When Jetstar Asia suddenly made an announcement that it would be ceasing operations, Singlife was able to apply lessons learned from the pandemic to manage the fallout and ensure timely support, said Mr Alvino Kor. Now, the insurer hopes this empathetic approach will help raise expectations for how providers can care for policyholders during unforeseen disruptions.
In a shock announcement made in June 2025, the parent company of Jetstar Asia announced that it would cease operations of 16 intra-Asia routes on 31 July 2025 from its base in Singapore.
With less than two months’ notice given to travellers, insurers in Singapore quickly stepped up to manage the fallout, extending goodwill benefits to eligible policyholders with the pertinent travel insurance plans. Singlife even announced that it would reimburse the full cost of Jetstar Asia air tickets to policyholders if no refund was provided by the airline.
In a statement made at that time, Singlife senior vice president of general insurance Alvino Kor said, “We understand the stress and uncertainty caused by the sudden halt of Jetstar Asia’s services.
“While the shutdown of an airline is not usually covered under our standard travel insurance policies, we believe it is important to step up and support our customers through this disruption.”
Asia Insurance Review caught up with Mr Kor in the months after the airline’s operational cessation, covering topics that ranged from the financial impact the shutdown had on Singlife, as well as the rationale behind the insurer’s goodwill compensation to affected customers, as airline insolvencies are typically excluded from travel insurance policies.
Relying on previous experience
According to Mr Kor, previous experiences from the global pandemic taught his company “the importance of responding quickly and with empathy when major travel disruptions occur”.
As a result, he said the claims team was able to act immediately during the shutdown, from answering customers’ enquiries promptly, to offering guidance on the documents needed to smoothen the customer experience in regard to placing a claim.
And although the insurer has paid out “about a five-figure sum in total to affected customers”, Mr Kor made sure to mention that the financial impact was within their capacity and would not affect premium rates.
He said, “Our focus has been, and will continue to be, on supporting customers through this disruption, rather than passing on any additional costs to them.”
Managing the operational load
When asked how his company managed the operational load of the sudden surge of travel claims related to the shutdown, Mr Kor said the immediate priority was ensuring that affected customers “received timely support”.
“We immediately set aside resources to focus on Jetstar-related cases, proactively reaching out to customers to guide them through the claims process and collect the necessary documents quickly,” he said.
“This hands-on approach helped us speed up claims and reassure customers during a very stressful time.”
Goodwill compensation – the rationale
Touching on the rationale behind his company’s goodwill compensation to customers, Mr Kor said, “We understood the stress and uncertainty caused by the sudden halt of Jetstar Asia’s services, which was a rare and unfortunate situation beyond our customers’ control.”
As a result, although the shutdown of an airline was not normally covered under the standard travel insurance policies offered, he said there was a belief that “it was important to step up and support them through this disruption”.
When asked whether the gesture of goodwill made may affect customer behaviour and expectations in the future, such as setting a new precedent in the travel insurance industry, he immediately made it clear that it was not about setting a blanket precedent, but “about doing the right thing for customers during an unexpected, extraordinary and stressful situation”.
“Every case is unique, and it is important that we assess circumstances carefully to ensure
fair and responsible outcomes,” he said.
“That said, we do hope our actions demonstrate how insurers can step up with empathy and flexibility when travellers face disruptions beyond their control.”
He also said, “If this helps to build greater trust in travel insurance and raises expectations for how the industry can care for customers, we believe that is a positive step forward.” A