This is an extract from the current “Free” Credit Card policy provided by CBA. It appears to respond to your concerns, but I’m not a lawyer...
Benefit 6: Travel Service Provider Insolvency
[Definition: Travel services provider means a scheduled services airline,
hotel, accommodation provider, car rental agency, coach, bus, shipping line or railway.]
If, due to the insolvency of a travel services provider:
1. you have to rearrange your journey, we will pay the
reasonable cost of doing so. (We will not pay more for the
cost of rearranging your journey than the non-refundable
costs, which would have been incurred had the journey
been cancelled. The cover is limited to the same or similar
standard of transport and accommodation as was originally
booked.)
2. you have to cancel your journey (where you cannot
rearrange it prior to leaving home) we will pay you:
a. the value of the unused portion of your prepaid travel
or accommodation arrangements that are non-
refundable and not recoverable in any other way
b. your travel agent’s cancellation fees, equal to the lesser
of $500 or 15% of the value of the travel arranged by
the travel agent. We will only pay these fees if, at the
time the circumstances causing your claim happened,
you had already paid at least the full deposit, and
c. the value of frequent flyer or similar flight reward
points, air miles, redeemable vouchers or similar
schemes lost by you following cancellation of the
services paid for with those points if you cannot recover
your loss in any other way. The amount we will pay is
calculated as follows:
i. For frequent flyer or similar flight reward points,
loyalty card points, air miles:
- The cost of an equivalent booking, based on the
same advance booking period as your original
booking. We will deduct any payment you made
towards the booking and multiply it by the total
number of points or air miles lost, divided by the
total number of points or air miles used to make
the booking
ii. For vouchers, the face value of the voucher or
current market value of an equivalent booking,
whichever is the lesser, or
3. you have to incur additional expenses in returning home,
we will pay your reasonable additional accommodation
(room rate only) and additional transport expenses, at the
same fare class and accommodation standard as originally
booked.
You must recover the maximum amount available from any
statutory fund, compensation scheme or any other source.
For example, if you paid for your airline ticket with a credit
card and the transaction meets the card issuer’s terms and
conditions regarding non-provision of services, you need to
claim the cost of the airline ticket through the credit card
issuer first.
The maximum benefit limit for this section is:
Gold, Platinum & Diamond
cardholder only $5,000
cardholder with family $12,000
We will not pay for claims caused by:
1. the insolvency of a travel services provider if the booking
was not made before the start of your journey while you
are still in Australia
2. the insolvency of any travel agent, tour wholesaler, tour
operator or booking agent
3. insolvency of a travel services provider if, at the time of
activation, the travel services provider was insolvent or a
reasonable person would have reason to expect the travel
services provider might become insolvent
4. accommodation expenses incurred after the date you
originally planned to return to Australia, or
5. an act of terrorism (or arising directly or indirectly from it)
or the threat, or perceived threat, of an act of terrorism.