Court orders insurer to pay full price of cancelled package tour

In a breakthrough ruling, a court in Prague has ordered an insurance firm to pay clients the full price of a package tour cancelled because the travel agency had gone bankrupt, the daily Mladá fronta Dnes reported on Friday. Despite the fact the agency had been insured, the Generali insurance firm only paid the clients 58 percent of the price, arguing the travel agency had been “under-insured”. But the court ruled the clients were entitled to full reimbursement. A spokeswoman for the insurance company said the firm was going to appeal the verdict.