
More Expensive
The Polish Chamber of Tourism is preparing a revolution on the tourist market because it wants to establish a guarantee fund where insurance premiums paid by tour operators would be deposited. Moreover, if a travel agency goes bust, its customers would receive compensation from this fund. However, this change would result in an increase in prices because travel agencies will offload the costs of the premiums on their customers. On Wednesday, the Polish Chamber of Tourism will submit a draft amendment to the Tourist Services Act. The premium paid on the fund would be obligatory and its amount would depend on how many people go on trips. Furthermore, the Polish Chamber of Tourism would like the financial situation of travel agencies, which has often been confidential, to be subject to supervision. The aim of this change is to prevent unexpected bankruptcies such as the most recent one of Kopernik.
The fund would be entitled to control the financial situation of travel agencies; therefore, if their situation worsens, the fund could forbid agencies from making sales, or creating a financial pyramid, i.e. financing current trips by means of advance payments for future travel. “This would help to obviate an increase in losses to enormous proportions. This is how the now bankrupt Open Travel, which went bust in 2006, was operating. It was already obvious that the travel agency was on the verge of bankruptcy but it was still taking money from customers and destroying the market over the summer season,” says Jan Korsak, manager of the Polish Chamber of Tourism. According to experts, changes in the regulations are indispensable because in 2009 the situation of travel agencies has deteriorated significantly. The chairman of the Polish Chamber of Tourism Krzysztof Łopaciński believes that even as many as 10 tour operators may go bankrupt. What do the tour operators think about these alterations? “Certainly, the financial control of tour operators is necessary; however, the idea that honest companies should fund compensations for fraud, is not very good,” says Jacek Dąbrowski, financial manager in Triada. What is more, additional premiums would only deteriorate the already weak condition of the tourist trade. “In a situation when the average margin obtained from a customer is PLN 50, every additional increase in costs will probably affect the prices of trips,” warn the agencies.
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