Travellers try to recoup losses

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Many holidaymakers will be looking at the fine print on their travel insurance policies to see if they can recoup some cash after the collapse of the country’s third largest package holiday firm.

Those who paid by credit card or used a tour operator affiliated to the Air Travel Organisers' Licensing (Atol) scheme should get their money back.

But people who used a debit card to book directly with XL Airways through the website XL.com or an XL call centre will probably not be protected by the Atol.

Those who organised their holiday through XL-owned Medlife Hotels will also not be covered.

A statement posted on XL's website by the company's administrators warns that some Britons currently abroad on holiday could have to pay for their flights home.

The Atol-protected travel operators owned by XL trade under the names Cruise City, Excel Holidays, The Florida Skytrain, Transatlantic Vacations, Travel City Direct, Travel City International, Kosmar Holidays, Freedom Flights and Aspire Holidays.

But those who booked directly with XL Airways or through Medlife Hotels can make a claim for their expenses through the stricken company's administrators - but there is no guarantee this will be successful.

XL's administrators added that passengers may be covered by their travel insurance, credit card or Visa debit card.

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