Insurance companies may not cover claims of unlicenced hotels

Without an operating licence insurance companies can reject any claims for damages or injury / death of any hotel customers.

Tour companies which send guests to such hotels would be ultimately responsible for any claims and I do not understand why they continue to send guests to such hotels knowing that the insurance that the hotel has can be invalidated in the event of a claim being made.

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https://cyprus-mail.com/2019/10/04/most-hotels-didnt-have-operating-licences-renewed-in-2018/