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coffeespoons comments on Be a little bit more trusting than most people think sensible - Less Wrong
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The last time I dealt with an insurance company it wasn't all that painful (maybe 2-3 hours work). Depending on how the OP values her time of course I suspect the cost would still be quite a lot lower than £2000.
Yes, I would expect 2-3 hours work dealing with it plus a loss of utility for the holiday of around £200. If I cost my time at a tenner an hour that works out at under 50p for a luggage free bathroom break, which sounds pretty reasonable to me.