dhuey,
I don't know what kind of answer you are waiting for. It would be a very foolish decision on your part if you sink your money in this program, for ONE simple reason - it does not cover Chapter 11 bankruptcies.

It doesnt matter how much money they have, who the reinsurer is, how many years they have been in business, or anything else Randy tells you. Companies the size of United and American can't simply vanish overnight (which is the only time AwardGuard would pay you). These airlines have too many shareholders, auditors, employees, relationships, not to mention aircrafts to simply "turn out the lights" one fine day. In the worst case scenerio, they would declare Chapter 11 bankruptcy during which they can function normally and rearrange their debt (and AwardGuard would not cover this).

Consider the Enron case which you probably hear a lot about on the news. Given the scale of debt and losses they have, they are currently in Chapter 11, but continue to function. What about K-Mart? they also went chapter 11 last week. But if you drive past a K-Mart store, you wouldn't know it. Same way, if an airline like United or American came under extreme creditor pressure, it would simply go Chapter 11 for a few years, and then come back to life. I am not implying that K-Mart or Enron will come back to life, but they were not leaders to begin with --- Walmart can easily replace KMart and keep the latter out of business. But with American and United Airlines - c'mon, give me a break, they are the 2 largest airlines in the world!

And in my own personal humble opinion, it is sort of un-patriotic to buy an insurance policy against the failure of these 2 companies, because you are lacking faith in 2 very prominent American icons, which symbolize the success and innovation of American business.

My take on it - stay away from AwardGuard/PrivilageFlyer - you won't ever need it. If you got extra cash, donate it or buy an oriental rug or something....


[This message has been edited by custombagel (edited 01-25-2002).]

[This message has been edited by custombagel (edited 01-25-2002).]