By REBECCA WALSH
New Zealanders set to travel to Bali this week and next with Indonesian airline Garuda International will have their airfares refunded if they choose not to go.
The airline is prepared to compensate about 600 travellers booked on flights to the holiday destination.
Air New Zealand does not fly to Bali, but Qantas offers several flights each week from all over Australia.
It scheduled an extra flight to Bali yesterday to evacuate Australian holidaymakers. The airline said passengers would not be charged any penalties if they chose to amend, defer or cancel their travel plans after the attacks.
Terrorism was excluded from most travel insurance policies worldwide after the terrorist attacks on America in September last year.
Garuda International sales manager Deanna Mihaljevich said passengers with tickets to fly up until October 27 and who wanted to defer or cancel their flight could do so without penalty.
Those who chose to cancel their flights would be refunded.
But holidaymakers might still lose out if they had paid for hotels and tours, and should contact their travel agents for advice.
Garuda would review the position after October 27.
The airline, which flies to Bali three times a week from Auckland, would maintain full flight schedules.
It would look at the possibility of additional flights out of Bali if required.
The Government yesterday advised New Zealanders planning to travel to Bali in the next few days to delay their travel until further notice.
Auckland woman Virginia Housiaux was booked to fly to Bali on Wednesday but said there was no way she would go now because it was too unsafe and unpredictable.
"It's not right to go. I would feel far too uncomfortable.
"It would seem wrong morally as well after people have died.
"I'm disappointed. We only paid on Friday ... but how could you go and enjoy yourself when people have just died?"
Allan Black, regional manager of Tower Insurance, said the company understood the bombing was a terrorist attack and as a result would not provide cover for its customers.
That would affect everyone, from those waiting to travel to Bali to those already there who might be trying to change their travel plans.
"If they are cancelling out because of what's happening in Bali and they have a non-refundable airfare and non-refundable accommodation, the customer stands to lose the lot."
Mr Black said the situation would be reassessed if the blast was found not to be a terrorist attack.
Rick Ballinger, manager travel for QBE Insurance, said terrorism was excluded from its policies but there were some exceptions.
Those injured as a result of terrorist attack who applied for medical expenses or the cost of repatriation to New Zealand and needed a medical escort would be paid.
The company would also pay a death benefit for those killed in a terrorist attack.
Foreign Affairs advice to New Zealanders
* Travellers should defer travel to Bali
* NZers in Bali should keep a low profile and remain calm
* Foreign Affairs Hotline: 0800 432 111
Feature: Bali bomb blast
Pictures from the scene of the blast
Further reading
Feature: Indonesia and East Timor
Related links
Garuda offers airfare refund
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