Thomas Cook to introduce PAYG insurance and prepaid currency card

Thomas Cook to introduce PAYG insurance and prepaid currency card

Pay-as-you-go travel insurance and a prepaid card for multiple currencies are new services being introduced by Thomas Cook.

The new travel insurance, called Roam, allows customers to activate holiday cover at short notice using a smartphone app.

Cook’s new pre-paid travel card, called Lyk, will operate under a partnership with Mastercard.

It will allow customers to load about ten different currencies on to the card and let them switch between them without paying commission.

The new products will initially be advertised online before being promoted in stores in the new year peak booking period.

The company’s existing financial offerings will be repackaged with new features and smartphone apps. Future products such as savings accounts and credit cards are being considered.

The new products are part of a revamp of Cook’s financial services under a new division called Thomas Cook Money.

Details come ahead of the company’s full-year financial results being released on Wednesday.

Analysts predict the firm will announce a 7% rise in revenues to £8.8 billion with profits of about £200 million.

Chief executive Peter Fankhauser said: “The launch of Thomas Cook Money is our opportunity to transform the world of holiday money by embracing the very latest technology.”

Anth Mooney, former director at Virgin Money and managing director of the division, said the innovations would make paying for holidays more “simple” and “efficient”.

He told the Mail on Sunday: “Customers can spend more than 30 minutes in the shop or online buying insurance, but this can be set up in just two minutes, costs around £2 a day and can be switched on and off via the app.

“If your holiday is cancelled or cut short you can switch off the insurance so you only pay for the days you’re away – and if you go on another holiday that year then you can just switch the insurance back on.

“About 20% of people go on holiday without travel insurance so we wanted to make it as easy as possible for them to buy it.”

Comments

This is a community-moderated forum.
All post are the individual views of the respective commenter and are not the expressed views of Travel Weekly.
By posting your comments you agree to accept our Terms & Conditions.

More in News