Award Booking Insurance Questions / Discussion

[MEL_Traveller]

Re: US Dividend Miles - Award Booking Questions and General Discussion

And what about this part: The cost of an equivalent class airline ticket based on thequoted retail price at the time the ticket was issued, lessyour financial contribution; and•

The issue is, who pays for you to get home, if it's something that happens say half way through the trip? How can thye value points? There are so many questions.

that's easy! Quoted retail price... if you've redeemed a QF F through USDM... the retail cost is $12,000 or whatever at the time your ticket was issued. If there was a 'first saver' in effect at the time your ticket was issued, the insurance company would use that.

Based on the .5 ratio (for a 50% completed trip), the insurance company would pay .5 x $12,000 = $6000.

'less your financial contribution' recognises points+pay, or co-pays, or tax/fuel charges.

The insurance company won't double pay. They'll pay the value of the lost points, but you'll have to find your own way home.

I wonder however if the insurance company would require you to mitigate your losses... if indeed you were due to receive $6000, but if QF (or BA or CX) had an F fare for $3000 o/w ex London, you might be required to take the $3000 fare. Insurance is not designed to give you a profit.

 

[MEL_Traveller]

Re: US Dividend Miles - Award Booking Questions and General Discussion

Well I may have gotten those original miles through a 100% buy or share promo, but perhaps I didn't make them aware of that, slipped my mind, so I just showed them the buy miles page which showed a rate of US 35 cents and the award chart of 110,000 miles to get Oz-US-Oz...

Taking that into account the $4,300 they paid out may have covered my QF Y return flight from LAX and a new lot of 110k miles, so it worked out sort of ok in a way....

the cost to buy the miles shouldn't make any difference. Even if you earned them all through CC spend, policies covering the loss of reward points would still pay you the equivalent based on the retail value of those points.

Where you might make a profit, as I thought Flashback was alluding, is if USDM or LM incorrectly quoted you an award rate... so only charged you 90K instead of 150K for example. You'd still receive the same cash back from the insurance company (the ration is the same)... but... you'd still have the balance of the incorrect award cost in your FF account.

 

[get me outta here]

Re: US Dividend Miles - Award Booking Questions and General Discussion

Thanks, I will be keeping this in mind on my F trip to JFK.

 

[whole-lotta-moxie]

Re: US Dividend Miles - Award Booking Questions and General Discussion

that's easy! Quoted retail price... if you've redeemed a QF F through USDM... the retail cost is $12,000 or whatever at the time your ticket was issued. If there was a 'first saver' in effect at the time your ticket was issued, the insurance company would use that.

Based on the .5 ratio (for a 50% completed trip), the insurance company would pay .5 x $12,000 = $6000.

'less your financial contribution' recognises points+pay, or co-pays, or tax/fuel charges.

The insurance company won't double pay. They'll pay the value of the lost points, but you'll have to find your own way home.

I wonder however if the insurance company would require you to mitigate your losses... if indeed you were due to receive $6000, but if QF (or BA or CX) had an F fare for $3000 o/w ex London, you might be required to take the $3000 fare. Insurance is not designed to give you a profit.

I understand what you are saying but this is not the information I recieved today from QBE.

Looking at the policy you quoted below that was in relation to a cancellation. I wonder if it's different if it's not a cancellation but it's due to illness????? Do you think this could be why I was told I would only get half of the cost of the points back and it was not related to the ticket cost or the class of travel. It was just simply the cost of buying the points.

 

[travelislife]

Re: US Dividend Miles - Award Booking Questions and General Discussion

I understand what you are saying but this is not the information I recieved today from QBE.

Looking at the policy you quoted below that was in relation to a cancellation. I wonder if it's different if it's not a cancellation but it's due to illness????? Do you think this could be why I was told I would only get half of the cost of the points back and it was not related to the ticket cost or the class of travel. It was just simply the cost of buying the points.

The fact you bought the points doesn't matter. The insurance company shouldn't care where the points came from. So you have asked them a question which doesn't apply under their policy. You buy a ticket with points. Then what MEL_traveller has outlined is usually the go. The number of points, an equivalent revenue fare and your taxes you paid is what is relevant, not what you paid for the points.

This discussion probably deserves its own thread.

 

[MEL_Traveller]

Re: US Dividend Miles - Award Booking Questions and General Discussion

I understand what you are saying but this is not the information I recieved today from QBE.

Looking at the policy you quoted below that was in relation to a cancellation. I wonder if it's different if it's not a cancellation but it's due to illness????? Do you think this could be why I was told I would only get half of the cost of the points back and it was not related to the ticket cost or the class of travel. It was just simply the cost of buying the points.

[assuming we are reading the same policy, or a policy which is largely similar to the one you have]

You need to read the policy in its entirety to piece the bits together. The section entitled 'cancellation' covers not only cancellation prior to your departure, but also extends it to include if you are unable to complete your trip. The relevant extract is this from the paragraphs under the heading CANCELLATION AND ADDITIONAL EXPENSES- EVENTS WE COVER UNDER SECTION 4: (my bolding and emphasis)

We will cover you for Cancellation And Additional Expenses (Section 4),in respect of your planned trip, that result directly from one of thefollowing events occurring after the Certificate of Insurance was issued(subject to the exclusions detailed in “Losses We Do Not Cover UnderSections 1, 2, 3, 4, 5, 6, 7, 8 and 9” on page 43):1. You being unable to start or finish the trip because of the death, sudden serious illness or serious injury arising before or during the trip of: • a member of your travelling party; or • of a relative or business partner or person in the same employas you, who is a resident in Australia or New Zealand.

So... if you are part way through your trip, and need to return home, the rest of the trip is deemed cancelled.

All of the above however is a bit of a moot point if this pre-existing and you haven't had acceptance for cover for pre-existing matters.

In any event, you should always contact the insurance provider before making any arrangements which could lead to a claim under the policy (provided it is possible and safe for you to do so). This will allow the insurance company to discuss options and mitigate losses where possible. They will also give you tentative approval for your later claim.

 

[hossein_au]

Re: US Dividend Miles - Award Booking Questions and General Discussion

The fact you bought the points doesn't matter. The insurance company shouldn't care where the points came from. So you have asked them a question which doesn't apply under their policy. You buy a ticket with points. Then what MEL_traveller has outlined is usually the go. The number of points, an equivalent revenue fare and your taxes you paid is what is relevant, not what you paid for the points.

This discussion probably deserves its own thread.

Couldn't agree more. Can some nice soul start a new thread (I have not done this before...)?

EDIT: On second thought, can an admin move the relevant posts over the past few days to a separate thread please? There are some very useful information in there and I'd hate to think this may get lost in between all the other information in this thread.

 

[gphamor]

Re: US Dividend Miles - Award Booking Questions and General Discussion

Along similar lines, we booked J on VA with FF points for a skiing trip to US, return, in Jan 2014. We were snowed in on the day we were to leave to come back, VA couldn't get us on a flight back the next day even with paying for new tickets so I booked with QF in J.
On return my insurer paid for the extra night's stay in the US hotel, the land transport to get us to Denver, AND the business class tickets for 2 on QF. Brilliant.
However, to get VA to return our FF points was harder than pulling teeth.
It was only when I posted a blog on Trip Advisor and the VA Facebook page that they sprung into action!

 

[Masonic Phantom]

Re: US Dividend Miles - Award Booking Questions and General Discussion

Along similar lines, we booked J on VA with FF points for a skiing trip to US, return, in Jan 2014. We were snowed in on the day we were to leave to come back, VA couldn't get us on a flight back the next day even with paying for new tickets so I booked with QF in J.
On return my insurer paid for the extra night's stay in the US hotel, the land transport to get us to Denver, AND the business class tickets for 2 on QF. Brilliant.
However, to get VA to return our FF points was harder than pulling teeth.
It was only when I posted a blog on Trip Advisor and the VA Facebook page that they sprung into action!

gphamor..... Which company are you speaking of ? sounds very interesting.

 

[gphamor]

Re: US Dividend Miles - Award Booking Questions and General Discussion

Chubb Corporate Travel Insurance