Cebu Pacific News Archive

Insurance Surcharge For Passengers Effective October 1

Cebu Pacific Air has announced the implementation of an additional insurance surcharge of three hundred pesos per passenger for every domestic flight segment, beginning October 1, 2001 .

This was a result of the drastic increase in premiums for third party liability insurance related to war or terrorist acts, following the September 11 tragedy. The increase is applicable to all airlines worldwide.

“No airline can take the risk of operating with inadequate insurance,” said Peggy Vera, Cebu Pacific VP for Corporate Planning and External Affairs. “So we took the coverage. We are now constrained to impose a three hundred peso surcharge.”

Vera emphasized that the additional amount is not a fare increase, but rather a surcharge for the increased insurance premiums. This will be paid upon purchase of tickets starting October 1 for any fare type including discounted tickets. Passengers traveling on a complimentary basis will also be subject to the surcharge.

Passengers who bought tickets October 1 onwards and were not charged the additional three hundred will pay this at the airport.

“We feel for the customers,” Vera said. “We realize that this is an additional burden. But the circumstances are beyond anyone's control. We're just hoping that the flying public would understand the prevailing situation.”