Aeroplan Visa Infinite Privilege Cancellation Insurance
Oct 28, 2023, 12:50 pm
#1
Original Poster
Join Date: Sep 2022
Posts: 14
Aeroplan Visa Infinite Privilege Cancellation Insurance
Hello all.
Someone posted on an online forum that their Amex US Platinum credit card denied their insurance claim after they had to cancel his cruise. Apparently one of the conditions of the card cancellation insurance is “The Eligible Traveler charges the full amount of the cost of the the transportation by Common Carrier(s) to your Eligible Card.”
They charged his cruise to the credit card but booked flights with Chase points.
Does someone know if this is the case with Aeroplan credits cards? if I book my cruise with AP card but book flights with points, am I covered for cancellation?
The AP VIP insurance says: "For trip cancellation coverage, only the prepaid travel arrangements charged on the cardholder’s card will be considered for reimbursement"
There is no mentioning that the full amount of the whole trip has to be charged to the card.
For other parts of the policy, they mention: "full fare means at least 75% of the common carrier ticket price, including taxes, was charged to the card. Full fare is extended to include a common carrier ticket obtained through the redemption of points from the card travel reward program."
My interpretation is that as long as the tickets were booked with cash using the card, or AP points, it's considered like it was paid with the card and is covered, including the other expenses like the cruise.
Is this correct?
Someone posted on an online forum that their Amex US Platinum credit card denied their insurance claim after they had to cancel his cruise. Apparently one of the conditions of the card cancellation insurance is “The Eligible Traveler charges the full amount of the cost of the the transportation by Common Carrier(s) to your Eligible Card.”
They charged his cruise to the credit card but booked flights with Chase points.
Does someone know if this is the case with Aeroplan credits cards? if I book my cruise with AP card but book flights with points, am I covered for cancellation?
The AP VIP insurance says: "For trip cancellation coverage, only the prepaid travel arrangements charged on the cardholder’s card will be considered for reimbursement"
There is no mentioning that the full amount of the whole trip has to be charged to the card.
For other parts of the policy, they mention: "full fare means at least 75% of the common carrier ticket price, including taxes, was charged to the card. Full fare is extended to include a common carrier ticket obtained through the redemption of points from the card travel reward program."
My interpretation is that as long as the tickets were booked with cash using the card, or AP points, it's considered like it was paid with the card and is covered, including the other expenses like the cruise.
Is this correct?
Last edited by kim21; Oct 28, 2023 at 6:57 pm
Oct 28, 2023, 5:03 pm
#3
Original Poster
Join Date: Sep 2022
Posts: 14
They denied the cruise part. Here is the exact quote (I'm not allowed to post links):
"We were planning a trip to Italy and then a cruise from Rome back to Miami. We booked our airfare with Chase Points and paid for our cruise with the AMEX Platinum Card. The cruise was under $10,000 so I figured that in the event we had to cancel for a covered reason, we were insured.
Well, two days before we were to leave for Italy, my husband became ill and we were unable to go. My airline tickets to Italy (purchased using Chase Points) were fully refundable. So that was refunded and the points re deposited in my Chase Ultimate Rewards account. I had opted to pay for the hotel stays at the time we stayed rather than the early, non-refundable rate. So I canceled in time. The only money we stood to lose was the cruise fare. So I felt we had a shot at getting that back with AMEX. So I called them to file a clam.
Not so easy.
What I failed to notice was that AMEX says that a Covered Trip is a period of round trip travel 1) to one or more destinations other than an Eligible Traveler’s city of residence at the time of departure where 2) the period of round-trip trave ends when the Eligible Traveler returns by Common Carrier to the city of departure: 3) the trip does not exceed 365 days away from the the Eligible Travelers city of residence and 4) The Eligible Traveler charges the full amount of the cost of the the transportation by Common Carrier(s) to your Eligible Card. The period of round trip may consist of round trip, one-way, or combinations of round trip, one-way tickets with Common Carriers.
So the very first question, after verifying my identity, was how did I pay for the tickets to get to Italy. As soon as I told her I used the Chase Ultimate Rewards, she let me know the terms and conditions of the insurance and immediately went on to inform me that my claim was most likely to be declined due to the fact that I did not pay for all my transportation by common carrier with the Platinum Card.
"We were planning a trip to Italy and then a cruise from Rome back to Miami. We booked our airfare with Chase Points and paid for our cruise with the AMEX Platinum Card. The cruise was under $10,000 so I figured that in the event we had to cancel for a covered reason, we were insured.
Well, two days before we were to leave for Italy, my husband became ill and we were unable to go. My airline tickets to Italy (purchased using Chase Points) were fully refundable. So that was refunded and the points re deposited in my Chase Ultimate Rewards account. I had opted to pay for the hotel stays at the time we stayed rather than the early, non-refundable rate. So I canceled in time. The only money we stood to lose was the cruise fare. So I felt we had a shot at getting that back with AMEX. So I called them to file a clam.
Not so easy.
What I failed to notice was that AMEX says that a Covered Trip is a period of round trip travel 1) to one or more destinations other than an Eligible Traveler’s city of residence at the time of departure where 2) the period of round-trip trave ends when the Eligible Traveler returns by Common Carrier to the city of departure: 3) the trip does not exceed 365 days away from the the Eligible Travelers city of residence and 4) The Eligible Traveler charges the full amount of the cost of the the transportation by Common Carrier(s) to your Eligible Card. The period of round trip may consist of round trip, one-way, or combinations of round trip, one-way tickets with Common Carriers.
So the very first question, after verifying my identity, was how did I pay for the tickets to get to Italy. As soon as I told her I used the Chase Ultimate Rewards, she let me know the terms and conditions of the insurance and immediately went on to inform me that my claim was most likely to be declined due to the fact that I did not pay for all my transportation by common carrier with the Platinum Card.
Oct 28, 2023, 5:09 pm
#4
Join Date: Nov 2012
Location: YWG
Posts: 2,278
There's a difference between trip cancellation and trip interruption insurance, and I suspect that's part of the issue in the Amex/Chase case you cite.
I'm also not sure what you are trying to ask, and the insurance package consists of multiple policies. Trip cancellation/interruption policy will be a completely different policy from delayed baggage, etc. The 75% requirement does not necessarily carry over between policies...
I'm also not sure what you are trying to ask, and the insurance package consists of multiple policies. Trip cancellation/interruption policy will be a completely different policy from delayed baggage, etc. The 75% requirement does not necessarily carry over between policies...
Oct 28, 2023, 5:51 pm
#5
Original Poster
Join Date: Sep 2022
Posts: 14
There's a difference between trip cancellation and trip interruption insurance, and I suspect that's part of the issue in the Amex/Chase case you cite.
I'm also not sure what you are trying to ask, and the insurance package consists of multiple policies. Trip cancellation/interruption policy will be a completely different policy from delayed baggage, etc. The 75% requirement does not necessarily carry over between policies...
I'm also not sure what you are trying to ask, and the insurance package consists of multiple policies. Trip cancellation/interruption policy will be a completely different policy from delayed baggage, etc. The 75% requirement does not necessarily carry over between policies...
This is Amex US cancellation policy, so I'm trying to understand if it's the same in Canada - specifically with Aeroplan Visa Infinite Privilege.
From reading the cancellation insurance policy of Aeroplan Visa Infinite Privilege card, my interpretation is that there is no requirement to pay for the whole trip with the same card - so if you pay for the cruise with Visa and for the flights with a different card (or AP points), you are still covered. Just wanted to get an expert opinion if this indeed is the case.
Oct 28, 2023, 5:53 pm
#6
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You keep saying "Aeroplan Visa Infinite Privilege", but which bank are you asking about? CIBC and TD's cards are very similar, but not identical.
Oct 28, 2023, 6:26 pm
#7
Original Poster
Join Date: Sep 2022
Posts: 14
Here is the insurance certificate:
https://www.cibc.com/content/dam/cib...surance-en.pdf
Oct 28, 2023, 6:48 pm
#8
Join Date: Jul 2017
Posts: 144
Sorry, CIBC.
Here is the insurance certificate:
https://www.cibc.com/content/dam/cib...surance-en.pdf
Here is the insurance certificate:
https://www.cibc.com/content/dam/cib...surance-en.pdf
Here’s the relevant part I think (not a lawyer!):
trip means a period of travel outside your province for which:
- There is a departure point and a destination; and
- There are predetermined and recorded beginning and ending dates; and
- Any portion of the prepaid travel arrangements was charged to the cardholder's card or to a supplementary card held by the cardholder's spouse or dependent children, prior to your departure.
This definition is extended to include a common carrier ticket or accommodations obtained through the redemption of points from the card reward program.
edit: I guess it’s still unclear if you need to put everything on the card or not to get full coverage. But I think it’s at least clear that things paid for with the card are fine.
Oct 28, 2023, 7:02 pm
#9
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Join Date: Sep 2022
Posts: 14
Just have to read the whole damn thing with a fine tooth comb.
Here’s the relevant part I think (not a lawyer!):
So you need to use your card but there is an exception for using points for hotels/transportation using Aeroplan points.
edit: I guess it’s still unclear if you need to put everything on the card or not to get full coverage. But I think it’s at least clear that things paid for with the card are fine.
Here’s the relevant part I think (not a lawyer!):
So you need to use your card but there is an exception for using points for hotels/transportation using Aeroplan points.
edit: I guess it’s still unclear if you need to put everything on the card or not to get full coverage. But I think it’s at least clear that things paid for with the card are fine.
But in my case I buy the flight tickets with AP points, so pretty sure it will be covered.
Thank you!
Oct 28, 2023, 8:15 pm
#10
Join Date: Nov 2012
Location: YWG
Posts: 2,278
Her husband became ill and they were not able to go, so it's pretty clear that it's about cancellation policy.
This is Amex US cancellation policy, so I'm trying to understand if it's the same in Canada - specifically with Aeroplan Visa Infinite Privilege.
From reading the cancellation insurance policy of Aeroplan Visa Infinite Privilege card, my interpretation is that there is no requirement to pay for the whole trip with the same card - so if you pay for the cruise with Visa and for the flights with a different card (or AP points), you are still covered. Just wanted to get an expert opinion if this indeed is the case.
This is Amex US cancellation policy, so I'm trying to understand if it's the same in Canada - specifically with Aeroplan Visa Infinite Privilege.
From reading the cancellation insurance policy of Aeroplan Visa Infinite Privilege card, my interpretation is that there is no requirement to pay for the whole trip with the same card - so if you pay for the cruise with Visa and for the flights with a different card (or AP points), you are still covered. Just wanted to get an expert opinion if this indeed is the case.
Also, you said that the agent on the phone said the claim "was most likely to be denied". I take that with a grain of salt - the person on the phone is not the adjudicator, and I likely would have filed anyway if I thought I met the criteria.
Yes, still not clear because they say "Any portion of the prepaid travel arrangements was charged to the cardholder's card". This is very different from "full amount of the cost of the the transportation by Common Carrier(s)"
But in my case I buy the flight tickets with AP points, so pretty sure it will be covered.
Thank you!
But in my case I buy the flight tickets with AP points, so pretty sure it will be covered.
Thank you!
Last edited by hydrogen; Oct 28, 2023 at 8:20 pm
Oct 29, 2023, 2:13 pm
#11
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Join Date: Sep 2022
Posts: 14
In the context of "became ill", trip cancellation insurance has some very clear definitions of "ill" which pretty much state that you need to be in the hospital for the benefit to take effect. I can't tell based on your post whether this threshold has been met, but I will give you the benefit of the doubt.
Also, you said that the agent on the phone said the claim "was most likely to be denied". I take that with a grain of salt - the person on the phone is not the adjudicator, and I likely would have filed anyway if I thought I met the criteria.
Again, this reference trip cancellation insurance. I am not a lawyer, but my interpretation is that you would be covered up to the amount put on your CIBC card, up to the maximum benefit limit. You can't book a cruise on a separate card and claim trip cancellation insurance because there was no portion charged to the cardholder's card. You may be able to claim trip interruption insurance however if your flight booked with your CIBC card caused you to miss a cruise booked on a separate card.
Also, you said that the agent on the phone said the claim "was most likely to be denied". I take that with a grain of salt - the person on the phone is not the adjudicator, and I likely would have filed anyway if I thought I met the criteria.
Again, this reference trip cancellation insurance. I am not a lawyer, but my interpretation is that you would be covered up to the amount put on your CIBC card, up to the maximum benefit limit. You can't book a cruise on a separate card and claim trip cancellation insurance because there was no portion charged to the cardholder's card. You may be able to claim trip interruption insurance however if your flight booked with your CIBC card caused you to miss a cruise booked on a separate card.
The second point is the interesting one. The cancellation insurance limit on CIBC VIP card is $2,500 per person. So if my cruise costs say $5,000, theoretically I could book half with CIBC VIP card and another half with another card with the same limit, and get covered for the whole cost.
Would that work?
But then they mention "common carrier means any land, water, or air conveyance operated under a license for the transportation of passengers for hire and for which a full fare ticket has been obtained." and "full fare means at least 75% of the common carrier ticket price, including taxes, was charged to the card".
They mention this related to medical insurance, but I'm pretty sure it hold for cancellation insurance as well.
Oct 30, 2023, 9:45 am
#12
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The second point is the interesting one. The cancellation insurance limit on CIBC VIP card is $2,500 per person. So if my cruise costs say $5,000, theoretically I could book half with CIBC VIP card and another half with another card with the same limit, and get covered for the whole cost.
Would that work?
Would that work?
Every CC based insurance feature I've ever seen requires that the full price be paid for on that given card.
I suspect that these internal insurance offerings are considered by the card companies as a pure marketing/customer retention type expense; it's not a business unit expected to actually make money. e.g their profit comes from the customer using the card bigly, feeling confident in using the card bigly, blindly using the card bigly. It's not a distinct product that they are using to to scrape the bone and get every last penny out of the customer, selling them some insurance bundle.
Oct 30, 2023, 9:53 am
#13
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My opinion is inline with what [MENTION=843627]RangerNS[/MENTION] stated - yet another perk designed to alter / incent spending behaviour.
My VIP insurance has closed the gap for me on enough trip interruptions / reschedules, that the reimbursements for meals/hotels alone more than cover the annual fee.
Anecdotally CIBC VIP claim processing times have gotten far slower throughout the year, and they sometimes ask for a lack of evidence as evidence ('show us the document that says the airline wouldn't pay your hotel bill'), but they ultimately pay out. At least for me. And Yes I do try to run all of my spending for a given trip though a single travel card, be it VISA or AmEx.
My VIP insurance has closed the gap for me on enough trip interruptions / reschedules, that the reimbursements for meals/hotels alone more than cover the annual fee.
Anecdotally CIBC VIP claim processing times have gotten far slower throughout the year, and they sometimes ask for a lack of evidence as evidence ('show us the document that says the airline wouldn't pay your hotel bill'), but they ultimately pay out. At least for me. And Yes I do try to run all of my spending for a given trip though a single travel card, be it VISA or AmEx.
Oct 30, 2023, 11:20 am
#14
Original Poster
Join Date: Sep 2022
Posts: 14
Are you designing a new insurance product and asking if proposed actuarial tables are sane? Or asking about how the real world works today?
Every CC based insurance feature I've ever seen requires that the full price be paid for on that given card.
I suspect that these internal insurance offerings are considered by the card companies as a pure marketing/customer retention type expense; it's not a business unit expected to actually make money. e.g their profit comes from the customer using the card bigly, feeling confident in using the card bigly, blindly using the card bigly. It's not a distinct product that they are using to to scrape the bone and get every last penny out of the customer, selling them some insurance bundle.
Every CC based insurance feature I've ever seen requires that the full price be paid for on that given card.
I suspect that these internal insurance offerings are considered by the card companies as a pure marketing/customer retention type expense; it's not a business unit expected to actually make money. e.g their profit comes from the customer using the card bigly, feeling confident in using the card bigly, blindly using the card bigly. It's not a distinct product that they are using to to scrape the bone and get every last penny out of the customer, selling them some insurance bundle.
I was just trying to understand if I can take advantage of "Any portion of the prepaid travel arrangements was charged to the cardholder's card".
So if my cruise is $5k, and I charge all of it to Visa VIP, and I have to cancel, I get only $2.5k back. But if I'm able to find another card with similar insurance and split the cost between the two cards, I still pay a portion of the cruise with each card, and that portion should be insured for cancellation, so theoretically I should be able to get back $2.5k from each card.
Does it make sense?
Oct 30, 2023, 5:44 pm
#15
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