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Seimas adopts amendments to the Law on Tourism - increasing protection for tourists

Date

2022 10 27

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Today the Seimas approved amendments to the Law on Tourism initiated by the Ministry of the Economy and Innovation, which strengthen protection of tourists and improve conditions for small tour operators.

"In order to help small tour operators, who have suffered losses due to the pandemic and the geopolitical situation, we have reduced the minimum amount of insurance, which will make it easier for them to start or return to their business. It is also important that these amendments will better protect tourists from the bankruptcy of tour operators," said Aušrinė Armonaitė, Minister of the Economy and Innovation. 

In order to reduce the financial burden on small travel businesses (with a total income of less than EUR 1 million in the last year), the minimum amount of insurance for a tour operator has been set at EUR 20,000 instead of EUR 50,000. This amount would increase as sales revenues increase, depending on the size of the revenues. 

It is also foreseen that from now on all tour operators will be obliged to have insurance, not only for outbound or domestic tourism, but also for those organising inbound tourism. A minimum performance security of EUR 3,000 has been set in order to minimise the burden on business. This amount will be directly linked to the amount of revenue generated by the tour operator. This means that tourists coming to Lithuania will be protected in the event of a tour operator's insolvency. 

A National Tourism Information System is being set up which will provide a long-term tourism data service, as well as real-time updates of tourist data and the possibility to view tourist flows in Lithuanian tourist destinations based on mobile data. The system will also significantly reduce the administrative burden on businesses. Accommodation providers will have to enter the tourist's data into the National Tourism Information System within 24 hours of the tourist's accommodation. This would replace the current compulsory procedure of collecting and storing completed paper registration cards for five years.  

The new version of the Law on Tourism will enter into force on 1 May 2023.