TIC has informed ASATA that it has reviewed its position on the Travel Supplier Insolvency (TSI) benefit for South African Airways Limited (SAA):
SAA continues to have difficulties during the business rescue process and the latest news, that further funding has been declined by Treasury, makes this process all the more difficult. This news became public knowledge when it was published by various news agents (online or print) on Thursday, 16 April 2020.
In light of the current news we deem it prudent to manage our risk, in relation to SAA, for policies that are issued on or after 21 April 2020. The TSI benefit will only be available to policyholders where the policy is issued within 48 hours of the first instance of the ticket being paid in part or in full. Any policy issued from 21 April 2020 onwards where the ticket was purchased more than 48 hours before will not include TSI cover.
We will be attaching an endorsement to this effect on all new policies, informing the general market of our position on SAA as well as updating our website.
Click here to view the endorsement.