Originally Posted by
crazy8534
Just as a counter to the Nationwide experience, the annual insurance provided with Coutts/Natwest/RBS bank accounts has just changed to Allianz and they say specifically that they will cover the: “value of frequent flyer points, air miles or loyalty card points lost by insured person as a result of cancelling the services paid for with those points, air miles which is not recoverable from any other source”. I can’t remember who it was with previously but having looked into it in the past they also covered loss of e.g. Avios.
I guess this might be better in the UK forum to reach a wider readership.
Thanks, that's a useful suggestion.
Your quote is from the section of the policy wording detailing exclusions for cancellation and curtailment claims, and in full it states:
We will not cover:
...
- More than the lowest market value of equivalent accommodation, transport charges and other travel expenses, if payment was made using frequent flyer points, air miles or loyalty card points lost by insured person as a result of cancelling the services paid for with those points, air miles which is not recoverable from any other source
So whereas you can (until the May changes) claim for the replacement cost of Avios etc. under the Nationwide policy, under this policy you can only claim for equivalent costs.
In some situations that may be advantageous as the "lowest market value" may be higher than the cost of an Avios redemption (at 1p per Avios). But in other situations you may be left out of pocket.