Is Baggage Insurance Worth It?
 

I recently purchased premium baggage insurance thru my AMEX card for an International trip and was wondering if it is even necessary? From what I understand airlines are suppose to compensate x amount for lost or damage luggage, so I was wondering if that was good enough already.

I wasn't sure if the process might be easier thru AMEX rather than the airline? From what I've been reading it appears that the airline is also suppose to compensate for delayed luggage, but the last time my luggage was delayed, the airline gave me $25 and that was it.

Insurance is never worth it, unless you cannot absorb the loss.

To me this type of policy would only really help if the luggage was lost. While I do not recall seeing any policy on the compensation for lost items, these cases are reported to the FBI. I'm sure it happens, but seldom do you hear of someone outright losing a bag. And even if you did, unless you have a case full of Versace, I would think the reimbursement from the airline would cover it. Of course if you have a case full of designer clothing, you can probably afford the insurance without caring about the value.

Most cards people use have lost luggage riders. They may not cover damage.

If I'm traveling with expensive electronics and other things DL doesn't cover the $9 plan from Amex isn't a bad deal. As an added bonus you get delayed luggage coverage that starts after 6 hours. I had one delayed luggage claim in Japan that saved me hundreds.

i got the insurance mainly for the golf clubs. so... maybe worth it.

I have an annual travel insurance policy. I find that a better value than insuring just luggage. My main reason for the insurance is emergency evacuation and repatriation (don't want to have such an expense on my own, per the post above). It also covers lost/delayed luggage and trip delay, which I have occasionally claimed.

Declaring Excess Valuation (since it's not legally insurance) with DL (or any US airline) makes less sense domestically because their liability for loss is relatively high ($3,300). INTERNATIONALLY (including domestic portions of an international itinerary) is COMPLETELY a different story. There the buck stops at $640…& that’s for a fully loaded 70 lb. bag. Lost luggage compensation for international travelers is done BY WEIGHT. That means your valuable, but light, 22 lb. bag for your vacation to some beautiful beach will get you less than $200 if it takes longer to find it than DL is willing to look.

The Unclaimed Baggage Center in Scottsboro, Alabama receives 7,000 new items everyday…so it happens…& when it happens to you it can be a nightmare. It’s 40,000 sqft of other people’s stuff that got “lost”.

Strange value judgment. It implies that people who lose expensive items don’t feel it as much. Let’s not marginalize those who just happen to dress better or require higher-end clothes for work/leisure. FYI: The $640 limit on an international itinerary (& even the domestic limit of $3,3K) won't go far in a Versace store...or even Nordstrom for that matter.

I agree, but most people don't think about "absorbing" the loss...until it's lost…& just like with computer data…if everything is truly “lost” then it’s never an “oh well-life happens-just shrug your shoulders and walk away” moment. While losing a bag won’t bankrupt most people, you don’t often realize the value of what you have until it’s gone…& if what you had was not otherwise insured or exceeded the liability limits (& most travelers are unaware of what those are), then the loss becomes magnified.


PPP

They should have well clear that unless the insurance operates at a loss they are playing a losers game.
The only case when insurance is worth it is to protect from catastrophic, life changing, losses (running over a family of lawyers, house on fire, and the likes).
Incidentally it means the wealthier you are the less insurance you need: besides being a losers game, it also forces those who have less to play more. Talk of a double whammy!
Messrs. Buffet and Gates need no insurance whatsoever.

I've been there. Interesting place. What amazes me is that in the book section, there are library books with all the info to send it back to the right place and they have them for sale. I was also amazed as to the number of DVD's that get lost.

"Niveau wirkt nur von unten arrogant":D

If you think that Warren & Bill don’t have insurance, you’re deluding yourself. People with more to lose do more to protect it.

For most people who check a bag to a destination that is not near their permanent residence, a lost bag is a (short-term) catastrophic loss (imagine getting your bag on the last day of your vacation/business trip). Most people don’t know (& are not informed by Luggage Offices) that they can be reimbursed for necessities purchased due to a lost or delayed bag (per DOT regulations). In my personal experience when traveling I always buy Excess Valuation where the inconvenience of a lost or delayed bag exceeds waiting for it to be delivered…& I have NEVER had a delayed or lost bag during an itinerary where I purchased E.V. Coincidence? Maybe, but I doubt it. People who declare $5000 E.V. can more than likely substantiate it (thus making a payout likely). Ship a high value package (i.e. UPS) & I assure you it will arrive, be on time, or someone’s fat will fry. I often travel with luggage whose value without contents exceeds the standard liability limits. If I MUST check a bag then I insulate myself from potential loss.

Have a talk with one of the managers there & they might reveal to you that since the inception of the TSA, they get a lot more bags with large cuts in the side & items missing. Seems there have been situations where criminal baggage handlers have partnered up with corrupt TSA personnel. The TSA scanner notes something of potential value in a bag, marks the bag on the appropriate spot, a baggage handler slices it open & removes the booty, retags it to someplace on the edge of nowhere without daily air service. By the time the bag is found the airline has already settled with you & sells “your” bag. You surrender all claims to your bag & its contents with the settlement & it becomes airline property. They sell it to the Unclaimed Baggage Center. If you went to the UBCenter & found your camera (or golf clubs, etc) with your name & SSN etched into it…you would still have to buy it back.

PPP

This is not a DL specific topic and I am moving the discussion over to TravelBuzz.

RSSrsvp - Moderator

Depends.

Domestic direct, no way. Even with connections, probably not.

But with INTERLINING over INTERNATIONAL, hell ya!

Virgin Atlantic lost my bags...they have a max compensation and it takes weeks. I just put it through my company's bag policy and filed a claim. Done.