. doesn’t look as though he’s ever been far from the of the local gas station ‘I haven’t regretted it for a single minute,’ he says, Pom-through-and-though influences of the BBC, was shot dead. Simon and a smile beams across his suntanned face. ‘I live Harrods and crumpets toasting on an open fire. was 12 then, and in Sydney and I am very happy there.’ Until it dawns on you, that is, how very deeply Duncan only nine, His consultancy work mostly disappeared because of tanned he is, rather as though he’s always been that and it just didn’t seem the huge distance involved and the fact that people way. It’s not the sort of tan you can pick up during the right place to be were not prepared to pay for the airfare, but there two weeks in Benidorm, and no one could ever get bringing up our kids. was plenty else to keep him busy. He has worked as that brown in England in a month of Sundays. So So we decided to go. a consultant for the Australian market, and was a that seems like a pretty good clue. He lives in that We thought it was protocol officer for the 2000 Olympics in Sydney. land of permanent outdoors and sun called Australia. time to go home and ‘It was a huge event, and it was really fascinating,’ I was right about one thing, though: Stuart doesn’t earn some real he says, combining Stuart’s love of sport with a come far from the Home Counties. He comes money.’ penchant for organisation. So delighted is Stuart from Whitstable in Kent, the place for the best fresh with his move to Australia that he took Australian oysters in the world, and he went to school at Kent Homeward bound citizenship in 1999. College Canterbury and in Horley, Surrey. So very On his return, Stuart ‘I knew I wanted to stay and, having made the British he is, from the start at least, if not quite to toyed with the idea commitment, I wanted to be properly part of the the finish. of doing a PhD on country, and to be able to vote. I haven’t had to give the Spanish period in up my British nationality, I still have that, but I feel more Good at languages Jamaica. It fascinated Australian than British now. I may not have picked up Stuart’s best subjects at school were languages – him, he was accepted the accent,’ – he hasn’t – ‘but I can manage a lot of the which is probably why he speaks such non-Australian So travel he did, but every silver lining has a cloud at London University into the history department, vernacular.’ And he laughs, obviously remembering English now. He went to France when he was 15 above it and the problem was that he was travelling and he was assured funding from one of the some of the more colourful turns of phrase that have and Spain when he was 18 to perfect his Spanish. such a lot that his marriage was in trouble. Jeanine Jamaican bauxite companies. But then the violence become part of his regular vocabulary. When he came back, he had two interviews, one for and he had two small boys by then, Simon and got to such a point and a change in government Things are getting better and better. Two years ago, Phoenix Assurance and one for Barclays Bank. He Duncan, who were growing up virtually in his ensured that the bauxite company pulled out and he was approached by one of the US cost was offered both jobs and he took the one with absence as he never seemed to be at home. he had to abandon the idea. But it wasn’t long containment companies, HAA, who asked if he Phoenix because it paid a bit more – not a lot but It was at this time, fortuitously, that he was offered a before fortune knocked at his door again… could help them break into the Australian market – just enough to make the decision. teaching post, teaching French and Spanish, in the ‘It was then that I received a phone call from a which they did very successfully – and last year he After training, he was appointed an Inspector at the West Indies. He had always been tempted by the head-hunter who was looking for a marketing man was appointed by assistance company Customer age of 19 – the youngest ever to be appointed and, idea of teaching, and the idea of going to Jamaica with an insurance background, who spoke French Care, as General Manager. He is comfortable with at the same time, completed his insurance with his wife and children was irresistible. and Spanish. It could have been made for me!’ the assistance market: ‘The principles are the same qualifications (ACII). Phoenix then sponsored him This was in 1980 and the job was to manage the as in the insurance market,’ he says, ‘it’s just the while he studied for a degree in Business Studies at Go West young man… British branch of a small Spanish-owned Belgian- techniques that are different.’ the City of London Business School. So it was that he upped sticks and moved to the based French-managed assistance company called So things seemed to be falling into place relatively West Indies, which is perhaps where he developed Gesa Assistance, (which has now been absorbed by Spare time easily and, at the end of that time, he came out his taste for the sunny side of life. He took a two- AXA), as General Manager. It was a tiny company Australia is a good place to be for someone who with a university degree and his insurance year contract at Knox College, a co-educational with only eight employees and a premium income enjoys sport as much as he does. Now 57, he has a qualifications. This was to dictate the course of his boarding school founded by a Presbyterian minister of £30,000, which Stuart grew to £5 million by wonderful view of the Pacific from his study. He’s life and, with the occasional change of direction in 1947, and he was to stay for five. 1986, which was when he left. not keen on lying around on beaches but he scuba from time to time, he hasn’t really looked back ‘It was a sort of quarter-master type of job,’ he says, ‘It was a weird set of circumstances that had led me dives. He plays golf and has qualified as a cricket since. But he doesn’t actually seem the insurance ‘and it was a lot of fun.’ Then he was appointed there, but it fitted spot on – I loved the business umpire, as ‘my knees don’t like actually playing type, so presumably those odd changes in tack have Head of the modern languages department and was from the start. It was very successful and the only cricket any more,’ he says, a wry tinge of sorrow in made all the difference. also asked to do a stint at the community college, assistance company that was also an insurer in his voice. He also plays bridge, something that he He married a French girl called Jeanine at the age of where he taught law and economics. A man of England. The only other assistance company of any took up in a big way in Jamaica, and belongs to a 21 whom he had met at a New Year party. This many talents, none of this seems to have fazed him. note at that time was Europ Assistance.’ big Australian club, where he enters competitions. was obviously the best way possible of perfecting He was also senior housemaster, cricket coach, But it was then that Stuart had another offer – this Stuart has not remarried since his wife died, but he his French, too, and he passed the Institute of football coach and referee, and secretary of the time from Brian Raincock who was working with Tim is very happy with his Australian partner Jennifer, a Linguists exams in both French and Spanish. Parents Teachers Association. They also had a lovely Ablett at the Legal Protection Group (LPG). Brian drama teacher. We wish them both well. Then it was back to Phoenix, where he was asked house on the campus, with mango and orange and Tim talked to Stuart about an idea to set up the Stuart listens to a lot of classical music, with Mozart, to set up their personal lines marketing department. trees in the garden, and beautiful beaches just first British-based international assistance company, Chopin and Bach among his favourites. He loves Unfortunately, Phoenix didn’t quite grasp what around the corner. called International Assistance Services (IAS) – now reading and always has a book on the go. High on his marketing was and didn’t quite know what to do The school had no money for books or equipment, known as First Assist – and they did just that. This list of preferred novelists are 19th-century British with him. so times were hard, but Stuart loved every minute was in 1987 and it became very successful literature such as Anthony Trollope and Charles So he left and joined an American textile company, of his time there. Economically, though, it was a remarkably quickly, with the introduction of new Dickens, biographies and some modern European making artificial fur. He was appointed as Export disaster, particularly after the repeated devaluation products like domestic assistance and vehicle novels. There are several excellent bookshops in Manager and this presented him with a welcome of the Jamaican dollar, and these were difficult times assistance. Sydney and he’s not averse to the occasional airport opportunity to use his languages, as well as a for Stuart and his family financially. And in the end, it Jeanine had been ill for some time now, and she thriller. He reads in other languages when he can, too, chance to travel in Europe and the Middle East. was the financial problems that were to drive Stuart died in 1987, so life was not entirely a bed of roses. and is even reading the latest Jeffrey Archer in French, As an interesting aside, Stuart remembers that, and his family to stay no more. They were seriously Stuart speaks about the death of his wife quickly – it just to keep up to date with the latest vocabulary. ironically, at the height of the Cold War, the Russian overdrawn and were having to wait three months is obviously something he does not like to dwell on I asked him what he missed about England. The army was kitted out, at the time, with winter to be paid. He remembers the critical moment and the memories are painful. reply came back as fast as a well-aimed cricket ball: clothes made from this artificial fur made by an well. Nothing. Absolutely nothing. American company. He stayed two and a half years ‘At this point, we had enough money to put petrol Down under ‘But I do miss people – especially my family and and recalls his time there as being a lot of fun. in the car, buy Simon a pair of shoes, or put food But he never seems to sit still for long and it was friends,’ he says. ‘But that’s all.’ ‘I didn’t really know what I wanted to do in those on the table. We chose the latter, no question, but then that SunAlliance came along and bought the So there we have it. Emigration has been good for him. days,’ he says. ‘I had no particular ambitions, I just it was very difficult.’ whole company, including IAS and LPG, in 1991. So wanted to travel.’ Add to that the fact that the political situation in it was then that Stuart left and set up his own

International Travel Insurance Journal www.itij.co.uk

30 WORLDMARKETS LATIN AMERICA

double the rate of the US. This is World Trade Organization (WTO). Declines were particularly the case in Mexico, particularly significant in South America (down 14 where close to two thirds of the per cent) and the Caribbean (down five per cent), population travel to visit family and induced mostly by the reduced inbound traffic from friends. the US and Argentina. When it comes to facts and figures, Despite the notorious reputation that the region has however, the Latin American travel for not being large purchasers of travel insurance – insurance and assistance industries a similarity that can also be found in other European are difficult to evaluate as a whole. countries with Latin roots, such as Spain or Italy – Some experts venture to estimate another general point that can be made is that the its value at US $368 million, but travel insurance and the assistance markets in the there are no official figures or region are definitely growing. ‘This is due to the fact statistics available. In fact, the region that Latin America is still undergoing a learning cannot be perceived as a regional process with regards to the importance of market itself, but rather as many insurance’, explains Ignacio Márquez, International different local markets with Business Development Manager for Universal particular characteristics. Moreover, Assistance, one of the major companies operating in Latin America is a region of tumultuous financial not all the major players are present in all of the the area. ‘The region is achieving a level of and social policy, but in recent years has seen countries of the region, making it more difficult to awareness, which has direct impact over the growth substancial growth in many of its major countries. analyse. Nevertheless, there are some trends that of the industry. More than ever, Latin Americans are Joaquin Rodriguez evaluates how this trend has can be generally observed and therefore apply to becoming aware that they should insure whatever affected the travel insurance and assistance the market as a whole. they cannot replace or pay for,’ he stated. industries and sees that things are very much Rafael Senén, Managing Director of Mapfre looking up Latin trends Asistencia, points out the relevant role played by The first one is that Latin Americans are developing new sales channels: ‘The sector has experienced a Generally speaking, Latin Americans are family- a growing passion for traveling abroad, especially as significant growth thanks to the diversification of bound societies, something that is also reflected in their economies expand and their currencies traditional commercial channels (i.e. insurance the way they travel. What first motivates Latin strengthen (for figures on the main countries see companies and financial institutions), and new ones, Americans to travel is the prospect of visiting friends below). On the other hand, destinations in the such as telecommunications companies, mass and relatives. In fact, more than 70 per cent of trips region in general continued to suffer a decline in media, energy and water companies, shopping are planned around visits to loved ones – almost international arrivals in 2002, according to the malls, and so forth.’ Mr Senén also believes that travel insurance is rapidly expanding due to more insurance awareness among the general public and the fact that many people are required by law to take out health insurance to be able travel to certain destinations.

Regional growth That the industry is going through a period of expansion is shown in the growth rates exhibited during the last decade. Mr Márquez thinks that the market has grown a solid 50 per cent over this period of time. As far as the benefits from this expansion are concerned, he thinks these have been lower. Mr Senén is more cautious and refers to a 15 per cent average growth rate. As per coverage, it is commonly agreed that maximum medical expense coverage is substantially low when compared to that in the US or Europe (see ITIJ 36, Repatriation – at any cost?). Some insiders explain this by referring to the devaluation of the dollar and the appreciation of the euro, while others maintain it has to do with volume (less insured people, which makes it impossible to achieve economies of scale), price (Latin American coverage is more economical than those more commercialised companies in Europe) and costs (up to 60 per cent cheaper than in the US). The main channels of distribution for travel insurance in the region are travel agencies and tour operators. In the corporate market, credit cards, insurance companies and car manufacturers also play an important role. The Internet – although extensively used for other purposes – is hardly used as a commercial tool and is mainly perceived both by the industry and the public as a consultation or benchmarking tool. As for the future, and as in many other developing countries, the prospects for the industry are quite good, but not exempt from handicaps. ‘The future is promising because there are still large segments of the population uninsured,’ says Mr Márquez, ‘The main challenges are the uncertainties in the regional economies: Devaluation, inflation, unemployment, and so forth, which are key to the stability of the region, and thus have a strong impact on travel and

International Travel Insurance Journal www.itij.co.uk WORLDMARKETS 31

the accumulation of goods to be insured.’ insurance companies have approximately 50 per Mr Senén considers that the future of the sector cent of the market share), but this situation is depends on the ability of companies to diversify changing – especially after the acute economic crisis their products and services, as well as their that has led many firms into liquidation. (Before the distribution channels. He also predicts that the crisis, there were more than 200 companies concentration of the market is going to be an operating in the industry). Although the market was important obstacle to overcome. ‘The market will not open to foreign investment until 1993 and was continue to concentrate in the biggest countries, making it more difficult for the sector to grow significantly.’

Mexico Mexico, Argentina and Brazil are the biggest economies in the region and also the major travel markets. Mexico, with a population of around 100 million, continues to lead Latin America as the largest source of outbound tourism, thanks to a stable and strong currency and increased links with the US. 2002 was a record year for outbound Mexican tourism, in spite of the 11 September attacks and rising unemployment in Mexico. That year, more than 12 million Mexicans travelled abroad. As for inbound travel, Mexico is the only Latin American country among the top ten world tourist destinations, receiving around 20 million visitors in 2002. completely deregulated five years later, nowadays The insurance market in Mexico is very mostly international groups operate in the country concentrated and the largest five insurance and it is believed that their production accounts for companies account for 60 per cent of total 35 per cent of total premiums. premiums. The sector is comprised of The travel insurance and assistance industries in approximately 70 companies, of which more than Argentina are worth around US $150 million. 30 are from overseas or are to a large extent made Although half a million Argentines buy travel up of foreign capital. In fact, the international insurance through travel agents and tour operators presence in this market is very important, when traveling abroad, in fact around ten per cent representing around 50 per cent of all insurance of nationals enjoy some form of travel assistance sold. Insurance business represents less than two offered through insurance companies, credit cards per cent of the GDP, but the prospects are very and automobile manufacturers as additional benefits good, as the growth rate in this sector is faster than to their existing policies. the GDP. As in the rest of Latin America, insurance culture is Brazil still not very relevant in the daily life of Mexicans. It Brazilians travel abroad less frequently than has been reported that only 30 per cent of Mexicans or Argentinians for several reasons: The automobiles are insured and home insurance is most important being that Brazilians are more tied practically non-existent. This is due, not only to to home, due to financial restraints. Brazilian economic factors, but also to cultural ones. Another outbound travel patterns are tightly linked with large problem is the lack of awareness about economic growth (expressed in US dollars). Flat insurance, since many Mexican tourists ignore the growth and a 30 per cent decline in the real’s value fact that they have the benefit of travel insurance in 2002 produced further declines in outbound embedded in their regular insurance programmes travel – a market already reeling from the 1999 (such as home insurance, health insurance and car devaluation of the real. insurance). Therefore, whenever they face Around 2 million Brazilians left the country on problems abroad, they tend to solve them by using vacation in 2002, less than half the amount of 1998 their own means. when the currency was at its strongest. The main It is, then, not difficult to understand that the travel destinations were the US (with almost half a million insurance industry in Mexico is not a very big travellers) and Argentina (with more than 200,000). business compared with other insurance segments. On the other hand, 3,800,000 people chose Brazil There are very few companies selling this type of as their tourist destination in 2002. insurance and the market is dominated by Assist- Brazil is the largest insurance market in Latin Card, which alone controls around 90 per cent of America, with a business volume representing half the whole market. As for commercial channels, the value of the sector in the region. In Brazil the travel agents are the main, if not the only, source of sector accounts for 3.3 per cent of the GDP. There distribution. are around 120 companies operating in the country, but the largest ten, account for about 70 per cent of Argentina total premiums. In the largest cities, concentration In Argentina during the 1990s, the number of rates are even higher, with Bradesco Seguros and outbound tourists increased by 92 per cent – thanks Sul América controlling 50 per cent of the insurance to the parity between the dollar and the peso – production in Rio de Janeiro and 30 per cent in Sao rising from 2,398,000 tourists in 1990 to 4,591,000 Paulo. in 2001. Local tour operators estimate that Nevertheless, the sector still looks very attractive to Argentines nowadays prefer to make short trips foreign companies due to the amazing 15 per cent abroad rather than spending one long month away growth rates experienced in the last couple of on holidays. The preferred destinations for years. Nowadays – thanks to the deregulation Argentines are countries in Latin America (around process carried out in the 1990s – foreign 80 per cent), especially Uruguay, which receives an participation in the industry represents 30 per cent average of one million Argentinian tourists every of the total business and 20 of the country’s 30 year. largest insurance companies now have some foreign The acute economic crisis that has affected the capital. Incidentally, life and pensions are the fastest country over the last three years has had a growing sectors. tremendous impact on the Argentinian travel industry, which is currently in a state of recovery. In the lead On the other hand, Argentina attracted more than Spanish group Mapfre Asistencia is one of the 2.5 million foreign visitors in 2001 – the vast pioneering companies in the region, with direct majority of which were from Latin American nations presence in all Latin American countries, except (75 per cent). Cuba. The group has 37 subsidiaries all over the The Argentinian insurance market is the third largest world and has a portfolio of 20.5 million insureds in in Latin America and roughly accounts for 2.3 per Latin America. This represents a market share of 20 cent of the GDP. The market is less concentrated per cent in southern Latin American countries and than in other neighbouring countries (the ten largest continued on p.32

www.itij.co.uk International Travel Insurance Journal 32 REGULARS

many other Latin American countries. Universal Assistance had a turnover of US $15 million in 2003, LATIN AMERICA a figure that contrasts with those obtained in the last ten years (in the region of US $25-30 million), Return to Asia continued from p.31 something that can be explained by the devaluation of the national currency, which reached an astonishing 300 per cent. Many recent hotline calls have involved legal problems in Another important player in the regional industry is the Middle East and throughout Asia. Some incidents, while Assist-Card, a company that has been issuing a wide range of travel assistance related products in 17 Latin traumatic to the arrested individual and his/her family, American countries since 1972. They have roughly 1.5 million clients in the region, for which they have become practically routine. Dick Atkins, Philadelphia annually handle around 45,000 assistance cases. US lawyer and specialist in travel insurance-related legal Assist-Card owns and operates over 40 offices in the region, including premises in major airports, with matters, recalls some of them more than 2,000 employees working full-time. Gouda International, part of the Dutch insurance group De Goudse NV, is the company behind the ISIS insurance products. ISIS – the market leader in Frequently, the laws in some countries are culturally court procedures finally gave way to co-operation and insuring student and youth travel in the region – has based. For instance, a Thai law makes disrespecting the the withdrawal of all of the charges. nearly 50 years of history and is sold in over 45 Royal Family a felony and examples of violations include One ongoing case involves the murder of an oil industry countries throughout the world. In Latin America it ripping or destroying any Thai currency – which bears expat who had been working in the Persian Gulf country has been established in 18 countries since the 1970s the likeness of the King. of Oman, living there with his wife and his 14-year-old and, at present, they have a portfolio of 50-60,000 Other examples are the strictly enforced antiquities stepson. The expat was found dead, his body hidden in policy holders. ISIS travel insurance is developed in laws, which protect national treasures in many Asian an isolated place. When two teenaged Omani boys were close co-operation with local sales organisations and, countries. Even unknowingly leaving a country with an arrested, they quickly confessed, but then alleged that as local circumstances can vary considerably, most ancient artefact is punishable by a significant prison the wife and stepson had hired them to kill the expat. 45 per cent in the rest, including Mexico. Their countries have their own specific product. sentence. One high profile case involved a middle-aged While the surviving accused family members were not turnover was US $91.9 million in woman who was removed from her cruise ship, arrested technically eligible for our legal referral/consultation 2003. and jailed, after customs officials determined that the services after the death of the expat, we agreed to Universal Assistance issues travel inexpensive mask she purchased in port was at least a coordinate the 14 year-old’s case on a pro bono basis as assistance products to 2.6 million thousand years old. soon as we were informed that the death penalty was a clients in Latin America through While the majority of our hotline callers are on holiday possible sentence. retailers (travel agencies and tour or business travel, increasingly, calls arrive from expats. Fortunately, we quickly determined that Oman’s criminal operators) and corporate Sometimes their legal emergencies arise while they justice system had become increasingly sophisticated programmes (insurance and/or their family members are travelling. On other and modern. Since no money was available for the boy’s companies and credit cards). The occasions, a civil or criminal legal problem occurs when defence, an English-speaking lawyer was appointed to company also covers 800,000 vehicles through their Roadside Assistance business unit and have 200,000 homes covered under their ‘Home Owners’ service. They have commercial offices in nine countries of the region, as well as other minor premises in

the family members are visiting the expat or while they defend the frightened juvenile. are living abroad together. The system also provides a child advocate to assist the Some of the arrests are for activities that appear to be juvenile in dealing with the serious criminal charges legal. We recently reported the detention of a 72-year- against him. The boy is permitted telephone calls with his old businessman in an overcrowded New Delhi prison. older sister in the US, a privilege that is unavailable in The properly documented antique pistols he was many countries. He reports receiving adequate food and bringing home from his work assignment in Afghanistan decent treatment by the guards, but misses his mother were confiscated while he was in transit, changing who is being detained in the separate women’s prison. planes in India. He was charged with felony violations of Oman now has its first independent Public Prosecutor, the Gun Act. who is a well-educated, experienced attorney and an Initially, it made no difference that the senior citizen active member of the widely respected International defendant, a former diplomat and the present director Association of Prosecutors. Our role includes offering of a significant opium reduction programme in Omani officials information on the Council of Europe Afghanistan, was truly innocent. The fact that his export Prisoner Transfer Treaty, now open to non-European documents were taken by customs and then suddenly countries. If Oman accedes to that Treaty, then, if disappeared merely aggravated his predicament. convicted, mother and son could be transferred to the The people, agencies, and both the Indian and US US to serve their prison terms in their home country, governmental authorities with whom we worked to near family and friends. obtain a positive outcome are too numerous to list in full It is refreshing to observe a sophisticated system with here. The US Embassy, the local father-son legal team, built in rights to help insure a fair trial, in contrast to the the corporate officials, co-workers and family members travesties that we frequently observe in some countries. coordinated effectively in order to obtain bail, and then We will report on the defence and mitigation to bring about dismissal of all of the charges. On the circumstances, as well as the outcome of the mother political front, Senator Ted Kennedy offered his support. and son trials in a future column. At each court appearance, local lawyers and other Asia is a vast continent with the widest cultural and courthouse figures attempted to intervene by offering legal system variations. Business and holiday travellers, their expert services to ‘fix the case’ by making as well as expats and their families, should be made payments to the necessary parties. That particular aware of the diverse and unusual laws that might affect alternative was rejected by the defence team. The them. Facing such foreign civil and criminal laws can be bureaucratic justice system and the lengthy frustrating a monumental task.

International Travel Insurance Journal www.itij.co.uk

34 REGULARS

The beginning of the _NEED MEDICAL ASSISTANCE, HOSPITAL ADMISSIONS & MANAGEMENT IN SOUTH AFRICA?_ end

The political crisis in oil-rich Venezuela is worsening and is beginning to contribute Should you require assistance with emergency to regional geopolitical instability. Our medical air evacuation to hospital in South contact at iJET Travel Risk Management considers the future Africa this can be arranged to your Links between the Venezuelan government requirements. We cover the financial obligations and leftist guerrillas in Colombia and the presence of thousands of Cuban military for your members. We include in the service a advisors have heightened tensions in 24hr on call facility, full patient and family care, Venezuela and in neighbouring countries. In the past two years, the Venezuelan both individual and medical management. opposition has worked doggedly to remove President Hugo Chavez from office. Ironically, the opposition's efforts have strengthened Chavez and, after surviving an We have a wealth of experience in this field April 2002 coup attempt, he seems more willing than ever to use all possible means and trust that this will be beneficial to both to stay in power. the insurer and patient. After the 2002 military coup, Chavez purged the armed forces of his opponents. The opposition then tried to force Chavez to resign with a general strike. Chavez fired thousands of workers – who had protested We can facilitate the his policies – from the state-owned oil company. strongly signalled its concern with the situation in In 2004, it seems that the opposition – now allied Venezuela by stating recently that it plans to buy 46 following: with the international community – is still falling new tanks from Spain. Military analysts believe that short. Chavez is using his political influence to Colombia wants the tanks to protect itself against • Admission to most prevent a presidential recall election. For weeks, he Venezuela. hospitals in South has been able to delay a crucial final decision by the Venezuelan National Electoral Council. Security concerns Africa Tensions are high as the political standoff continues. Supporters and opponents In late February and early March, some protesters • Issuing cost Analysts estimate that Chavez has the support of were injured and killed in clashes with security forces. estimates about one-third of the population, which is why he is Travellers or expatriates should avoid large crowds, using all possible means to avoid a recall election. His security zones, government buildings and police • Audit and cost supporters are mostly Venezuela's poor. In recent stations, as conflicts may occur near these sites. They containment months, Chavez has heavily armed his militia groups, should avoid, too, the area of the presidential palace known as ‘Circulos Bolivarianos’ or Bolivarian (Miraflores) in Caracas and eastern Zulia State. If • Translation services Circles. possible, they should carry a cellular or, preferably, a Some very powerful forces, both in Venezuela and satellite phone, as conventional phone services could • Case managed abroad, want Chavez out. Internally, the be disrupted. They should register with their embassy admissions Coordinadora Democratica (CD) movement has before travel or immediately upon arrival in the been responsible for organising the opposition. The country, and should know the location of their • Medical updates group managed to collect an estimated 3.4 million country's embassy in Caracas as well as ensuring that signatures in support of a referendum on Chavez's family or close business associates have a copy of and reports daily presidency, well above the 2.4 million required for a their itinerary. referendum. The CD also has mobilised thousands of As the situation in Venezuela worsens, the electoral people in the streets. council, influenced by Chavez, could declare that the The Caracas local government is providing further opposition has failed to collect enough signatures support for the opposition. Caracas Mayor Alfredo because of fraud or a technicality. Should this happen, Pena is one of Chavez's greatest opponents. Chavez the opposition could again ask for the support of the fears a coordinated uprising by the CD and the international community, including the Organization of Caracas Metropolitan Police, which is controlled by American States (OAS) or the Carter Center. Chavez, the mayor and opposition forces. pressured by the international community and facing Chavez threatened on 27 February to use tanks expulsions from the OAS, would then probably agree in we are here for your peace of mind against Caracas police after the police allowed anti- the long term to some sort of early elections or Chavez protesters to advance toward the G15 referendum. summit in Caracas. The protesters clashed with Alternatively, however, the opposition might decide national guardsmen for hours, resulting in the death to start a general strike and violent protest in the 4th Floor Allcare House, 90 Grayston Drive, Sandton of at least two demonstrators and the wounding of streets of Caracas to protest against an electoral dozens more. council ruling. Should this happen, Chavez could use Johannesburg, SOUTH AFRICA Most governments in the hemisphere, including his loyal military supporters (10,000 to 15,000 those of the US and Colombia, also oppose Chavez soldiers), the Circulos Bolivarianos militia (which is Contact: (24hrs) +27 82 323 7553 (o/h) +27 11 290 6330 and favour a recall election. They see Chavez as a 20,000 strong), and thousands of Cuban military fax: +27 11 290 6329 email: [email protected] politically and economically destabilising presence in advisors already in Venezuela to crush the opposition, the region. possibly turning the country into a police state. If the web ad: www.aims.org.za The Colombian authorities claim that Chavez has opposition, however, gets the support of enough been actively supporting the Revolutionary Armed military units, it could overthrow Chavez's Forces of Colombia (FARC) guerrillas. Colombia government and call for new elections.

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AIR AMBULANCE

Aerojet 4631 NW 31st Ave #220 Tel: +1 954 730 9300 [email protected] Stuart Hayman Ft Lauderdale Fax: +1 954 485 6564 www.aero-jet.com President FL 33309 00907 Jacabo Bercovici USA Vice-President

Aeromed 365 Ltd Gainsborough House Tel: +44 1293 582 500 [email protected] Alida Benton High Street Fax: +44 1293 582 501 www.aeromed365.com Managing Director Crawley RH10 1BW UK

Aeromedevac Inc 4420 Rainer Ave. Suite 202 Tel: +1 800 462 0911 [email protected] Raul Mendoza San Diego Fax: +1 619 284 7918 www.aeromedevac.com Vice President CA 92120 USA

Air Ambulance Professionals, Inc. Ft. Lauderdale Executive Airport Tel: +1 954 491 0555 [email protected] Brian L. Weisz 1535 South Perimeter Rd Fax: +1 954 491 6114 www.airambulanceprof.com President Hangar 36B Ft. Lauderdale Florida 33309 USA

Air Ambulance Specialists, Inc. 8001 S. Interport Blvd. Toll Free: +1 800 424 7060 [email protected] Donald Jones Suite 250 Tel: +1 720 875 9182 www.airaasi.com President Englewood Fax: +1 720 875 9183 CO 80111 USA

Air Trek Air Ambulance 28000 A-5 Airport Road Toll Free: +1 800 6335387 [email protected] David Bump Punta Gorda Tel: +1 941 6397855 www.medjets.com Vice President FL 33982 USA

AMREF Flying Doctor Service Wilson Airport Tel: +254 20 600 552 [email protected] Dr Bettina Vadera Langata Road Tel: +254 20 600 833 [email protected] Doctor/Medical Director PO Box 18617 Fax: +254 20 600 665 www.amref.org Sean Culligan Nairobi Mob: +254 733 639088 Operations KENYA Fax: +254 20 315 454

Atlantic Assist Rua da Alfndega n 10, 2-D Tel: +351 291 214 200 [email protected] Aurelio Rodrigues Medical & Assistance Services 9050-059 Funchal Fax: +351 291 214 202 www.atlanticassist.com Operations Manager PO Box 750 Medical (24hr): +351 965 013 938 Dr E Açafrão Madeira Ops. (24hr): +351 963 443 339 Medical Director PORTUGAL

Canadian Global Air Ambulance TORONTO Tel: +1 204 888 5555 [email protected] Deryck Williams WINNIPEG Fax: +1 204 888 9111 www.canadianglobalair.ca Director of Sales & Mktg. VANCOUVER Toll Free: +1 800 563 3822

DRF German Air Rescue Raiffeisenstr 32 Tel (24hr): +49 711701070 [email protected] Rainer Horcher 70794 Filderstadt Fax: +49 711701071 www.german-air-rescue.de Head of Alert Ceter GERMANY Volker Lemke Sales & Marketing Manager

Egres Aeromedical Evacuation Services Postnet Suite 82 Tel: +27 11 701 2172 [email protected] S.D. Avice Du Buisson Private Bag X4 Fax: +27 11 701 2173 www.egres.co.za Managing Director Lanseria 1748 SOUTH AFRICA

Euro-flite Air Ambulance Helsinki International Airport Tel: +358 20510 1900 [email protected] Juani Missonen PO Box 187 Fax: +358 20510 1901 Coordinator/Programme Director FIN-01531 Vantaa FINLAND

FAI Flight - Ambulance International Flughafenstrasse 100 (GAT) Tel: +49 911 36009 0 [email protected] Sven Mueller D-90411 Nuremberg Fax: +49 911 36009 59 www.flightambulance.net Operations Manager GERMANY

Global Medical Support Ullevaal University Hospital Tel: +47 22 96 50 50 [email protected] Otto Karud 0407 Oslo Telefax (24 hr): +47 22 96 50 51 www.globalmedicalsupport.com Marketing Director NORWAY Tel: +47 22 96 50 00 May Furuli Telefax: +47 22 96 50 31 Operations Manager

Heathrow Air Ambulance 19903 Country Lake Drive Tel: +1 832 934 2390 [email protected] Peter Veazey Magnolia Fax: +1 832 934 2395 www.heathrowairambulance.com CEO TX - 77355 USA

IFRA Bahnhofplatz 13 Tel: +43 273 282 561 [email protected] Dr Christian Steindl PO Box 160 Fax: +43 273 285 101 www.ifra.at Krems AUSTRIA

www.itij.co.uk International Travel Insurance Journal 36 SERVICEDIRECTORY To have your company listed in the Service Directory email: [email protected]

JetWest 16644 Roscoe Blvd Tel: +1 818 787 9100 [email protected] Shawn Crocker Van Nuys Fax: +1 818 787 4473 www.jetwest.com California 91406 USA Luxembourg Air Ambulance 175A, rue de Cessange Tel (24hr): +352 420 440 1 [email protected] Andrew Breedan L-1321 Tel: +352 420 440 61 www.air-ambulance.lu Ian Elvy LUXEMBOURG Fax: +352 420 440 55

Medevac Europe Rapide House Tel: +44 2476 511 200 [email protected] Philip Pardoe Business Aviation Centre Fax: +44 2476 305 535 www.medevaceurope.com MD Coventry Airport (South) Coventry CV3 4PB UK Medic’Air International 35 Rue Jules Ferry Tel: +33 1 41 72 14 14 [email protected] Dr Herve Raffin (Air ambulance and rescue, 93170 Bagnolet (Paris) Fax: +33 1 48 57 10 10 www.medic-air.com General Manager medical escort worldwide) FRANCE Dr. Francois Bouchereau Medical Director

Medical Wings 222 Room 3602 Tel: +662 247 3392 [email protected] Jarin Kiatfuengfoo Bangkok International Airport Tel: +662 535 4735 www.medicalwings.com General Manager & Director Viphavadeo-Rangsit Road Fax: +662 535 4355 Sikan, Donmuang Bangkok 10210 THAILAND

National Air Ambulance 3495 S.W. 9th Ave Tel: +1 954 359 9900 [email protected] George Martinez Ft. Lauderdale Toll Free: +1 800 327 3710 www.nationalairambulance.com Manager Flight Coordination FL 33315 Fax: +1 954 359 9500 USA

Netcare 911 Aeromedical Netcare 911 House Tel: +27 11 254 1392 [email protected] Liz Ferguson 49 New Road Fax: +27 11 254 1405 www.netcare911.co.za Halfway House Midrand 1610 SOUTH AFRICA

North Flying A/S Aalborg Airport Tel: +45 96 32 29 00 [email protected] Jef Sorenson Norresundby Fax: +45 96 32 29 09 www.northflying.com Sales Director DK-9400 DENMARK

Pacific Flight Services Pte. Ltd ST Aerospace Engineering Bldg. Tel: +65 6481 3756 [email protected] Katherine Yeo A subsidiary of Singapore Technologies Aerospace Ltd Seletar West Camp Fax: +65 6482 1727 www.fly-pfs.com Seletar Airport SINGAPORE 797796

Red Star Aviation Sabiha Gokcen Int. Airport Tel: +90 216 588 0216 [email protected] Mustafa Atac Kurtkoy 34912 Fax: +90 216 588 0225 www.redstar-aviation.com CEO Istanbul TURKEY

Skyservice Lifeguard 9785 Avenue Ryan Tel: +1 305 534 5551 [email protected] David Ewing Air Ambulance YUL/Pierre Elliott Fax: +1 305 534 4190 www.skyservice.com Vice President Trudeou International Airport International Business Development Dorval, Quebec H9P 1A2 CANADA

South Pacific Air Ambulance NEW ZEALAND Tel: +649 256 9000 [email protected] Simon Barton AUSTRALIA Fax: +649 256 9111 General Manager Operations SINGAPORE

Swiss Air Ambulance/REGA PO Box 1414 Tel: +41 333 333 333 [email protected] Walter Stunzi Zurich - Airport Fax: +41 654 3590 www.rega.ch PR/Marketing Manager CH-8058 SWITZERLAND

Tyrol Air Ambulance PO Box 81 Tel: +43 512 224 220 [email protected] Jakob Ringler A-6026 Fax: +43 512 288 888 www.taa.at Managing Director Innsbruk Airport AUSTRIA

VeriSafe International Ltd Unit B, 6/F Tel: +825 3110 1488 [email protected] Francis Chan Lippo Leighton Tower Fax: +852 2529 4576 www.verisafehk.com Chairman 103-109 Leighton Road www.verisafegroup.com Causeway Bay, Hong Kong CHINA

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AIR AMBULANCE INTERIOR Air Ambulance Technology A-5282 Tel: +43 7722 85051 [email protected] Egon Kuntner Ranshofen Fax: +43 7722 85051-22 www.airambulancetechnology.com President AUSTRIA

Bucher Leichtbau AG Indusriestrasse 1a Tel: +41 (I) 806 2424 [email protected] Daniel Mettler Fallenden/Zurich Fax: +41 (1) 806 2420 www.bucher-group.com CEO CH-8117 SWITZERLAND

ASSISTANCE COMPANIES AMREF Flying Doctor Service Wilson Airport Tel: +254 20 600 552 [email protected] Dr Bettina Vadera LangataRoad Tel: +254 20 600 833 [email protected] Doctor/Medical Director PO Box 18617 Fax: +254 20 600 665 www.amref.org Sean Culligan Nairobi Mob: +254 733 639088 Operations KENYA Fax: +254 20 315 454

Antalya Assistance Muratpasa Mah. Tel: +90 242 243 6219 [email protected] Murat Arslanoglu Adnan Menderes Bulvari No 19 Fax: +90 242 248 7724 www.fempatr.com Network Manager Gazihan K:4 D:21 Antalya TURKEY

ARC Transistance 11 Avenue Pleiades Tel: +32 2 776 04 70 [email protected] Hans Biekmann B-1200 Brussels Fax: +32 2 776 04 99 www.arctransistance.com Network Director BELGIUM

ASISTUR Paseo del Prado Tel: +53 7 866 4499 [email protected] Emilio Guevara Fernández 208 e/ Colón y Trocadero Fax: +53 7 866 8087 www.asistur.com Managing Director Habana Vieja www.asistur.cu Nestor Silva Pérez Ciudad Habana Assistance Manager CUBA ASSIST-CARD 15, Rue du Cendrier Tel: +41 22 732 0320 [email protected] Alexia Keglevich 1201 Geneva Fax: +41 22 738 6305 www.assist-card.com Managing Director SWITZERLAND

Assist International Services 284 (A4c) 1st Floor Soi Soonvijai 4 Tel: +66 2719 7833 [email protected] Malatee Chantarametakul Rama 9 Road, Bangkapi Fax: +66 2719 7830 Huykwang Bangkok 10320 THAILAND Assured Assistance Inc. 6880 Financial Drive UK Toll Free: +080013872487 [email protected] Martha Turnbull Mississauga Toll Free: +18003872487 Director of Operations Ontario Tel: +1 905 816 2495 L5N 7Y5 Fax: +1 905 813 4719 CANADA

Atlantic Assist Rua da Alfndega n 10, 2-D Tel: +351 291 214 200 [email protected] Aurelio Rodrigues Medical & Assistance Services 9050-059 Funchal Fax: +351 291 214 202 www.atlanticassist.com Operations Manager PO Box 750 Medical (24hr): +351 965 013 938 Dr E Açafrão Madeira Ops. (24hr): +351 963 443 339 Medical Director PORTUGAL

Customer Care Pty Ltd Level 3 Tel: +612 9202 8222 [email protected] Janine Benson 60 Miller Street Fax: +612 9202 8220 Team Manager North Sydney 2060 NSW AUSTRALIA

FirstAssist Marshall’s Court Tel: +44 208 652 1313 [email protected] Samantha Haigh Marshall’s Road Fax: +44 208 652 1504 www.firstassist.co.uk Communications Manager Sutton Surrey SM1 4DU UK First Assistance PO Box 17-310 Tel: +64 9 356 1650 [email protected] Mary-Jo McDonald Greenlane Fax: +64 9 356 1798 www.firstassistance.co.nz Sales & Marketing Manager Auckland NEW ZEALAND

Global Excel Management 73 Queen Street, Lennoxville Euro tel: +1 819 566 1130 [email protected] Brian Allatt Quebec, J1M 1J3, CANADA NA tel: +1 866 566 1130 www.globalexcel.ca Executive Vice President 4242 Cranmore Court Fax: +1 819 566 8335 Christine Francis-Herrin Belle Isle, FL 32812, USA Director of Business Development

Global Voyager Assistance PO Box 11 Tel: +7 095 775 0999 [email protected] Costas Danilenko 125124 Fax: +7 095 775 0998 [email protected] CEO Moscow Cyprus tel: +357 24 62 5099 www.gva.ru Dr Arthur Zulficarov RUSSIA Cyprus Fax: +357 24 62 5065 Director of Operations

IKS Innovative Key Solutions IKS Plaza Tel: +90 212 340 4 IKS(457) [email protected] Özge Yildirim Beyazdut Sokak No 6 Tel: +90 212 274 99 90 www.iks.com.tr International Business Manager Gayrettepe Besiktas Fax: +90 212 275 13 76 Deniz Ak Istanbul 34349 General Manager TURKEY

www.itij.co.uk International Travel Insurance Journal 38 SERVICEDIRECTORY To have your company listed in the Service Directory email: [email protected]

Mapfre Asistencia, S.A C/Gobelas, 41-45 Tel: +34 91 581 66 01 [email protected] Nikos Antimisaris Madrid 28023 Fax: +34 91 581 18 32 www.mapfre.com/asistencia Regional Director for Europe SPAIN

Marm Assistance Sabiha Gokcen Int. Airport Tel: +90 216 588 0588 [email protected] Mrs Jill Atac Kurtkoy 34912 Fax: +90 216 588 0602 www.redstar-aviation.com CEO Istanbul TURKEY

Medic’ Multiservices Rue du Pakistan - BP41 Tel: +216 73 369 000 [email protected] Dr Nejib Karoui Sahloul 1 Fax: +216 73 369 001 [email protected] Medical Director 4054 Sousse-Sahloul [email protected] Meher Ben Othmene TUNISIA www.medicmultiservices.com Director of Operations

MEDJET Assistance LLC PO Box 610629 Tel: +1 205 595 6626 [email protected] Philip R Morris Birmingham Fax: +1 205 595 6658 www.medjetassistance.com Executive Vice President AL 35261 Alabama USA

Medex Assistance Corporation 8501 LaSalle Road Tel: +1 800 537 2029 [email protected] John Hmelnicky Suite 200 Fax: +1 410 453 6301 www.medexassist.com SVP Sales & Marketing Towson MD 21286 USA

Medex Assistance Corporation Victoria House, 5th Floor Tel: +44 1273 22 3000 [email protected] Robert Moore 125 Queens Road Fax: +44 1273 22 3001 www.medexassist.com Director of Business Dev. UK Brighton East Sussex BN1 3WB UK

Medical Wings 222 Room 3602 Tel: +662 247 3392 [email protected] Jarin Kiatfuengfoo Bangkok International Airport Tel: +662 535 4735 www.medicalwings.com General Manager & Director Viphavadeo-Rangsit Road Fax: +662 535 4355 Sikan, Donmuang Bangkok 10210, THAILAND

Medisave Assistance PO Box 64272 Tel: +357 26 220 346 [email protected] Georgia Yagnam 8073 Paphos Fax: +357 26 923 067 [email protected] Managing Director CYPRUS Tel (24 hr): +357 99 55 3737

MK International Emergency Services 95, Ioanninon Street Tel: +30 210 5154600 [email protected] Minas Kaloumenos 10444 Athens Fax: +30 210 5131660 General Manager GREECE

Netcare 911 Aeromedical Netcare 911 House Tel: +27 11 254 1392 [email protected] Liz Ferguson 49 New Road Fax: +27 11 254 1405 www.netcare911.co.za Halfway House Midrand, 1610 SOUTH AFRICA

South Pacific Air Ambulance NEW ZEALAND Tel: +649 256 9000 [email protected] Simon Barton AUSTRALIA Fax: +649 256 9111 General Manager Operations SINGAPORE

TMCA 217 Broadway Tel: +1 212 964 8580 [email protected] Margaret Whartom Suite 600 Fax: +1 212 406 1520 www.tmcatravel.com Operational Manager / VP Travel Division NYC NY 10007 USA Universal Assistance Avenida Córdoba 967 Tel: +(54 11) 4323 6027 [email protected] Ignacio Márquez C1054AA1 Fax: +(54 11) 4323 6001 www.ua.com.ar International Business Manager Buenos Aires ARGENTINA

VeriSafe International Ltd Unit B, 6/F Tel: +825 3110 1488 [email protected] Francis Chan Lippo Leighton Tower Fax: +852 2529 4576 www.verisafehk.com Chairman 103-109 Leighton Road www.verisafegroup.com Causeway Bay, Hong Kong CHINA

World Travel Protection Canada Inc. 400 University Avenue Tel: +1 416 911 3565 [email protected] Dr. Ron Mayer Suite 1500 Fax: +1 416 205 4676 [email protected] President & Chief Medical Officer Toronto www.wtp.ca Lambert Boenders Ontario M5G 1S7 VP Operations & Customer Relations CANADA CLAIMS HANDLERS IKS Innovative Key Solutions IKS Plaza Tel: +90 212 340 4 IKS(457) [email protected] Özge Yildirim Beyazdut Sokak No 6 Tel: +90 212 274 99 90 www.iks.com.tr International Business Manager Gayrettepe Besiktas Fax: +90 212 275 13 76 Deniz Ak Istanbul 34349 General Manager TURKEY Mapfre Asistencia, S.A C/Gobelas, 41-45 Tel: +34 91 581 66 01 [email protected] Nikos Antimisaris Madrid 28023 Fax: +34 91 581 18 32 www.mapfre.com/asistencia Regional Director for Europe SPAIN

International Travel Insurance Journal www.itij.co.uk call +44 (0) 117 925 5151 To make an alteration to a listing email: [email protected] SERVICEDIRECTORY 39

Medex Assistance Corporation 8501 LaSalle Road Tel: +1 800 537 2029 [email protected] Ed Broderick Suite 200 Fax: +1 410 453 6301 www.medexassist.com Director of Claims Towson MD 21286 USA

Universal Assistance Avenida Córdoba 967 Tel: +(54 11) 4323 6027 [email protected] Ignacio Márquez C1054AA1 Fax: +(54 11) 4323 6001 www.ua.com.ar International Business Manager Buenos Aires ARGENTINA

CLAIMS MANAGEMENT

Global Excel Management 73 Queen Street, Lennoxville Euro tel: +1 819 566 1130 [email protected] Brian Allatt Quebec, J1M 1J3, CANADA NA tel: +1 866 566 1130 www.globalexcel.ca Executive Vice President 4242 Cranmore Court Fax: +1 819 566 8335 Christine Francis-Herrin Belle Isle, FL 32812 Director of Business Development USA CONSULTING SERVICES IKS Innovative Key Solutions IKS Plaza Tel: +90 212 340 4 IKS(457) [email protected] Özge Yildirim Beyazdut Sokak No 6 Tel: +90 212 274 99 90 www.iks.com.tr International Business Manager Gayrettepe Besiktas Fax: +90 212 275 13 76 Deniz Ak Istanbul 34349 General Manager TURKEY The Maturin Group 902 Arabian Avenue, Tel: +1 407 366 6830 [email protected] Alan J Jones Winter Springs Fax: +1 407 366 6647 President FL 32708 USA

Paradigm Network Consulting 2639 N. Riverside Drive Tel: +1 954 609 0573 [email protected] Addy Gonzalez Services Inc. #1105 Fax: +1 954 252 4083 President Pompano Beach FL 33062 USA CRITIAL CARE PATIENT TRANSPORTATION Lufthansa German Airlines FRA SQ/B Tel: +49 561 99 33 7020 [email protected] Doris Ehring (Patient transport compartment) Frankfurt Airport Fax: +49 561 99 33 117 Key Account, Product & D-60546 Mob: +49 172 36 77 929 Process Management GERMANY

CRM IKS Innovative Key Solutions IKS Plaza Tel: +90 212 340 4 IKS(457) [email protected] Özge Yildirim Beyazdut Sokak No 6 Tel: +90 212 274 99 90 www.iks.com.tr International Business Manager Gayrettepe Besiktas Fax: +90 212 275 13 76 Deniz Ak Istanbul 34349 General Manager TURKEY FUNERAL DIRECTORS Defin Funeral Services Muratpasa Mah. Tel: +90 242 248 8389 [email protected] Murat Arslanoglu Adnan Menderes Bulvari No 19 Fax: +90 242 248 7724 www.fempatr.com Network Manager Gazihan K:4 D:21 Antalya TURKEY

Funeraria Officia Roberto Zega Via Clelia 26-28 Tel: +39 067 840 300 [email protected] Cristina Zega Roma Fax: +39 067 802 488 www.zega.it General Manager ITALY

Funeralcare International 221 Upper Richmond Road Tel: +44 20 8788 5303 [email protected] Mike Johanson Putney Fax: +44 20 8788 2525 London SW15 6SQ UK

Kenyon Christopher Henley 83 Westbourne Grove Tel: +44 20 7313 6920 [email protected] Christopher Henley Bayswater Fax: +44 20 7313 6999 www.kchrepatriation.com Managing Director London W2 4UL UK

MK Funeral & Transportation Services 95, Ioanninon Street Tel: +30 210 5154600 [email protected] Minas Kaloumenos 10444 Athens Fax: +30 210 5131660 General Manager GREECE

Phoenix International 13 The Broadway, Tel: +44 208 993 8767 [email protected] Steve Thomas Gunnersbury Lane, Fax: +44 208 993 5797 Managing Director London W3 8HR UK

Rowland Brothers International 299 - 305 Whitehorse Road, Tel: +44(0)20 8684 2324 [email protected] Steve Rowland West Croydon Fax: +44(0)20 8684 8000 www.rowlandbrothersinternational.co.uk Tony Rowland Surrey CR0 2HR UK

www.itij.co.uk International Travel Insurance Journal 40 SERVICEDIRECTORY To have your company listed in the Service Directory email: [email protected]

HEALTHCARE CLINICS

Number One Health Group 1 Harley Street Tel: +44 207 307 8756 [email protected] Dr Charlie Easmon (Incorporating Travel Screening London W1G 9QD Fax: +44 7092 196 169 www.executivescreen.com Director Services and Exectutive Search) UK

HOSPITALS

Baptist Health South Florida 8900 North Kendall Drive Tel: +1 786 596 2373 [email protected] Yohandra Noriega Miami www.baptisthealth.net Int. Patient Service Director Florida 33176 USA

Hospital Clinica Benidorm Avenida Alfonso Purchades 8 Tel: +34 96 585 3850 [email protected] Ana DaPaz Brown 03500 Benidorm Fax: +34 96 586 4345 www.clinicabenidorm.com Medical Director Alicante SPAIN

Hospiten Group c/Pescadores, s/n Edif Discovery Tel: +34 9 2262 6240 [email protected] Carlos Salazar 38 108 Taco-La Laguna Fax: +34 9 2262 2203 www.hospiten.com Santa Cruz Tenerife SPAIN INTERNATIONAL GROUND TRANSPORT CO-ORDINATOR

Parkview EMS Ltd 5770 Timberlea Blvd. Tel: +1 905 629 7557 [email protected] France Paquin Suite 201 Fax: +1 905 629 1927 www.parkviewems.com Mississauga Toll Free: +1 888 795 9570 Ontario L4W 4W7 CANADA MEDICAL COST CONTAINMENT

ChargeCare International PO Box 18 Tel: +44 1409 261 368 [email protected] Philip Marshall Holsworthy Fax: +44 1409 261 633 www.chargecare.co.uk Director of Operations EX22 7WB UK

Global Excel Management 73 Queen Street, Lennoxville Euro tel: +1 819 566 1130 [email protected] Brian Allatt Quebec, J1M 1J3, CANADA NA tel: +1 866 566 1130 www.globalexcel.ca Executive Vice President 4242 Cranmore Court Fax: +1 819 566 8335 Christine Francis-Herrin Belle Isle, FL 32812 Director of Business Development USA

Global Medical Management 7901 SW 36th Street Tel: +1 954 370 6404 [email protected] Raija Itzchaki Suite 100 www.gmmusa.com Assistant VP Marketing Davie FL 33328 USA

Hygeia Corporation 15500 New Barn Road Tel: +1 305 594 9291 [email protected] Joe Radigan Suite 200 Fax: +1 305 594 9201 www.hygeia.net Chief Operating Officer Miami Lakes FL 33014 USA

IKS Innovative Key Solutions IKS Plaza Tel: +90 212 340 4 IKS(457) [email protected] Özge Yildirim Beyazdut Sokak No 6 Tel: +90 212 274 99 90 www.iks.com.tr International Business Manager Gayrettepe Besiktas Fax: +90 212 275 13 76 Deniz Ak Istanbul 34349 General Manager TURKEY Intercontinental Corporation 5975 Castle Creek Parkway Tel: +1 317 806 2000 [email protected] Karla Kreger Suite 100 Fax: +1 317 637 6634 www.us-icc.com Marketing Manager Indianapolis IN 46250 USA

Mapfre Asistencia, S.A C/Gobelas, 41-45 Tel: +34 91 581 66 01 [email protected] Nikos Antimisaris Madrid 28023 Fax: +34 91 581 18 32 www.mapfre.com/asistencia Regional Director for Europe SPAIN

Medex Assistance Corporation Victoria House, 5th Floor Tel: +44 1273 22 3000 [email protected] Robert Moore 125 Queens Road Fax: +44 1273 22 3001 www.medexassist.com Director of Business Dev. UK Brighton East Sussex BN1 3WB UK

Medisave Assistance PO Box 64272 Tel: +357 26 220 346 [email protected] Georgia Yagnam 8073 Paphos Fax: +357 26 923 067 [email protected] Managing Director CYPRUS Tel (24 hr): +357 99 55 3737

Medsave USA 1400 Old Country Road Tel: +1 516 622 1700 [email protected] Donald Moyle Suite 109 Fax: +1 516 622 1733 www.medsaveusa.com Chief Marketing Officer Westbury NY 11590 USA

International Travel Insurance Journal www.itij.co.uk call +44 (0) 117 925 5151 To make an alteration to a listing email: [email protected] SERVICEDIRECTORY 41

Netcare 911 Aeromedical Netcare 911 House Tel: +27 11 254 1392 [email protected] Liz Ferguson 49 New Road Fax: +27 11 254 1405 www.netcare911.co.za Halfway House Midrand, 1610 SOUTH AFRICA

Olympus Managed Health Care Inc. 777 Brickell Avenue Tel: +1 305 459 4800 [email protected] Frank Recio Suite 950 Fax: +1 305 530 0766 www.omhc.com Senior Vice President Maimi Florida 33131 USA

Star Healthcare Network, Inc. 850 Seventh Avenue Tel: +1 212 581 8228 [email protected] Gigi Galen Suite # 803 Fax: +1 212 581 8272 President New York 10019 USA

TMCA 217 Broadway Tel: +1 212 964 8580 [email protected] Margaret Whartom Suite 600 Fax: +1 212 406 1520 www.tmcatravel.com Operational Manager / VP Travel Division NYC NY 10007 USA Universal Assistance Avenida Córdoba 967 Tel: +(54 11) 4323 6027 [email protected] Ignacio Márquez C1054AA1 Fax: +(54 11) 4323 6001 www.ua.com.ar International Business Manager Buenos Aires ARGENTINA

MEDICAL ESCORT ON COMMERCIAL AIRLINES

Aeromed 365 Ltd Gainsborough House Tel: +44 1293 582 500 [email protected] Alida Benton High Street Fax: +44 1293 582 501 www.aeromed365.com Managing Director Crawley RH10 1BW UK

AMREF Flying Doctor Service Wilson Airport Tel: +254 20 600 552 [email protected] Dr Bettina Vadera LangataRoad Tel: +254 20 600 833 [email protected] Doctor/Medical Director PO Box 18617 Fax: +254 20 600 665 www.amref.org Sean Culligan Nairobi Mob: +254 733 639088 Operations KENYA Fax: +254 20 315 454

Medic’Air International 35 Rue Jules Ferry Tel: +33 1 41 72 14 14 [email protected] Dr Herve Raffin (Air ambulance and rescue, 93170 Bagnolet (Paris) Fax: +33 1 48 57 10 10 www.medic-air.com General Manager medical escort worldwide) FRANCE Dr. Francois Bouchereau Medical Director

Medical Wings 222 Room 3602 Tel: +662 247 3392 [email protected] Jarin Kiatfuengfoo Bangkok International Airport Tel: +662 535 4735 www.medicalwings.com General Manager & Director Viphavadeo-Rangsit Road Fax: +662 535 4355 Sikan, Donmuang Bangkok 10210, THAILAND

MEDJET Assistance LLC PO Box 610629 Tel: +1 205 595 6626 [email protected] Philip R Morris Birmingham Fax: +1 205 595 6658 www.medjetassistance.com Executive Vice President AL 35261 Alabama USA

Netcare 911 Aeromedical Netcare 911 House Tel: +27 11 254 1392 [email protected] Liz Ferguson 49 New Road Fax: +27 11 254 1405 www.netcare911.co.za Halfway House Midrand, 1610 SOUTH AFRICA

Parkview EMS Ltd 5770 Timberlea Blvd. Tel: +1 905 629 7557 [email protected] France Paquin Suite 201 Fax: +1 905 629 1927 www.parkviewems.com Mississauga Toll Free: +1 888 795 9570 Ontario L4W 4W7 CANADA MEDICAL PROVIDERS

Aeromed 365 Ltd Gainsborough House Tel: +44 1293 582 500 [email protected] Alida Benton High Street Fax: +44 1293 582 501 www.aeromed365.com Managing Director Crawley RH10 1BW UK

Aliance International Medical Services PO Box 2650 Tel: +27 11 290 6330 [email protected] BA Breton Rivonia 2128 Fax: +27 11 290 6329 Managing Director SOUTH AFRICA

AMREF Flying Doctor Service Wilson Airport Tel: +254 20 600 552 [email protected] Dr Bettina Vadera LangataRoad Tel: +254 20 600 833 [email protected] Doctor/Medical Director PO Box 18617 Fax: +254 20 600 665 www.amref.org Sean Culligan Nairobi Mob: +254 733 639088 Operations KENYA Fax: +254 20 315 454

www.itij.co.uk International Travel Insurance Journal 42 SERVICEDIRECTORY To have your company listed in the Service Directory email: [email protected]

Atlantic Assist Rua da Alfndega n 10, 2-D Tel: +351 291 214 200 [email protected] Aurelio Rodrigues Medical & Assistance Services 9050-059 Funchal Fax: +351 291 214 202 www.atlanticassist.com Operations Manager PO Box 750 Medical (24hr): +351 965 013 938 Dr E Açafrão Madeira Ops. (24hr): +351 963 443 339 Medical Director PORTUGAL

Mapfre Asistencia, S.A C/Gobelas, 41-45 Tel: +34 91 581 66 01 [email protected] Nikos Antimisaris Madrid 28023 Fax: +34 91 581 18 32 www.mapfre.com/asistencia Regional Director for Europe SPAIN

Netcare 911 Aeromedical Netcare 911 House Tel: +27 11 254 1392 [email protected] Liz Ferguson 49 New Road Fax: +27 11 254 1405 www.netcare911.co.za Halfway House Midrand, 1610 SOUTH AFRICA

Parkview EMS Ltd 5770 Timberlea Blvd. Tel: +1 905 629 7557 [email protected] France Paquin Suite 201 Fax: +1 905 629 1927 www.parkviewems.com Mississauga Toll Free: +1 888 795 9570 Ontario L4W 4W7 CANADA STRETCHER SYSTEMS

Bucher Leichbau AG Indusriestrasse 1a Tel: +41 (1) 806 2424 [email protected] Daniel Mettler Fallenden/Zurich Fax: +41 (1) 806 2420 www.bucher-group.com CEO CH-8117 SWITZERLAND

Med-Pac Inc PO Box 285 Tel: +1 701 492 7950 [email protected] Tim Wheelbourg/Ralph Braaten 302B 39 St. NW Fax: +1 701 492 7951 www.med-pac.net President Fargo ND 58107 USA TRAVEL AGENTS

Parkview EMS Ltd 5770 Timberlea Blvd. Tel: +1 905 629 7557 [email protected] France Paquin Suite 201 Fax: +1 905 629 1927 www.parkviewems.com Mississauga Toll Free: +1 888 795 9570 Ontario L4W 4W7 CANADA

Voyageur Aeromedical Travel Voyageur Buildings Tel: +44 (0)117 927 3554 [email protected] Marc Lucas 43 Colston Street Fax: +44 (0)117 925 5940 www.voyageur.co.uk General Manager Bristol BS1 5AX UK

UNDERWRITERS

Mapfre Asistencia, S.A C/Gobelas, 41-45 Tel: +34 91 581 66 01 [email protected] Nikos Antimisaris Madrid 28023 Fax: +34 91 581 18 32 www.mapfre.com/asistencia Regional Director for Europe SPAIN

18-22 April 25-28 April Smile corner Diary dates RIMS 2004 Catastrophe Modeling Technology: Raising San Diego Convention Center the Bar Our thanks go to Norwich Union Annual Conference and Exhibition Las Vegas Hyatt Regency San Diego, CA, US AIR Worldwide Conferenc who sent us this funny story. www.rims.org Las Vegas, CA, US 14-15 April www.air-worldwide.com Global Sourcing 19-20 April Pan Pacific Hotel Legal, Tax and Financial Aspects of 5-6 May A look at Outsourcing Captive Insurance Companies IRMI Seminar Series: Captives Built to A light accident San Francisco, CA, US Le Meridien Chicago Last www.srinstitute.com Presented by Atlas Tax MGM Grand Chicago, US How to structure and operate a captive A Canadian ice hockey team www.atlas-sfi.com insurance program that withstands market 15 April visiting Russia, were convinced Understanding the Strategic Advantages of cycles Captives, Regardless of Market Conditions 20-22 April Las Vegas, CA, US their hotel room was bugged. So Vermont Captive Insurance Association Incentive World www.irmi.com in a state of paranoia they Minneapolis, Minnesota, US Earls Court vigorously searched their room www.vcia.com/minneapolisevent2004.htm Uk's sales promotion, incentive and 6-7 May motivation marketing event The National Conference of Insurance and found a strange round piece London, UK Guaranty Funds of metal under the rug, fixed 18-21 April www.incentive-world.co.uk Annual Meeting tightly to the floor. They dug it Fort Lauderdale, Florida, US GEO Conference out, and instantly heard a loud Fairmount Queen Elizabeth Hotel 21 April www.ncigf.org/meetings A fresh look at the future of equity Drafting reinsurance wordings conference crash. It transpired they had compensation Berners Hotel, Berners Street, Hawksmere unbolted the chandelier in the Montreal, Canada London, UK room below. www.globalequity.org www.hawksmere.co.uk

International Travel Insurance Journal www.itij.co.uk ONTHE MOVE 43

Citybond appointment ACE Greenburg Sales at Insure-com CONTRIBUTORS Insure-com, the broker software supplier, has got a Roger Allnutt is a freelance travel writer based in duo Evan G. Greenburg takes over from Brian new Head of Sales. Peter Mroch has 15 years Canberra, Australia, and has material published Duperreault as CEO of ACE Ltd on the 27 May. experience in the widely in magazines and newspapers in Australia Mr Duperreault will continue as Chairman. Mr software industry and New Zealand. He travels widely both in Greenburg will add the CEO post to his current and joins as a Australia and overseas. role of President of ACE Ltd. Member of the Mr Duperreault said of the appointment: ‘Evan has Board of Fetooh Al Zayani lives and works in Dubai and is truly earned the right to run ACE during this next Management. He Head of Insurance and Reinsurance at the Dubai phase of its growth and development. He will be in charge International Financial Centre. She has already gained notoriety as a writer and has recently distinguished himself very quickly when he assumed of new business, contributed to Global Reinsurance magazine. She the leadership of our global reinsurance operations telesales and the can be contacted at [email protected] in November 2001 and brought that company to account record profitability. Evan has done an outstanding management Dick Atkins is chief counsel for International

Louise Bryan and Greg Lawson job running ACE on a day-to-day basis as its Chief teams. Recoveries, Philadelphia, which provides global Operating Officer, since June 2003. Evan works legal assistance to the travel insurance industry. He Louise Bryan and Greg Lawson have been harder, longer and more effectively than almost any is in charge of International Recoveries’ legal hotline appointed as Business Development Manager and man I know. He is the right person to lead ACE in Chairman for ABI and has been involved in handling international legal Scheme Broking Manager (respectively) by the next generation.’ incidents for the past 20 years. He can be reached by e-mail on [email protected]. Citybond Suretravel. Louise is well known in the Chairman of the Keith Jones, Chief Executive of Morley fund travel industry and has worked with both Travel Nominating and Management is to become the next Chairman of Joaquin Rodriguez is the seasoned journalist who and General Insurance Co Plc. and Travel Governance the investment committee of the Association of has worked for Mapfre and has expert Protection Group. Greg comes across from the Committee, Robert British Insurers (ABI). knowledge of the industry. renowned Lloyd’s broker Butcher, Robinson and Hernandez said of Mr ABI was keen to appoint a ‘heavy-hitter’ from Staples, where he had been working for 10 years. Duperreault’s ten- among the 18 companies represented on the Michael Weinlich worked as a flight doctor at Mansukh Ganatra, Citybond’s Managing Director year tenure as CEO: investment committee. Morley is a subsidiary of German Air Rescue, was a permanent guest of says of the two new additions, ‘We are delighted ‘Brian presided over Aviva. the council of DRF and amongst his many with the two senior appointments that represent an eight successful Mr Jones said of his appointment: ‘The ABI has accomplishments, including being a HEMS physician in the Turkey earthquake disaster, he exciting extension of the continued substantial acquisitions and as a done a tremendous job engaging with companies has a business education in project management. growth of the Citybond Group. Both Louise and result of subsequent and my role is to keep moving that debate forward Greg bring a wealth of experience to Citybond in its organic growth, ACE in a balanced and constructive way. I will seek to Saby Ganguly is an India-based business writer 20th year of trading. We will harness our intended was able to double its avoid a box-ticking approach.’ Mr Jones will chair with more than 20 years’ experience, including 16 growth further by these two key appointments.’ net premiums written his first meeting in May. in the Middle East. He is also the founder of over the most recent three-year period. ACE Ltd IndiaOneStop.Com, which is one of India’s recently reported record net income of $1.4 billion earliest established business-to-business websites. Medical malpractice at for the year ended 31 December 2003. For these formidable achievements, we want to thank Brian FirstAssist gets a title David Ing is a freelance journalist covering mainly travel and tourism issues in Spain. He writes on Miller for his outstanding leadership.’ The Holdings Board of FirstAssist has been air transport for a leading international news completed by Sir Tim Chessells, who has been agency, as well as contributing special features to Miller Insurance Services has welcomed a new appointed Non-Executive Director. Sir Chessells Newsweek and writing in-flight magazine articles medical malpractice team on board. The team was will also become a member of the Remuneration and guidebooks. previously at Clayton Risk Financing Services Ltd Aon MD joins Heath Committee and will chair the Audit Committee of (CRFS), a joint venture between Lloyd’s broker Mike Ellis, former Aon Managing Director, has been the Group, bringing invaluable support and iJET® Travel Intelligence® (www.ijet.com), the Claytons and consulting actuaries Dion Durrell. appointed Executive Director of Heath Lambert’s experience to the team. He says of the travel risk management company, provides real- The team consists of directors Clive Wilson, Mark major accounts group. appointment: ‘I am delighted to be joining the time Travel Intelligence information through its Popple, Graeme Lynch, Melanie Mode and Lisa After 25 years with rival Aon, Mr Ellis has made the Board of FirstAssist, as this is a very exciting time in award-winning Worldcue® technology platform for tracking and communicating with travellers. O’Connell. They specialise in medical malpractice move to Heath Lambert, which will encompass the the development of the business. I have a wealth of iJET services are backed by regional and category and professional liability cover for defence bodies, management of major client relationships and experience in Non-Executive roles for a range of specialists from the fields of intelligence, security, pools and mutuals based in the UK and Canada. business development. Adrian Colosso, Managing healthcare organisations and look forward to travel, and health who staff an around-the-clock Their existing book of business has transferred to Director UK, Heath Lambert said: ‘We scoured the lending my expertise to the development of operations centre in Annapolis, Md. For more Miller, along with the team. Graham Clarke, Chief market for the individual we wanted for this role FirstAssist’s unique health and wellbeing offering.’ information, look at www.ijet.com. Executive at Miller said: ‘The arrival of the CRFS and we got him.’ Since training to become a Chartered Account with team is excellent news for Miller. Their book of Arthur Young, where he was a partner for 17 Anne Johnson has been involved in journalism and business complements ours perfectly and their years, Sir Chessells has held a number of non- publishing all her working life as both writer and professionalism and approach is in line with our executive roles for high profile organisations. editor, and has been freelance for nearly 20 years. She writes on a variety of subjects, business philosophy. This alliance further strengthens CLAIM AND Tim Ablett, Chief Executive of FirstAssist is including health, food, lifestyle and travel, and has our position in the professional liabilities market and confident that the business will benefit from the been involved in ITIJ since it launched in 1999. our relationship with actuaries Dion Durrell, with presence of Sir Chessells. FirstAssist can now forge whom we work in a number of areas already.’ COUNTERCLAIM ahead with its ambitious plans for the future. Milan Korcok is an award-winning freelance health policy and economics writer who covers travel This story is from British insurance, public health, and medical education MyTravel chairman issues in Canada and the United States. He has newspaper, The Mail’s, Money AXA claims been writing about health financing and policy issues MyTravel has appointed Michael Beckett as its new David Williams has been promoted to Claims Director in the United States and Canada since the 1960s Mail section. It is a statement and is a frequent contributor to leading North Non-Executive Chairman, to succeed Eric from Tricia and Stewart following a restructure of AXA’s Finance, Claims and American professional journals and consumer Sanderson. The indebted tour operator - formally Actuarial teams. Commenting on his move, Mr media. He lives in Fort Lauderdale, Florida. known as Airtours – was under pressure by banks to Jenkins regarding a recent Williams said: ‘By aligning claims with customer introduce a new Chairman to shake up the company. claim they made: service,s we will be more customer focused. My goal Ronn Mullins, based in New York City, is a well- MyTravel announced that Mr Sanderson would retire is to improve our overall service to our customers, known professional insurance journalist. For more than 25 years, he has been writing about global at the end of March at the annual general meeting. ‘We were in Naples, Italy, when our hire particularly when they have to make a claim.’ ‘The Board appreciates Eric’s long service as a Non- Mr Williams will report directly to Andy Fairchild, insurance issues, products, companies and people Executive Director, and particularly everything he has car’s tyre blew. A couple of Italians Customer Services and Claims Director who for several international web and print publications. done for the company in an exceptionally difficult stopped to help and said it wasn’t commented: ‘We have made some tremendous His web site, www.insfolks.com, has a cornucopia of insurance-related topics and products. year as Chairman. We wish him well for the future,’ safe to stop there. When they left, we progress in our Claims Operation as part of our said MyTravel Chief Executive, Peer McHugh. realised my handbag had been stolen First Choice Change Programme. This move will Published on behalf of Michael Beckett, currently Chairman of Ashanti containing credit cards, hundreds of allow us to further develop a clear and compelling Voyageur UK (Travel Services) Ltd, Goldfields Company Limited, comes with a wealth claims vision aimed Voyageur Buildings, 43 Colston Street, of experience on companies struggling with debt Euros, a mobile phone, jewellery, and at delivering a Bristol BS15AX, UK problems, so is well appointed to take over glasses. The insurance company leading claims The information contained in this publication has been published MyTravel’s debts of £1.3 billion, and £220 million of turned down our claim because we service both in in good faith and every effort has been made to ensure its convertible bonds and seems quite prepared: ‘I am terms of efficiency accuracy. Neither the publisher nor Voyageur Ltd can accept any hadn’t been mugged as the money responsibility for any error or misinterpretation. All liability for looking forward enormously to joining MyTravel as was not being carried by me and was and effectiveness. loss, disappointment, negligence or other damage caused by Chairman. I am well aware of the challenges facing David has as reliance on the information contained in this publication, or in the not locked in the hotel’s safe at the event of bankruptcy or liquidation or cessation of the trade of any the business but I am confident we can succeed as outstanding track company, individual or firm mentioned, is hereby excluded. the turnaround is well under way.’ time of the loss. But I was right next record of delivery The departure of Mr Sanderson, MyTravel director to the car and of course it wasn’t in and his skills ad Printed by St. Ives (Roche) Ltd for 17 years, is seen as the last tie to be cut with the safe because I had planned on experience are the old Board that presided over difficult uniquely placed to Copyright © Voyageur Publishing 2004. Materials in this publication spending it!’ may not be reproduced in any form without permission. circumstances and the company hopes they can take on this role.’ move onwards and upwards from here on. INTERNATIONAL TRAVEL INSURANCE JOURNAL ISSN 1743-1522 www.itij.co.uk International Travel Insurance Journal