Amex Improving Extended Warranty, Purchase Protection Benefits
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Update: Starting January 1, 2019 most consumer and small business American Express cards will only offer one year of extended warranty coverage and select no fee cards will discontinue extended warranty coverage. Additionally, all Amex consumer and business cards that offer purchase protection will have this benefit changed to 90 days effective January 1, 2019. See this post for more details.
Update: Amex confirmed the changes to the extended warranty and purchase protection will apply to all consumer and small business cards, except for Centurion Cards, whose extended warranty policies will not change.
While Citi and Chase all are scaling back or eliminating some credit card benefits — particularly costly price protection insurance — American Express plans to roll out enhanced benefits on at least two of its cash-back credit cards.
Beginning August 1, owners of the Blue Cash Everyday® Card from American Express will be eligible for longer extended warranties and a longer period to file breakage or theft claims under the issuer’s purchase protection policy, according to Boarding Area blogger Grant Thomas, who posted screen shots of his latest monthly statement that outline the changes.
My online Blue Cash Preferred® Card from American Express cardmember agreement also has been updated to reflect the upcoming changes.
We’ve reached out to American Express to see if the changes affect other cards in the Amex portfolio, and we’ll provide an update when we receive a response.
Extended Warranty Claims
When the new benefits begin, Amex will match the length of any manufacturer’s warranty that’s less than two years. Previously the match was only good on warranties of less than a year. For warranties between two and five years, American Express will increase coverage to provide two additional years, up from one.
These warranties cover you against breakage, if it occurs after the manufacturer’s warranty has already expired and you purchased the broken item with the covered credit card. If your claim is approved, you’ll typically receive a check or statement credit reimbursing you for repair costs, replacement costs or the original purchase cost.
This move appears to match Citi’s extended warranty protection, which was thought to be the longest among major issuers. Note residents of Indiana, Guam, Puerto Rico and Northern Mariana Islands will not receive the extended protection on their Amex cards.
The monetary limits — both for individual and annual claims — remain unchanged.
Purchase Protection Claims
Amex also is increasing the time you have to file claims of theft or damage on items paid for with your Amex card from 90 to 120 days.
Amex doesn’t appear to be changing the amount of available coverage, with is $1,000 per incident and up to $50,000 in a calendar year. The issuer will pay the lesser of the cost to repair the item, replace it or reimburse the purchases price. Make sure you know the types of items that are ineligible before filing a claim.
Cards that offer purchase protection typically limit their coverage from between 90 and 120 days after purchase, so this change would put the Amex cards at the top of the range.
Like with extended warranty coverage, there are some cardholders who won’t see the added benefit, including residents of New York, Indiana, Guam, Puerto Rico and Northern Mariana Islands.
Finally, Amex asks cardholders to visit the Benefits Guide to learn of changes to your card. As of Monday morning, those guides don’t appear to have been updated.
H/T: Boarding Area