A MAJOR insurance provider has apologised after it refused to renew a policy holder’s travel cover – because he is a Manx resident.
Jim Edge, of Station Road, Ballasalla, was told by The AA that Isle of Man residents could no longer get travel insurance from them ‘because of the Reciprocal Health Agreement’.
The AA has said that the advice given about the Reciprocal Health Agreement was ‘erroneous’ and the company is making sure other Manx residents don’t come up with the same problem in future.
Mr Edge said: ‘I was recently contacted to renew my annual travel insurance with The AA, I have always found them to offer a very good package at a competitive rate, so was glad to do so.
‘All was going well until we got to the question: are you a resident of the United Kingdom?
‘Of course I had to answer no. This caused some consternation and I again was asked the question, this time with the caveat that if I answered no the lady could not proceed with the renewal.’
When Mr Edge followed the inquiry up by email, he received the following response: ‘Because of the Reciprocal Health Agreement we can no longer offer travel insurance to the Channel Islands and Isle of Man.’
The Manx Independent contacted The AA for an explanation.
Ian Crowder, of The AA, said: ‘We have looked into this and I can confirm that so far as the underwriter for AA travel insurance is concerned, the Isle of Man is most definitely regarded as part of the UK (as is Jersey, Guernsey etc) for insurance purposes.
‘The information given to Mr Edge was wrong for which we sincerely apologise.
‘The adviser should have ticked ‘yes’ in the UK box right at the beginning, notwithstanding the fact that Mr Edge said that he was not a UK resident.’
He added: ‘The subsequent advice about the Reciprocal Health Agreement was also erroneous and we are looking at how such advice came to be provided. Suffice to say that the team have been in touch with Mr Edge to put his mind at rest and ensure that he can continue to be insured for the purposes of both his car and travel insurance.
‘And, I am very happy to say that Mr Edge has renewed his travel cover with of course a big apology and grateful thanks to him for his continuing faith in The AA.
‘We are making sure that other Isle of Man residents don’t come up with the same problem when buying AA insurance.’
The Isle of Man and UK governments signed a new Reciprocal Health Agreement in September 2010, but the terms of the agreement remained unchanged.
Under the agreement, Manx residents visiting the UK receive free NHS treatment if they become ill, apart from statutory charges which UK residents have to pay, such as prescription charges, and vice versa.
No payments for such treatment are made to the Isle of Man by the UK, nor by the UK to the Isle of Man.
Medical repatriation is not – and never has been – covered by the agreement. The cost of repatriation, if an air ambulance and medical team is required, could be as much as £20,000 from the UK.