BWIA imposes insurance surcharge on tickets
BRITISH West Indies Airways (BWIA) has announced that all passengers on its flights, whether domestic, regional or international, will now have to pay an insurance surcharge in addition to the cost of their tickets.
The airline is asking an additional US$10 on all international tickets and US$5 on all regional and domestic tickets.
The surcharge became effective Tuesday but the airline said the domestic cost will not come into effect "until discussions with the government have been completed."
It said in a press statement that the move has become necessary due to the skyrocketing costs of international insurance in response to the global threat of war.
Company President and Chief Executive Officer, Mr. Conrad Aleong, said war risk insurance has risen from US$40,000 per annum to more than US$3.2M per annum as a result of the action by insurance companies.
The airline said the surcharge will be reflected on the ticket cost as an extra item and will be applicable to every person boarding the aircraft, including infants, complimentary and industry discounted travel.
It said it will remove this surcharge "once the underwriters have raised their premiums to pre-September 11 levels."
Guyana Chronicle
October 6, 2001