Author: Kirk

A little background on this issue can be found in my first post on it, here.

I followed up with Visa and finally had someone point out to me the part of the card insurance certificate that states that “installing” my bike tires onto my bike makes them ineligible for theft protection. Here’s the link to the entire insurance certificate, wherein I have been pointed to these two passages:

Personal property means tangible, moveable property for personal use.

and

Personal property purchased using your RBC Royal Bank Visa Platinum Avion card or acquired with your RBC Rewards^® points, is insured against all risks of direct accidental physical loss or damage for 90 days from the date of purchase. The insurance applies to your personal property and gifts you give to family members.

The Visa representative said quite plainly that the key word here is tangible. When I bought my tires they were tangible items. When I had them installed onto my bike they were no longer tangible. So I asked if that meant they were intangible. “Not exactly,” she said “they’re not intangible – but they’re not tangible.” Oh, I see now.

The Visa representative stated that these two clauses are what Visa uses to support their claims that once you actually “install” something it is no longer covered by the insurance.  I disagree – in evaluating their service I would not understand that from reading this insurance certificate.  Their position actually seems to be a rather obtuse and, in my opinion, incorrect interpretation of this certificate.

The Visa rep invited me to write in with my opinions, at which point I opened a claim with the intention to do just that.  So for those Avion users reading this, I still suggest you do not rely on Visa’s purchase security for anything other than a steady stream of empty promises.

2.5 months ago I spent over $120.00 on my bike, getting new tires, trueing a rim and getting a tune up. 2 weeks ago my bike was stolen. After storming about and beating myself up for making it so easy to steal my bike, someone pointed out to me that the Visa Avion card includes purchase security. Visa claims they’ll insure your purchases for you in case they are stolen or lost within 90 days after the purchase date. They also provide an extended warranty of sorts whenever you use it.

Sounds great, doesn’t it?

I called the bike store and figured out with them which charges were for parts and which were for services – Visa would only cover the parts according to the first Visa agent I spoke to. After figuring it out (only around $50.00 but certainly helpful towards a replacement bike) I again called Visa to figure out how to get the ball rolling.

One problem, said the Visa agent – you “installed” the parts. According to the policy if the parts are “installed” onto the bike then they are no longer covered. Oh I see, I said, so if I took my new bike tires and hung them around the handlebars, you would cover them if they were stolen. Yes, they would, Visa said.

How utterly stupid. Visa’s pitch, their claim, their incentive for me to use their card (and potentially pay them interest) is that by using the card I can have a greater sense of security in my purchases. Well take note everyone with an Avion Visa – your purchases seem to be covered only until you use them as designed. What good are bike tires to me unless I “install” them?

Time to look for a competing card, this “service” is pure lip service.

Update: I’ve looked over the online version of the credit card agreement and I can’t find mention of this policy.  I’ve called Visa again and they’ll have an insurance expert call me after checking into the facts.  So there may be a happy ending after all – but I’m not holding my breathe after talking to the Visa fellow earlier today.