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I remember the ash cloud vividly I had family stuck with me for eight days as their package holiday went tits up!
When,on the odd occasion, a scheduled flight has been cancelled I've been transferred to another scheduled flight, no big deal.
I do look to see if there are packages for the hotel we want to stay at and if the flight accommodation package is a good deal I will consider it. However on the odd occasion that I have found the right combo I've found it a better deal to book direct. I accept what you are saying about protection but overall I feel that I get a good deal, and yes I have had the rare problem and it was dealt with smoothly by the airline.
My direct dealing approach has worked and overall saved me money.