Air Canada Responds to Increased Insurance Costs with System-Wide Insurance Surcharge

27th Sep 2001

In response to the rising cost of aviation
insurance since the events of September 11, and in accordance with similar
initiatives by other carriers, Air Canada announced today the implementation
of an airline insurance surcharge of CDN $3.00 one way for travel system-wide.
The new surcharge will be applied to all tickets issued on or after
September 28, 2001 and will be automatically added to the base price of a
ticket. The effective date for international fares is subject to government
This surcharge covers increased insurance costs independent of the third
party liabilities indemnity Transport Canada has agreed to provide for all
Canadian air carriers for a maximum ninety-day period.



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