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Slovak tour operators violate law

DUE to legislative obscurity, only one in six Slovak travel agencies is insured against bankruptcy as required by law, according to a report in the daily Pravda.

Usually, insurance companies either demand high premiums or refuse to insure tour operators at all, the paper said, noting that in the neighbouring Czech Republic, where tour operators are also required by law to be insured, no such problem has ever occurred.

One reason is that insurance premiums are lower in the Czech Republic than in Slovakia, so they can be factored into end prices.

"Premiums are so high in Slovakia that we would not sell a single tour if we included them in our prices," said the director of the leading Slovak travel agency Satur, Eleonóra Fedorová.

The compulsory insurance against bankruptcy is designed to protect tourists against the possible bankruptcy of a tour operator while they are on holiday abroad. In an attempt to resolve the problem, the Economy Ministry is reportedly working on an amendment to the law.

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