Useful purchase: how airlines sell insurance to their passengers. Utair Light tariff without luggage - what is it? What does this mean for you if you decide to use the services of UTair airline? Transportation of disabled and sick passengers
The Surgutneftegas Insurance Company and UTair Aviation OJSC have launched a joint project for additional passenger insurance on the website www.utair.ru.
Developing electronic sales, UTair offers its passengers additional services through a convenient website interface. In order to issue an insurance policy, the passenger just needs to make the appropriate mark when booking a ticket on the website. The policy and the electronic ticket itself will be sent to the email address specified by the passenger.
The purchased policy provides insurance protection in the amount of 200 thousand rubles. not only during the flight, but also during the journey from home to the airport. When purchasing a one-way ticket, the cost of the policy is 200 rubles, when purchasing round-trip tickets - 400 rubles.
Insurance Company "Surgutneftegas" is a universal insurance company, dating back to 1996. Included in the TOP-30 leaders of the Russian insurance market in terms of premiums. It occupies one of the leading positions among the largest insurance companies in the Urals, Western Siberia, and Tyumen region. The rating agency "Expert RA" confirmed the "Very high level of reliability" - class A+.
UTair Airlines is one of the three largest passenger air carriers in Russia, the Baltic countries, and the CIS and has the largest developed route network in the Russian Federation, which covers 90% of the country's population. The aircraft of the UTair group of companies operate more than 300 passenger flights per day, and, according to the business plan, in 2012 they will transport more than 10 million passengers.
Of course, the innovation is based not only on concern for business travelers and business travelers. In this time of economic downturn, everyone is counting money.
Light without luggage (Utair) significantly reduces the cost of a ticket while maintaining the quality of service.
It turns out, both the passenger feels good and the company has less headaches with the transportation and safety of luggage, which every now and then tends to get lost.
Let's take a closer look.
Pitfalls of a baggage-free fare
We have already said about the main advantage of Light - price. But that's not all - it has limitations that you need to know about so as not to get into trouble.
“Light” cannot be changed to another. If you have chosen it and booked tickets specifically for it, baggage-free, then be prepared to travel with 10 kg of hand luggage and some things that are included in the list of things allowed to be carried into the aircraft cabin - such as small electronics, an umbrella, a handbag, magazine. There are no changes to the reservation.
“Light” cannot be returned either.. It is completely non-refundable.
2 pros and 3 cons
Advantages of "Light":
- The cheapest option in economy class.
- Allows you to select your seat on board the aircraft.
Minuses:
- Non-refundable.
- Non-exchangeable (changes to the ticket are subject to a fee).
- Only 25% miles are awarded.
With a choice between baggage and baggage-free tariff plans It’s better to decide in advance at the time of booking.
If you decide to “weight” the Light with a suitcase at the airport, you will have to pay 2,000 rubles (for long-distance flights lasting over 7 hours - 3,000 rubles). With a transfer – a thousand plus the indicated amounts.
Also, those who chose this tariff are deprived of the opportunity that UTair introduced on April 1 of this year - free transportation of sports equipment. It is only for those flying at a baggage rate that includes free baggage allowance.
Travel light
Also for those traveling on a baggage-free fare plan It is worth familiarizing yourself with the rules for carrying hand luggage in more detail.. After all, only the passenger has the right to it.
So, what is included in hand luggage:
- things that do not pose a danger to the aircraft and its passengers are allowed. Nothing explosive, flammable, toxic, piercing or cutting;
- Liquids in large containers are prohibited. Exceptions are only for children's and diabetic food, as well as for blow-free alcohol. But in this case, the alcohol must be in intact store packaging;
- weight limit – no more than 10 kilograms;
- size restrictions. The bag must be no larger than 115 cm in three dimensions to fit under an airplane seat.
In addition to your luggage you can take small electronics - phone, laptop, photo-video camera... There is no need to weigh them. They are fragile and valuable, and therefore, according to the rules of the UTair baggage plan, they are not checked in.
Where does Light fly?
11 destinations from Moscow: to Vladikavkaz, Kazan, Mineralnye Vody, Kaliningrad, Rostov-on-Don, Samara, Nazran, Tyumen, Sochi, Ufa, Chelyabinsk.
But the new product turned out to be very popular, and already on April 1 of this year UTair has new luggage-free products on all routes.
You can only buy a ticket from the airline - on the website or at its official representative offices.
You can understand the popularity of luggage-free travel - it really allows you to save up to fifteen hundred (depending on the destination). It happens that there are more.
According to reviews from a UTair passenger flying from Moscow to Rostov, savings from Light amounted to 1660 rubles. This is the difference in cost.
What follows from all this? You should fly! A When choosing a tariff plan, decide for yourself who you are: poor or thrifty.
And keep in mind the famous saying about the miser who pays twice.
Source: Agency "AviaPort"
In a growing market
The largest Russian airlines - Aeroflot, Rossiya, S7 Airlines, Pobeda, Ural Airlines - cooperate on voluntary passenger insurance programs with Alfastrakhovanie OJSC. Rather, the exception to the rule is UTair airline, which is developing partnership sales with the Surgutneftegaz Insurance Company. Alfa Insurance's sales channels include not only airlines. “The company is developing online sales in partnership with airlines and the largest online travel agencies, selling through their websites insurance against loss of travel, loss and damage to luggage, flight cancellations and travel insurance,” explain representatives of the insurer.
According to the insurance company, the Russian voluntary insurance market as a whole is growing. “Sales through online travel agencies (OTAs) increased by 32%, through airlines - by 30%. At the same time, the reduction in direct offline sales through, for example, cash registers in 2016 reaches 20-30%,” Alfastrakhovanie commented on the situation. “On average, according to the insurer, 15-30% of passengers who book tickets online pay attention to insurance products,” they state.
There are several growth factors. The first is associated with the “one-time” redistribution of clients in 2016 between the segments of organized and independent tourism - due to the inability to buy a tour to Turkey and Egypt, many chose Sochi and Crimea for their vacation,” and in domestic Russian destinations the share of independent travelers is much higher. The other two are due to “an increase in the share of own sales in 2016 for most airlines” and the continuing flow of buyers online. However, it is necessary to take into account that some of the growth in sales through airline channels is associated with the redistribution of passenger traffic “Transaero” (it did not cooperate with Alfastrakhovanie OJSC - “. AviaPort") between other industry players.
As for forecasts, next year, Alfastrakhovanie expects, “if there are no new shocks at the macroeconomic level and in the tourism industry,” there will be positive dynamics in affiliate online sales.
You won't earn much, but you won't lose much either.
Market participants do not comment on the financial performance of their partner sales, citing the confidentiality of information. Alfastrakhovanie noted that they are bound by agreements with carriers. “From a financial point of view, this business is not very noticeable for airlines, since the share of income from the sale of insurance products in the total revenue of carriers is very small, amounting to only a fraction of a percent. For OTAs, whose business consists only of selling tickets, hotels and other travel services, insurance products play a much larger role,” the insurer shares his observations.
Product line
Alfastrakhovanie offers passengers of its partners several products: trip cancellation insurance, insurance against lost luggage and insurance against missing a connecting flight. Insurance products are bought mainly by “people who freely navigate the ocean of the Internet, who know how to independently find the best for their journey,” this is how Kirill Tikhonov, head of the online affiliate sales department at Alfastrakhovanie, characterizes his audience. “Over 95% of insurance products for passengers are risks associated with the traveler’s concern for his life, his time and money. The main drivers for clients purchasing insurance coverage at the time a traveler purchases services is the desire to protect their flight, luggage, and to gain confidence in payments in the event of a flight delay, cancellation, or trip cancellation for personal reasons,” he explains.
According to K. Tikhonov, surveys conducted by the company show that more than 75% of passengers purchase flight insurance consciously, clearly understanding the value of the benefits and benefits received. “The times when people did not read the terms and conditions of insurance are gone. Our client is selective and demanding in terms of insurance products and payment terms,” says the manager.
Representatives of the Surgutneftegaz Insurance Company did not respond to a request asking for details about their food basket. According to information on the website of the aviation and insurance companies, the project is called “Cloudless Flight” - the service only includes additional accident insurance.
Tariff "insurance"
You can now purchase additional insurance products when purchasing a ticket on the website of all major Russian carriers. The same functionality, of course, is offered to the OTA client, but the volume of sales of insurance products through ticket booking systems on airline websites is growing, while the OTA market share is declining - this is a general trend in the industry, according to AlfaStrakhovanie. “Airlines entered the online market a little later and are now rapidly gaining their place in this sector, developing the functionality and interfaces of their websites, optimizing relationships with agents. OTAs, being a priori more flexible structures, are trying to achieve success in terms of customer service and are expanding the list of additional services provided to customers - the same insurance, for example,” says K. Tikhonov. “This is a mutually enriching competition, in which the client will always be the winner,” he states.
On the websites of five Russian airlines (“Aeroflot”, “Pobeda”, “Ural Airlines”, “VIM-Avia”, S7 Airlines, “UTair” - their widgets were examined by AviaPort) when purchasing a ticket, a special label is placed by default, meaning that the passenger agrees to their purchase. The mark can be removed, the mechanisms are designed differently for different players.
All carriers, except Aeroflot, which has integrated a widget on the payment page, sell insurance services at the stage prior to payment for travel. On the S7 Airlines website, the widget design is unusual - the passenger does not need to remove the tag, but delete the service by clicking on the “trash” icon on the right side of the screen. It is worth noting that S7 offers its passengers three packages to choose from, the cost of which varies from 199 to 710 rubles. The packages differ in the amount of possible insurance payments; by default, the cheapest one is selected - for 199 rubles.
K. Tikhonov says that the design of the corresponding widgets is always determined by the partner - be it an airline or an online travel agency. “This is always their patrimony,” says K. Tikhonov, “an opportunity to show their best qualities as industry professionals. We always help our partners build the most convenient and, therefore, maximum conversion functionality, using our extensive and definitely unique experience in launching more than 50 online travel projects,” he concludes.
Voluntary-non-forced
It is necessary to separate compulsory insurance and voluntary insurance, the conditions for the purchase of which are accepted at the discretion of the buyer, lawyers remind and ask to carefully read the conditions for purchasing air tickets. There are also mechanisms that allow the passenger to refuse a purchase after payment, says Natalya Bokova, lawyer at the Kazakov and Partners law firm. “If it so happens that a ticket has already been purchased, but insurance is not needed, the client has the right to write an application to refuse this service with a refund, and it is necessary to write to both the insurance company and the company that sells the tickets,” - explains N. Bokova.
Let us recall that at the beginning of the year a decision was made by the Central Bank of Russia indicating that the client has the right to refuse purchased voluntary insurance within five working days from the moment of signing the contract (that is, from the moment of purchasing the air ticket). However, the passenger will no longer be able to return his money after transportation, since the contract has entered into force.
However, Alfastrakhovanie claims that the company and its partners have resorted to a similar return practice before: the passenger, in the event of an unknowing purchase of a product, is given time to think it over again.
Utair airline presented on October 31 a new version of its website, created as part of the rebranding that began at the same time. The appearance of the resource is now radically different from the usual one, and so far this decision looks controversial.
Instead of the previous information-rich start page with rotating promotional banners, a list of special offers and best rates, news and more, the user sees a void filled only with a booking form, a link to online registration and presented on October 31 in Vnukovo.
To get to all the other pages on the site, you have to click on the word “menu” at the top of the page. After which a blue field with rubrics opens on the entire screen. It appears to be little different from the previous site. All this looks very controversial and far from the best examples of airline websites.
Now the path to a number of sections that were previously accessible directly from the main page (for example, the loyalty program section) has been extended by at least one click. In addition, it is not clear how Utair is now going to promote the best tariffs and special offers. The company's mobile website looks similarly strange.
Let us recall that Utair proclaimed. However, simplicity in this case, in our opinion, is confused with the scarcity and inaccessibility of information and services - especially since the special offers section is completely empty at the moment.
The reservation system has remained almost unchanged. The booking process is identical to before.
At the same time, individual elements of the booking process in the new system have become more clear.
Additional services selection page. Please note that insurance is included in the price in advance and suddenly increases the ticket price for the user by at least 550 rubles if they are not waived.
Small improvements in the booking system are perhaps the only plus of website innovations at the moment. I would like to believe that the carrier will remember the interests of passengers and will again make the site convenient, with an information-rich start page and links to the most popular services and help pages.
