Advantage and Worldchoice are stepping in to offer a competitive alternative to ABTA membership. ABTA has had to reshape itself and will have to find millions of pounds to get back into financial equilibrium. Competitors are now emerging from the shadows just when ABTA is in it's weakest moment. That said, any organisation that is going to underwrite a significant amount of business is going to need a lot of funds to call on.
The trouble really began when ABTA stepped away from it's 100% guarantee, and the rot set in when it upped it's rates last year. At this stage it looks like ABTA are not going to make and knee-jerk reactions, choosing instead to give assurances to it's members and trust that their 'goodwill' will stand them in good stead. This is the first time that ABTA's dominant position has been challenged, they would do well to consider how they can best serve their clients to keep them on side.
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