BASILDON, UNITED KINGDOM–(Marketwire – July 21, 2010) – Following the collapse of travel company Goldtrail last Friday, Go Travel Insurance are today highlighting the importance of taking out comprehensive travel insurance at the same time as booking a holiday.

Media reports suggest that many Goldtrail holidaymakers have been forced to pay large additional hotel bills to stay extra nights or check-out, as hotel managers were worried they would not be paid after the budget operator collapsed.

As the travel company has ATOL protection, any holidaymakers who have had to pay additional hotel costs as a result of the Goldtrail collapse can go to the Civil Aviation Authority (CAA) to claim compensation.

However, financial reimbursement for the other costs associated with the collapse, such as alternative flights and car hire, are dependent on the terms of your travel insurance. Those without any cover will probably have to pay for the additional expenses from their own pocket.

A spokesperson for Go Travel insurance said “Our travel insurance policies have insolvency cover included as standard as part of its financial failure holiday protection. Therefore, customers who book their holiday independently and take out a policy with us will be financially covered for the irrecoverable costs if one of the travel companies associated with their holiday goes under. This includes everything from the scheduled airline right down to the accommodation and any planned excursions.”

It is estimated that 50,000 people who booked to travel with Goldtrail could be affected over the summer months and the CAA is advising passengers due to go on holiday with Goldtrail to contact their travel agent.

For more information about Go Travel Insurance please visit http://www.gotravelinsurance.co.uk