solarprobe

AMEX is denying a rental car damage claim for the following reason:

"How To Activate Coverage
Coverage for theft of or damage to a Rental Auto is activated when the Cardmember:
Uses the Card to pay for the entire auto rental from the Rental Company at the time of vehicle return;

Consequently, we must respectfully deny any claim you may be considering in this matter."


The method of payment for the rental car was AMEX Platinum card. An AMEX supervisor explained to me that the card was used to pay for taxes only, and that Hertz coupon was applied towards the rental, which constituted (according to the supervisor interpreting the Description of Coverage contract) a different method of payment. Furthermore, the supervisor advised that AMEX Customer Service is open 24/7 and if in doubt, a prospective renter should contact AMEX prior to rental to investigate whether insurance plan coverage would apply.

Here's what the Description of Coverage (sent by AMEX) states:

How To Activate Coverage:

Coverage for theft of a or damage to a Rental Auto is activated when the Cardmember:

1a. presents his or her eligible Card to the Rental Company to reserve the Rental Auto, by making a reservation; or by placing a hold or deposit at the time the Rental Auto is checked out;
1b. declines the full Collision Damage Waiver or similar option (CDW), or pays for a partial collision damage waiver, offered by the Rental Company;
1c. is the primary renter, which is defined as the Cardmember, who is named on the written agreement with the Rental Company as the person renting and taking control and possession of the Rental Auto (Primary Renter); and
1d. uses the card to pay for the entire auto rental from the Rental Company at the time of vehicle return;

Or,

2a. presents a Membership Rewards redemption certificate, and
2b. uses a Membership Rewards redemption certificate at a participating Commercial Car Rental Company.


Which leads me to believe that even if 1a, 1b, and 1c are met during rental car reservation and pick-up, if the rental company applies any kind of dollars-off coupon at time of return prior to paying for rental with an AMEX card providing the Car Rental Loss and Damage Insurance Plan, the insurance is automatically invalidated and the renter is screwed in case of a subsequent claim when relying solemnly on the AMEX Car Rental Loss and Damage Insurance Plan.

Along the same lines, AMEX could be denying any type of coverage (lost-baggage claim, life, warranty, etc.) if a discount was applied towards the full purchase price of any goods or services.

Any class-action lawyers on the board?

-sp