Travelex Insurance - Did the MS CM have this right?

[BirdsOfPreyDave]

While making a change to a reservation on the phone with Member Services, yesterday, the cast member asked me about travel insurance. I told her I'd already purchased a policy for this year. She told me that my policy was for my 2011 use year, and that because I was using some borrowed points, they wouldn't be covered. She recommeded that I purchase a policy for my 2012 use year, too.

I thought I was buying coverage for trips from August 1, 2011 to July 31, 2012. Is the coverage really tied to the use year of the points?

I'd planned to renew the policy for next year, anyway, so I went ahead and purchased it. But I'm still not sure if it was necessary to do so yet. I've looked through the description of coverage and it isn't clear one way or the other.

Does anyone know?

 

[DizMagic]

i was told the same thing. that the year coincided with my use year points, not the time of year i used i my points. since i had banked, current and borrowed for a Sept 2012 trip, i was going to have to buy 3 years worth of insurance. i passed

 

[disneynutz]

Don't you just love it!

Bill

 

[jekjones1558]

The CM is correct. It makes sense to me that the insurance should follow the points.

 

[BirdsOfPreyDave]

Ok, I completely understand that I'm tilting at windmills at this point, but please allow me to vent...

I could fully agree with this position if the only coverage offered under the policy was to refund the value of points for a cancelled trip. But what about the other aspects of the coverage? Can you imagine the legal nightmare of a scenario like this: I bought the insurance for my 2011 use year, but not for my 2010 or 2012. In 2011, I took a trip that used banked points from 2010, current points from 2011, and borrowed points from 2012. During that trip, my connecting flight got cancelled and we needed to get a hotel room in Chicago for the night, my luggage was lost, I got sick and needed to be hospitalized, and there was a hurricane that forced us to evacuate on a re-booked flight that cost $250 more than our original tickets. What in the world would I be covered for?

It would be so much cleaner for the coverage to be valid for trips taken between certain dates regardless of which use years were involved in the booking. After all, the coverage costs the same for someone with a 900-point contract as is does for someone with a 300-point contract. Why should it make a difference, then, if the person with the 300-point contract is using 900 points on a particular trip?

 

[jekjones1558]

I understand your idea. I do not know what they do in the case you site. Maybe they pay a ratio of benefits based on the ratio of points you used that are covered by insurance. Or maybe their rule is that they only pay claims on trips when all points are insured. I did not take a chance for our trip last Oct. which used points from 3 use years (1300 points). I bought insurance for all use years. I could have asked the insurance company your question but I would not have trusted the answer unless I had time to get it in writing.

 

[bobbiwoz]

Based on what I'm reading, I would almost always need to pay for 3 years worth of points, since each year, there are some of 3 different UYs involved in our stays, borrowed, current and banked.

 

[disneynutz]

Ok, I completely understand that I'm tilting at windmills at this point, but please allow me to vent...

I could fully agree with this position if the only coverage offered under the policy was to refund the value of points for a cancelled trip. But what about the other aspects of the coverage? Can you imagine the legal nightmare of a scenario like this: I bought the insurance for my 2011 use year, but not for my 2010 or 2012. In 2011, I took a trip that used banked points from 2010, current points from 2011, and borrowed points from 2012. During that trip, my connecting flight got cancelled and we needed to get a hotel room in Chicago for the night, my luggage was lost, I got sick and needed to be hospitalized, and there was a hurricane that forced us to evacuate on a re-booked flight that cost $250 more than our original tickets. What in the world would I be covered for?

It would be so much cleaner for the coverage to be valid for trips taken between certain dates regardless of which use years were involved in the booking. After all, the coverage costs the same for someone with a 900-point contract as is does for someone with a 300-point contract. Why should it make a difference, then, if the person with the 300-point contract is using 900 points on a particular trip?

The whole idea with insurance is that you will never collect on the policy. They could make things easier but they intentionally don't.

Even if you have a covered loss, they will make collection on the loss very difficult. That's the nature of the insurance business.

Disney and the carrier aren't offering you a policy for your protection, they are offering you a policy to make money.

Bill

 

[jekjones1558]

Based on what I'm reading, I would almost always need to pay for 3 years worth of points, since each year, there are some of 3 different UYs involved in our stays, borrowed, current and banked.

But once you buy insurance for a use year you don't need to buy it again. So for our trip I used some banked, some current and some borrowed points. I had (and still have) the insurance for all the trips for those 3 use years, not just our one big trip that used so many points. For our big trip we used some banked BWV points from 2010 but also had the rest of the 2010 use year trips covered, used all BWV 2011 points but also had our 2011 use year OKW points covered and we borrowed some BWV 2012 points but also have the rest of our 2012 OKW and BWV points covered. It is very true that the more points you own the better deal the insurance is. It is also true that if you fly the insurance is a better deal than if you drive to your DVC destination.

 

[bobbiwoz]

But once you buy insurance for a use year you don't need to buy it again. So for our trip I used some banked, some current and some borrowed points. I had (and still have) the insurance for all the trips for those 3 use years, not just our one big trip that used so many points. For our big trip we used some banked BWV points from 2010 but also had the rest of the 2010 use year trips covered, used all BWV 2011 points but also had our 2011 use year OKW points covered and we borrowed some BWV 2012 points but also have the rest of our 2012 OKW and BWV points covered. It is very true that the more points you own the better deal the insurance is. It is also true that if you fly the insurance is a better deal than if you drive to your DVC destination.

OK...so, once you cover the banked/borrowed/current once, you only pay for one UY going forward. I think we will talk about buying the insurance over the weekend.

Thanks.
Bobbi

 

[jekjones1558]

OK...so, once you cover the banked/borrowed/current once, you only pay for one UY going forward. I think we will talk about buying the insurance over the weekend.

Thanks.
Bobbi

Bobbi,
Are all of your points in one use year or do you have separate memberships with different use years? Our points are all one use year so we only pay one fee for all the points. I don't know how it works if you have separate membership numbers.

 

[keishashadow]

The whole idea with insurance is that you will never collect on the policy. They could make things easier but they intentionally don't.

Even if you have a covered loss, they will make collection on the loss very difficult. That's the nature of the insurance business.

Disney and the carrier aren't offering you a policy for your protection, they are offering you a policy to make money.

Bill

jmho but i have collected on trip insurance when cruising re expensive treatment I required onboard for medical with absolutely no hassle thru CSA via insuremytrip, who walked me through processing the paperwork. I only wish that i could find one of their companies who would cover the DVC/TS component of our trips.

 

[BirdsOfPreyDave]

But once you buy insurance for a use year you don't need to buy it again. So for our trip I used some banked, some current and some borrowed points. I had (and still have) the insurance for all the trips for those 3 use years, not just our one big trip that used so many points. For our big trip we used some banked BWV points from 2010 but also had the rest of the 2010 use year trips covered, used all BWV 2011 points but also had our 2011 use year OKW points covered and we borrowed some BWV 2012 points but also have the rest of our 2012 OKW and BWV points covered. It is very true that the more points you own the better deal the insurance is. It is also true that if you fly the insurance is a better deal than if you drive to your DVC destination.

I guess you're right. It works out to be less expensive than the old plan of buying a package for each trip if you travel several times a year like we do. And as I said, I did plan to buy it again next year anyway, I just didn't realize the timing of needing it now because of the borrowing.

 

[bobbiwoz]

Bobbi,
Are all of your points in one use year or do you have separate memberships with different use years? Our points are all one use year so we only pay one fee for all the points. I don't know how it works if you have separate membership numbers.

We have one membership with lots of subcontracts. It's all one UY.

OH, are you saying that if you use the points in our March 2012 UY, then all of the points are covered because either banked or borrowed, they became 2012 points?

I actually bought TI once or twice before MS began selling it.

At any rate, DH and I will think about it. We do fly most of the time, it's only for this past December into February stay that I drove. We will drive for next NYE again, but we fly for the rest.

PS. We are also a family that has "made out" because we bought TI for a cruise. The $6000 that we paid for DS, DDiL to cruise with us was refunded when her mother had heart surgery.

 

[jekjones1558]

OH, are you saying that if you use the points in our March 2012 UY, then all of the points are covered because either banked or borrowed, they became 2012 points?

I don't know, Bobbi. I had insurance for all three use years. My guess would be that banked points would have to have insurance for original use year but I really don't know and didn't investigate because we bought insurance for all the years. If you do decide to get it you should buy it when you pay dues so all preexisting condition exclusions are waived. We pay our dues monthly so I just call in early January to buy the insurance. MS sent me an email when I bought it over the phone so I have a paper trail if I ever need it.

 

[LJD2143]

I've never purchased trip insurance before. Would you mind giving me a brief summary of how it works?

In a couple of days will be using banked, current and borrowed points to book a 2BR Villa at BCV. Earlier this week we purchased park tickets via the Disney YES program. Airfare to be purchased at a future date.

Based on this thread, I understand I would need to purchase 3 UYs worth of insurance. But would Travelex cover the Park Tickets and airfare and other expenses of the trip even if they are not purchased at the same time? What is the approximate cost?

TIA for any help!

 

[jagson]

Ok, I completely understand that I'm tilting at windmills at this point, but please allow me to vent...

I could fully agree with this position if the only coverage offered under the policy was to refund the value of points for a cancelled trip. But what about the other aspects of the coverage? Can you imagine the legal nightmare of a scenario like this: I bought the insurance for my 2011 use year, but not for my 2010 or 2012. In 2011, I took a trip that used banked points from 2010, current points from 2011, and borrowed points from 2012. During that trip, my connecting flight got cancelled and we needed to get a hotel room in Chicago for the night, my luggage was lost, I got sick and needed to be hospitalized, and there was a hurricane that forced us to evacuate on a re-booked flight that cost $250 more than our original tickets. What in the world would I be covered for?

Now, that's some bad MOJO. Reminds me of the old Jack Lemon movie, where he and his wife go to New York, and everything that could go wrong, did so. Can't recall the title of the movie. But, on a serious note, that's how Tavelexe made the agreement, so how could someone challenge it legally--caveat emptor.

 

[bakerworld]

We don't buy the insurance - never really understood the need for the coverage but then again we fly cheap or not at all and cancel the vacation if we think it won't work.

We have been 'trapped' in FL - still not sure what the insurance would have done for us. The airline got us home and our pts kept us in a bed. So the insurance would've...saved us pts - yes?

 

[DebbieB]

We don't buy the insurance - never really understood the need for the coverage but then again we fly cheap or not at all and cancel the vacation if we think it won't work.

We have been 'trapped' in FL - still not sure what the insurance would have done for us. The airline got us home and our pts kept us in a bed. So the insurance would've...saved us pts - yes?

I've never used it either but the scenerio where it would be valuable is if you have to go home early or if you have to stay longer because someone is sick. It may cover expenses incurred because of it.

 

[Song of the South]

If I could be so rude as to ask how much the TI is? Also, does anyone know if it covers having to cancel at the last minute due to work? My DH works for 911 and while they do their best to honor time off requests if there is an emergency sometimes timeoff is suspended.

Thanks for explaining how it is tied to UY. At the end of booking when I am asked I had always assumed it was for that particular trip.

SotS