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Freedom Direct is offering customer who book their flight and/or accommodation through them a £5000 supplier failure insurance backed guarantee. In the light of the recent collapse of the Zoom airline and the XL group it's a wise move to ensure that you won't be left seriously out of pocket due to supplier failure. If you book a flight through Freedom Direct you'll be covered by either their ATOL membership or the failure insurance. With accommodation only booking the cover is through the insurance policy.
I think it's a good move by Freedom Direct to offer this additional cover to reassure customers who are nervous about putting together their own holiday. You are covered if you pay for flights or accommodation costing more than £100 by credit card. Supplier failure is not covered in many personal travel insurance policies
Would free supplier failure insurance encourage you to book through a travel website?