Travel Insurance and Flight Redemption Bookings

[Cruiser Elite]

A fellow AFFer recently had an unfortunate experience on an o/s trip. Another very well known and very wealthy AFFer who read that thread posed this pertinent question – “The big question on travel insurance is when you do points redemption flights and just pay the levies on your credit card are you covered?”

I felt this very topic deserves it’s own thread and hopefully some of you learned ladies and gentlemen may possess valuable information you would like to share?

Let me firstly give you a couple of scenarios to consider:

 

[Cruiser Elite]

Scenario 1: Cruiserette and I recently spent 3 weeks in Europe. We flew into AMS on J Savers that I redeemed from my KF account. The points in my KF account originated from several sources – primarily reward pts from Amex Centurion and Citi Select with some from Westpac SQ Plat Amex. Very small % of KF pts actually earnt from flying.

Fees and charges for these J Saver redemptions paid with Westpac SQ Plat Amex.

Accom in Europe arranged through Centurion Travel Service. Accom paid for with Citi Select Visa card (3.33pts/$1 compared to 1.5/$1 with Cent)

Return J savers from CPH sourced from Cruiserette’s KF account – all pts derived from CC usage – Plat Amex amd Westpac SQ Visa.

Fees and charges for return flts paid via Amex Platinum.

So question is – in case of accident or illness which of the various travel insurance policies offered by all these various CC’s would one pursue?

CC that earnt the points that bought the J Saver redemptions – the CC that was used to pay outbound flts fees and charges – Centurion who did accom booking – Select which paid accom – CCs that earnt the pts that bought ret redemptions – CC that paid fees and charges for ret flts?

 

[Cruiser Elite]

Scenario 2 – I have upcoming J Redemption MEL-LAX ret on VA – points accumulated from various VA / Velocity promotions such as CC bonus etc and some from flying.

Fees and charges paid via Velocity Platinum Amex.

On arrival in LAX I transfer directly to AA flight to Caribbean for 4 days – flt purchased from AA USA site using Citi Select.

After Caribbean flt to LAS for 4 days = accom booked through Agoda and guaranteed by Citi Select. Accom will be paid on Select.

Again in case of accident or illness which travel insurance policy would one attempt to pursue?

 

[drewbles]

Pretty simple. Most PDS's on insurance for travel (CC or otherwise) have pretty explicit notes on what is/is not covered for FF redemptions. I believe the old Amex QF Ultimate insurance covered if you booked using your points, regardless if you paid the fuel fines with the Amex or not.

My recent VA redemption I paid the taxes via BPAY rather than CC (Didn't feel like copping the CC charge on top of it all) so took a separate TID policy out. It specifically states how they will re-imburse me for any travel cancellations seeing as I paid with points (they basically assign the dollar value you would have paid for the flight, and work with that as required).

Of course, if in doubt, get a separate policy.