"for transactions between $200 and $1,000 purchased eight weeks or more in advance of travel."
Executive management are not willing to risk a blow out in the loss ratio for this new vertical. Note, the 8 weeks in advance effectively means the tickets will be paid for before the customer boards the flight.
I expect the fine print to state that APT can cancel the ticket if the account is not up to date or is materially unpaid.
Further, $1000 per transaction puts a further limit on loss.
Also, love the trial period - build the algorithm in this new vertical slowly- so that customer behaviours and indicators of loss can be established and tracked, before a full blown implementation in accommodation, car hire, travel insurance etc...
Looking forward to this!
APT Price at posting:
$4.20 Sentiment: Buy Disclosure: Held
