Travelling with the AmEx Platinum Edge card

American Express, the premium credit card lender for travellers, offers a free return domestic flight each year to a few destinations with its Platinum Edge card. This exclusive card also offers complimentary overseas insurance, provided by third party insurer ACE Insurance Ltd., for flights purchased with the card. However, cardholders considering using the perks of their AmEx Platinum Edge to protect them overseas may want to reconsider, as the small print disclaimer indicates the complimentary insurance may not be so valuable.

First, in order to access the complimentary insurance, 100% of the flight must be purchased with the AmEx Platinum Edge. No leniency is offered at all, and so travellers cannot make a cash deposit nor any other non-credit payment to their travel ticket. As the Platinum Edge must be used for the purchase, the overseas insurance cannot be accessed for trips purchased by third parties such as employers or relatives.

Though 100% of the flight must be booked to employ the insurance, travellers are not 100% covered, as there are deductibles. Travellers must pay the first $100 of a lost, stolen, or damaged mobile phone, $500 for a laptop, as much as $500 for medical care, and roughly $250 on other claims.

Travellers should also note that pre-existing medical conditions are not covered and medical care exceeding $1,500 will not be covered, unless the cardholder is given authorization from the lender. Medical treatment is capped at $2.5 million, which however is a generous sum. In the case of a loss of life, the insurance will pay out $300,000.

The cardholder, spouse, and dependent children are covered by ACE Insurance’s policy for the first 182 days of the holiday, per trip. Though the lender does cover transient death, accidental fatalities are not covered. ACE Insurance does pay out $500 for travel delays exceeding four hours and possibly an additional $500 for missed connections.

Reimbursements due to theft, loss, or damage to products are limited to $10,000 per person, per year. Cash is covered up to $500, mobile phones to $500, computers and laptops to $2,500, and everything else to $1,000 per item, excluding the deductibles.

Though the complimentary insurance is a worthwhile benefit, as with any insurance policy there are restrictions. Because the AmEx Platinum Edge card includes a $149 annual fee and a 20.40% p.a. interest rate, card holders may decide to pick another credit card for booking their travels.