Amex denied a baggage claim over a single baggage tag detail

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TPG is returning to its tradition of publishing a reader success or mistake story each week. This week, we're sharing a lesson from Nicolas E., whose American Express baggage insurance claim was denied due to a small but important detail.

What happened

On a recent trip, Nicolas said his wife's Briggs & Riley suitcase "was damaged while in transit. The suitcase developed a significant crack near one of the wheels that was not present before our trip."

Photo of the damaged luggage. NICOLAS E. The couple filed a claim for damaged baggage with Delta. But Nicolas says Delta denied their claim, adding, "The explanation we received was that Briggs & Riley is known for standing behind its products, so Delta would not cover the damage."

So, the couple submitted a baggage insurance claim with American Express, as they'd used their Delta SkyMiles Amex card for their airline tickets. However, this claim was also denied because the suitcase had officially been checked under their 12-year-old son's name. And unfortunately, the couple had redeemed Delta miles for their son's ticket, so he wasn't covered by the card's baggage insurance.

Luckily, Briggs & Riley offers a 'Simple as that' guarantee that covers the repair of all functional aspects of its bags for life. Briggs & Riley agreed to repair the suitcase under its lifetime guarantee at no charge, although Nicolas paid about $66 to ship the bag to the repair center.

Why it happened

Delta's reported reason for denying the claim is surprising. The United States Department of Transportation says airlines are responsible for repairing or reimbursing passengers for baggage damaged while under their control, and I could not find an exception based on whether the luggage manufacturer offers a lifetime warranty in the department's terms or Delta's own contract of carriage.

Nicolas could appeal Delta's decision. But the main lesson from this story is how a seemingly minor detail — the name attached to a checked bag — can affect a credit card insurance claim.

AZMANJAKA/GETTY IMAGES Nicolas told TPG, "At check-in, Delta simply assigned baggage tags to our family's luggage without regard to who owned each bag or what it contained." He continued, "It never occurred to us that the name printed on a baggage tag — rather than who actually owned the suitcase or packed its contents — could potentially determine eligibility for travel protection benefits."

In this case, the claims administrator treated the baggage tag as evidence that the suitcase was associated with Nicolas' son. Since the family had redeemed Delta SkyMiles for his ticket, he wasn't considered a covered traveler under the card's baggage insurance benefit.

However, the benefit terms don't appear to explicitly state that ownership of a bag is determined solely by the name on the baggage tag. Instead, the terms generally define covered baggage as personal property belonging to a covered person that is taken on the covered trip. Nicolas says the damaged suitcase belonged to his wife, whose entire fare was paid with the eligible card.

The baggage tag appears to have been the key factor the claims administrator relied on when denying the claim. But, it may not be the only relevant factor under the policy terms, and a different claims administrator may have made a different decision.

Related: Should you get travel insurance if you have credit card protection?

How to avoid this

The best way to avoid the issue Nicolas and his family faced regarding credit card protections is fourfold:

Keep track of which card you used to book each traveler's ticket, and know what type of protections it provides

Have a plan for who will check each bag to maximize credit card protections and minimize baggage fees before you arrive at the airport

Clearly tell the airport agent at check-in or bag drop who each bag should be checked under (or ensure you do this as planned if you use a self-service baggage drop)

Keep receipts, serial numbers or other records for expensive luggage and photograph each bag before checking it

In some cases, minimizing baggage fees may still be worth accepting weaker protection. But travelers who plan to check expensive luggage should understand the trade-off before arriving at the airport.

THOMAS BARWICK/GETTY IMAGES My husband and I track our booked flights in a spreadsheet, and one column lists the card we used to book the flight (or to pay taxes and fees for award tickets). We usually use the Ink Business Preferred® Credit Card (see rates and fees ) for taxes and fees on award flights, as it provides protection even if you pay only the taxes and fees with your card. But, if one of us used a different payment method, we'd consider whether it makes sense for us to each check our own bag or whether it's more advantageous for one of us to check both bags.

Related: 10 best credit cards with travel insurance

Bottom line

Nicolas' experience shows that seemingly minor details can have major consequences when you file an insurance claim. A bag assigned to a traveler booked with airline miles may be treated differently from one assigned to a traveler whose full fare was charged to an eligible card — even when the family views the bags as shared property.

Before checking luggage, consider which travelers have baggage coverage, ask the agent to tag each bag accordingly and verify the names before the bags leave your possession.

Nicolas sent the luggage off for repair. But, if he wanted to, he could appeal the Amex denial with documentation that the suitcase belonged to his wife, since the Amex terms describe covered baggage as a covered person's personal property. He could also challenge Delta's denial, since a manufacturer's lifetime warranty does not appear to relieve the airline of responsibility for checked luggage damage caused in its care.

Want to share your story with other TPG readers? Fill out our mistake story form or success story form . (For ongoing issues that you feel owed compensation for circumstances beyond your control, please contact TPG's ombudsman, Michelle Couch-Friedman, at ombudsman@thepointsguy.com.)

Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.