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Insurer highlights inconsistencies after volcano

The Recriprocal Health Agreement was 'a walk in the park', compared to what travellers and insurance companies are having to deal with in the wake of the Icelandic volcanic eruption.

That's according to the chief executive officer of Douglas-based Offshore Travel Insurance Limited, Brian Kelly.

He says one of the biggest problems is that some insurance firms are treating the eruption as an 'act of God' and are refusing to pay out, while others are willing to as they are classing it as 'adverse weather conditions'.

Mr Kelly says a similarly divided approach is being taken towards people on single-trip policies, which may have expired while the customers have been stranded:

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