# Trading Power Protection - Your Thoughts?



## CuriousPoster1234 (Nov 24, 2011)

Hi, everyone. I have a question about what RCI members might think of the new option to purchase trading power protection with their exchanges. Just in case someone here doesn't know what this is, I'll give you a brief description. Basically, you pay $49 US for the trading power protection. If you cancel or change your exchange outside of the 24 grace period RCI gives you to change or cancel your exchange without penalty, you get back ALL of the trading power used to confirm that exchange. The reason for canceling or changing doesn't matter, you get your trading power back no matter what. Now, the caveat is that you don't protect your exchange fee with trading power protection. If you want to pay more money to protect BOTH the trading power AND your exchange fee, there's still the option to obtain vacation protection, which costs $89 US. However, when you change or cancel your exchange, the money used for the exchange fee is returned as a credit to your RCI account. You then have 6 months to rebook your exchange. Obviously, you don't necessarily need to travel within 6 months, you just need to rebook the trip. Can anyone tell me if they like either product? I'm seeking feedback to see if it's preferable to use one over the other. Or perhaps it's better to just only pay the exchange fee and not add any of the protections?


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## elaine (Nov 24, 2011)

If it is an exchange at 1 year or under and I am pretty confident that I am going--such as Fla at Easter meeting other family members, then I don't get it. If it is a great trade that came up at 18+ months out and I am not certain I am going, then I get the $89 insurance. 
For ex, I got $89 insurance for Hawaii @ 18 months out--got a place I would be OK staying at, but since I had the insurance, traded that for HGVC-Kingsland when it popped up--as this was our #1 "dream" timeshare. I did not get insurance again--as we were definitely going to maket that trip work, since we got HGVC.
I also got trip insurance for a European exchange @ 2 years out. It is so rare to get a good 2BR in Europe that I jumped on it--but who knows if Europe for summer 2013 will work out for us.
For $40 more, I just get the $89 insurance. I debated with the European exhchange getting the $49 one, but thought the risk of cancelling was high enough to warrant the $89.
Some get the $89 insurance when the get a trade into an area they want, but didn't get the place they wanted---then they keep looking--this is what we did for Hawaii. Some do that when trying to get DVC--they book anouther Orlando resort as their fallback, and then flip into DVC if it becomes available.


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## Mjpierce (Nov 25, 2011)

I agree about using the vacation insurance in situations where you are not sure of your trade.  Traveling as we do on the February school vacation week, it is necessary to get your airline tickets early.  Oftentimes though, the best beach weeks in southern Florida pop up at the very last minute.  I will book what I can, and switch weeks at the last minute to get what I want.  Last year I didn't have the vacation insurance, and lost both the trading power and  exchange fee when I switched last minute from Sea Garden in Pompano Beach to Vanderbilt Beach Club in Naples.  I should have been smart and protected myself with the insurance.

Not that I regret my choice- Vanderbilt Beach was worth it!


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## mbh (Nov 28, 2011)

*Insurance*

I always get the $89 insurance. That way I know I won't have to use it! Just call me superstitious.


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## WinniWoman (Nov 29, 2011)

This isn't "new". RCI always had the insurance plan that protected your trading power. I wish they also had it available to purchase on a "fixed" week that you are not exchanging. I always take it out on my floater weeks that I exchange.


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## Larry (Nov 29, 2011)

mbh said:


> I always get the $89 insurance. That way I know I won't have to use it! Just call me superstitious.



I have never purchased the insurance and have owned timeshare since 1992 and take 4 to 5 vacations a year for at least the last 10 years. I would guess that I have done at least 75 exchanges at $89 each would have cost me over $6,500 . In all of that time I only had one time when I had to cancel and another time RCI canceled us due to Hurricane closing down resort we were going to. Both times we got an equal or better exchange since it was less than 60 days for our check in. I did have to pay $150 each to change our airline reservations, but I am way ahead by not taking the insurance.


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## Conan (Nov 29, 2011)

Until recently I took the self-insured route and didn't buy the coverage.

Now I buy it, not because my plans may fall through, but to give me a chance to tweak those plans - - if a better trade comes along, or if I want to drop a week here and add a week there.  The turning point was when I put together three weeks in Greece, and ended up dropping a week from Crete and a week from Paros when other choices came up.


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## Larry (Nov 29, 2011)

Conan said:


> Until recently I took the self-insured route and didn't buy the coverage.
> 
> Now I buy it, not because my plans may fall through, but to give me a chance to tweak those plans - - if a better trade comes along, or if I want to drop a week here and add a week there.  The turning point was when I put together three weeks in Greece, and ended up dropping a week from Crete and a week from Paros when other choices came up.



Good point!!!! 

That may be a good reason to take the insurance but so far I have been really satisfied with most of my trades so probably would not want to change, but you got me thinking about some places that I may want to use your strategy


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## bellesgirl (Nov 29, 2011)

Another reason to get the insurance is not only to tweak and switch, but to tweak and keep.  Sometimes, at the last minute, you can get your same exchange at a much reduced TPU.  It may be worth $89 to save 10 TPUs or more.  A friend booked Bonaire for 23 TPU.  I saw the same week last minute for 6, but she had not bought the insurance so she could not make the switch.


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## bellesgirl (Nov 29, 2011)

mpumilia said:


> This isn't "new". RCI always had the insurance plan that protected your trading power.


I may be wrong, but I think the $49 option is new.  It only insure the TPU not the exchange fee.


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## WinniWoman (Nov 30, 2011)

Oh. I didn't realize that. It must be new then.


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## sandkastle4966 (Nov 30, 2011)

"new" is a relative term......the "Insurance" is indeed "new" to me - been dong this for 15 years, it was introduced a year to 1 1/2 year ago.  I would consider that "new" - it hasn't been around for "a long time".  Recently (last 6 months or so) - the option has been offered as "both TPU and fee" and "just TPU".  

I also use it a lot - assess is it "the one" or "good enough for now".  if its the "the one"   I don't get it, if not - I get it.  (also good for the free-loading relatives that change thier mind after everything is booked)


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## MLR (Mar 12, 2013)

*NO MORE VACATION PROTECTION - just trading power*



bellesgirl said:


> I may be wrong, but I think the $49 option is new.  It only insure the TPU not the exchange fee.



I was very disappointed in the 'change' of the insurance. Now you can only insure the trading power - they keep all exchange fees. If you buy within 30 days of scheduling your vacation - it's $49. If you you buy after 30 days and UP TO 14 days prior to departure - it is $89 (what the OLD Vacation Protection plan used to cost). 

I am really disappointed in this change. We have an elderly parent and can't count on NOT having to cancel. Now we lose all fees used to schedule the vacation! What a bummer! WHAT A WIN WIN DEAL FOR RCI.


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## MLR (Mar 12, 2013)

*Is there a decent alternative to RCI?*

Just scheduled a vacation and found out that they no longer have the option of insuring your vacation - ONLY the trading power. They keep all exchange fees on top of the $49 fee. Really disappointed in this new 'service.'

Our membership expires in April 2014.  Is there a decent alternative? I know this will probably generate some 'discussion' - but I am just interested in something that allows a decent choice as well as SOME PROTECTION for the consumer. 

You may respond here or send me a private msg.


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## MLR (Mar 19, 2013)

*Clarification on insurance*



MLR said:


> Just scheduled a vacation and found out that they no longer have the option of insuring your vacation - ONLY the trading power. They keep all exchange fees on top of the $49 fee. Really disappointed in this new 'service.'
> 
> Our membership expires in April 2014.  Is there a decent alternative? I know this will probably generate some 'discussion' - but I am just interested in something that allows a decent choice as well as SOME PROTECTION for the consumer.
> 
> You may respond here or send me a private msg.



THE $89 INSURANCE IS NO LONGER AVAILABLE - meaning you can ONLY insure against losing your trading power. IF YOU CHANGE YOUR MIND AND CANCEL  - you WILL lose all exchange feels - no more putting them into your account for future use. Just another way to 'raise fees' while not actually raising fees. But losing $199 is a BIG FEE to lose if you need to cancel. Lousy turn of events if you ask me.


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## gnipgnop (Mar 21, 2013)

I agree........I think it stinks.:ignore:


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## JudyS (Mar 22, 2013)

MLR said:


> THE $89 INSURANCE IS NO LONGER AVAILABLE - meaning you can ONLY insure against losing your trading power. IF YOU CHANGE YOUR MIND AND CANCEL  - you WILL lose all exchange feels - no more putting them into your account for future use. Just another way to 'raise fees' while not actually raising fees. But losing $199 is a BIG FEE to lose if you need to cancel. Lousy turn of events if you ask me.


I agree, too!

So, what exchange companies have better cancellation policies/insurance?


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## MichaelColey (Mar 22, 2013)

Major downgrade in my opinion.  Getting the exchange fee back was a huge benefit.

With cheap TPUs and still getting partial TPUs back without insurance, I just don't see it as worthwhile unless there's a pretty good chance you'll cancel last minute.

For instance, if your TPUs are worth $15 to you and you do a 40 TPU trade, then cancel 31-90 days out, you still get 80% (32 TPU) back WITHOUT having to buy the insurance.  So the insurance in that case just provides $120 in benefits.

For a 10-20 TPU trade with cheap TPUs, it's not worth it even if there's a good chance you will cancel.

FWIW, here's what you get back (if you don't buy the insurance) depending on when you cancel:

Adjustment Schedule
Number of Days Trading Power Retained
< 14 days 45%
15 - 30 days 60%
31 - 90 days 80%
91 - 180 days 90%
181 - 275 days 95%
276+ days 100%


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## csxjohn (Mar 22, 2013)

MLR said:


> ...Our membership expires in April 2014.  Is there a decent alternative? I know this will probably generate some 'discussion' - but I am just interested in something that allows a decent choice as well as SOME PROTECTION for the consumer.
> 
> You may respond here or send me a private msg.





JudyS said:


> I agree, too!
> 
> So, what exchange companies have better cancellation policies/insurance?



I use DAE and have bought the cancellation protection a few times when the vaca was far out and we weren't sure if we could go.

The current cost is $30.  It just went up after years at $25.

Look here at FAQ #4 for the details.  You can rebook up until the original deposit expires or 24 months, whichever is sooner at no additional cost.  You can purchase the protection again for your new ressie.

http://www.daelive.com/helpdesk/faq.aspx#faq70

With DAE you don't get the choices you do with the big 2 trading companies but I'm very happy not to pay those high membership fees and higher exchange fees.


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## MLR (Mar 25, 2013)

*I had forgotten about DAE*

I joined a few years back and never used their services and then lost track - I will check that out again. Thanks for the reminder. 

Is it a one for one exchange? Bank one week - get one week? If so, I think I would still do better with RCI. But the bonus weeks may be ok.


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## Karen G (Mar 25, 2013)

MLR said:


> Is it a one for one exchange? Bank one week - get one week? If so, I think I would still do better with RCI. But the bonus weeks may be ok.


It depends on what resort you have to offer. I got an email from DAE that they were offering a 3-for-1 deal on my resort. I see on their website that they sometimes offer 2-for-1 for some resorts.

I gave them a try this year and so far I'm very pleased.  Plus, trading power is not an issue. You may trade for whatever week/resort is available.


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## csxjohn (Mar 25, 2013)

MLR said:


> I joined a few years back and never used their services and then lost track - I will check that out again. Thanks for the reminder.
> 
> Is it a one for one exchange? Bank one week - get one week? If so, I think I would still do better with RCI. But the bonus weeks may be ok.



Every once in a while they run a special.  In Feb they would give you 2 for 1 on any 1br or larger as long as the check in was at least 6 mos. out.  I changed a Memorial Day week I had reserved to a fall week to get the bonus.

This month they are giving 2 for 1 as a prime time rewards.

http://www.daelive.com/articles/news.aspx?ArticleID=1068


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## Tokyoite (May 1, 2013)

MichaelColey said:


> Major downgrade in my opinion.  Getting the exchange fee back was a huge benefit.
> 
> With cheap TPUs and still getting partial TPUs back without insurance, I just don't see it as worthwhile unless there's a pretty good chance you'll cancel last minute.
> 
> ...



I agree. I don't bother with it. If I have to cancel an exchange, the date will probably be far enough out that I won't lose much trading power. Being able to "insure" trading power and not your fee is pretty much silly, and a rip-off, in my humble opinion. I could have to cancel at the last minute for a family emergency(aged parent), but I just live with that risk, since my airfares and other things will often incur losses for me too in such cases. I use to insure flights etc., but when you add up what you spend on insurance over the years, I figure it is better to just live with the risk. Everyone is different though. I have a stable job situation and know my possible vacation weeks a long time in advance.


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## Tokyoite (May 1, 2013)

csxjohn said:


> I use DAE and have bought the cancellation protection a few times when the vaca was far out and we weren't sure if we could go.
> 
> The current cost is $30.  It just went up after years at $25.
> 
> ...



I have been using DAE for years. All their fees used to be very low compared to RCI, but recently they are creeping up like wildfire. Their insurance use to be much better, but it is now a little trickier(less useful). First of all, I do not agree with the post that says the insurance was $25 for years, unless the U.S. market is/was different. My rate was $10 for years, then $15, and then recently it jumped to $25. Also, my exchange used to be covered in any market, for any reason. However, this winter I made an exchange for Florida(I live in Asia, and my timeshare is in Asia), and they told me that for an exchange in Asia I am insured for any reason at all that I want to cancel, but for a U.S. exchange I am only covered if I have proof of sickness or death of myself or close family. 

I am assuming that most Tuggers are in the U.S., but for DAE Asia members, these are the rules that apply. The insurance might be better for U.S. members, and the rates may indeed be different too.

Forgot to mention: with DAE you are insured for you deposited week and your exchange fee.


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## Mayble (May 7, 2013)

I used to purchase the trading power protection when it included protecting the exchange fee.  It doesn't make sense now, I just take the risk of losing partial TPU if I have to cancel.

I really hope they bring back the exchange fee protection.


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## FlaKmunKy (May 23, 2013)

Most of the confirmations cancelled (%70) are cancelled within 2 weeks of the start of the vacation (from what I have been told) which means those people would only get 45 percent back.

RCI is doing a new thing.  31 days after you book your vacation you are eligible for Trading Power Protection 2 which gives you all your trading power back. (The $49 protection can be purchased at that price up to 30 days after you book it)  It is $89 and can be purchased up to the day of the vacation.  So lets say you dont regularly get the protection... you can now add it last minute and get all your trading power back still (although it will cost you more)


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## MLR (May 23, 2013)

*Trouble is - you USED to have your fees protected too!*

We always had 30 days after booking to purchase protection - but the protection protected MORE than just trading power. Sure, they gave you your trading power back on a sliding scale (and if it is true that most people cancelled within two weeks - then most would get all their trading power back anyway) but you ALSO GOT YOUR EXCHANGE FEE BACK as a credit towards your next booking/vacation. 

Now you lose all your money and keep only the trading power. So - the plan is not nearly as good or user friendly as it used to be. Just another way to 'raise fees' without actually raising fees. Just like when they say WE WON'T RAISE TAXES we will just nix all your deductions. Still equals the same thing :0(


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## MichaelColey (May 23, 2013)

MLR said:


> (and if it is true that most people cancelled within two weeks - then most would get all their trading power back anyway)


I think he was saying that most cancel within 2 weeks of the check-in date, not the date they made the exchange.  If it's for health or other last minute issues, I could see that.  And if you only get 45% back, I can see where it might be worthwhile with high TPU exchanges and if your TPU cost is high.

But still...  If your average exchange is 20 TPU and you value TPUs at $10, that's $110 difference (100% is $200 while 45% is $90).  To make the math simple, if the protection was $55, you would have to cancel half of the time to break even.


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## MLR (May 23, 2013)

*Michael - I think your brain works better than mine :0)*



DUH - Cancelling within two weeks of departure makes more sense. I think you may be correct there :0)

Since we care for an older parent, we usually buy the insurance. Have only used it once and thankfully that was when we got our points AND exchange fees back.  

They just figured out a way to make extra $$ on each cancellation. You are kinda between a rock and a hard place if you feel you NEED to have it. But I certainly wouldn't bother unless I was using quite a few points.


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## karibkeith (May 28, 2013)

MLR said:


> Is there a decent alternative? I know this will probably generate some 'discussion' - but I am just interested in something that allows a decent choice as well as SOME PROTECTION for the consumer.



If you take a package, or assemble your own (Resort booking plus airfare, etc.), you can usually get insurance directly or with your credit card coverage.  However, I know of no insurance for recovery of maintenance fees.  What I want is insurance that covers the whole cost of a timeshare vacation if cancelled. This would be tricky to recover trading power obtained by exhanging time paid with maintenance fees, but I am sure some innovtive insurer coud come up with something.  Perhaps a standard amount for a week.
Does anyone know of such comprehensive insurance?


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## MLR (May 28, 2013)

*insuring TS trip*

I find it difficult to insure via normal trip cancellation insurance policy due to the fact that we often book TS well in advance of purchasing airfare and I am thinking that you must purchase insurance within a certain amount of time from 'paying for trip.'  

If someone has sorted this sort of thing out and can clarify just HOW to insure the True Cost of a timeshare vacation - sure would like to know about it. Previously we insured TS and points by purchasing RCI insurance - but it no longer covers FEES - they are lost and if you book two weeks - you have lost nearly $200. :0(

Airfare is easy to cover either through airline insurance or buying a separate policy (we buy health and evac coverage along with covering cost of airfare). 

Guess, I could call someone directly and ask, ha ha! Might be a good first step unless someone else had addressed this already.


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## armrecsys (May 31, 2013)

*cancel exchange protection nolonger for your money no longer exit*



CuriousPoster1234 said:


> Hi, everyone. I have a question about what RCI members might think of the new option to purchase trading power protection with their exchanges. Just in case someone here doesn't know what this is, I'll give you a brief description. Basically, you pay $49 US for the trading power protection. If you cancel or change your exchange outside of the 24 grace period RCI gives you to change or cancel your exchange without penalty, you get back ALL of the trading power used to confirm that exchange. The reason for canceling or changing doesn't matter, you get your trading power back no matter what. Now, the caveat is that you don't protect your exchange fee with trading power protection. If you want to pay more money to protect BOTH the trading power AND your exchange fee, there's still the option to obtain vacation protection, which costs $89 US. However, when you change or cancel your exchange, the money used for the exchange fee is returned as a credit to your RCI account. You then have 6 months to rebook your exchange. Obviously, you don't necessarily need to travel within 6 months, you just need to rebook the trip. Can anyone tell me if they like either product? I'm seeking feedback tee if it's preferable to use one over the other. Or perhaps it's better to just only pay the exchange fee D


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## MLR (May 31, 2013)

*Pretty sure this was how it ''USED'' TO WORK - but no longer*



armrecsys said:


> CuriousPoster1234 said:
> 
> 
> > Hi, everyone. I have a question about what RCI members might think of the new option to purchase trading power protection with their exchanges. Just in case someone here doesn't know what this is, I'll give you a brief description. Basically, you pay $49 US for the trading power protection. If you cancel or change your exchange outside of the 24 grace period RCI gives you to change or cancel your exchange without penalty, you get back ALL of the trading power used to confirm that exchange. The reason for canceling or changing doesn't matter, you get your trading power back no matter what. Now, the caveat is that you don't protect your exchange fee with trading power protection. If you want to pay more money to protect BOTH the trading power AND your exchange fee, there's still the option to obtain vacation protection, which costs $89 US. However, when you change or cancel your exchange, the money used for the exchange fee is returned as a credit to your RCI account. You then have 6 months to rebook your exchange. Obviously, you don't necessarily need to travel within 6 months, you just need to rebook the trip. Can anyone tell me if they like either product? I'm seeking feedback tee if it's preferable to use one over the other. Or perhaps it's better to just only pay the exchange fee D
> ...


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## MLR (May 31, 2013)

*check RCI*

http://pgs.rci.com/landing/ptr/vacationprotection/index.html?promo=VANNAENUSPP2RVacaPro

$49 to protect POINTS if you buy right away at booking time. 
$89 if you buy after 30 days and up to two weeks prior to trip. 

hope this helps.


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## armrecsys (May 31, 2013)

*No return on your money*



bellesgirl said:


> I may be wrong, but I think the $49 option is new.  It only insure the TPU not the exchange fee.



You are right I was just one day out of the terms and I did not get my money back.  Ism not I happy, I look for trades a year out , but realize that things may chage so t brought the insurance not under standing that , it i would not get my money back.


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## MLR (May 31, 2013)

*I am sorry you lost your $$ - that's a shame!*

the change in the insurance is a real bummer. They said it was due to so many people REQUESTING the change! HOG WASH! They said people were insuring their trips with trip cancellation insurance. I don't even know how in the world one would calculate the 'value' of a week or two at a time share when everyone's points are worth differing amounts and you use points AND exchange fees. 

If anyone has done this and knows a company that would work with one as far as insuring the value with trip cancellation insurance - PLEASE POST HERE!!  OR share a link or something.

We routinely insure our airfare and health - but used RCI to insure the timeshare.


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## armrecsys (Jun 1, 2013)

*Rci sinks*



MLR said:


> http://pgs.rci.com/landing/ptr/vacationprotection/index.html?promo=VANNAENUSPP2RVacaPro
> 
> $49 to protect POINTS if you buy right away at booking time.
> $89 if you buy after 30 days and up to two weeks prior to trip.
> ...



I think you ate wrong , I think no more insurance on getting your money back. I have been with rci for 27 years . This is the first time I might starting looking at other exchange  companys


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## MLR (Jun 1, 2013)

*Feel the same way :0(*



armrecsys said:


> I think you ate wrong , I think no more insurance on getting your money back. I have been with rci for 27 years . This is the first time I might starting looking at other exchange  companys




There's probably nothing better out there and THEY KNOW IT :0( 

But shame on RCI for not giving people an OPTION to cover their fees at add'l cost, even.


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## armrecsys (Jun 2, 2013)

*No longer making long range plans*

i. Did not see any ins. Offored from rci.
I  wonder if Interval is still have their insurance on trip trips.?


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## MLR (Jun 2, 2013)

*Click on this link for an explanation of what RCI now offers us*



armrecsys said:


> i. Did not see any ins. Offored from rci.
> I  wonder if Interval is still have their insurance on trip trips.?



 Originally Posted by MLR View Post
http://pgs.rci.com/landing/ptr/vacat...NUSPP2RVacaPro


It is 'POINTS PROTECTION' only now - not what was available previously. They weren't losing money on us losing our points - they were losing money on having to 'refund' or 'put our fees back into the system for a future trip' - one they KNEW WE WOULD EVENTUALLY BOOK - meaning they'd lose money on our next trip. This way, they still make the money on the FEES which is where they make their money anyway, as far as I can tell. :annoyed:


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## FlaKmunKy (Jun 7, 2013)

MLR said:


> http://pgs.rci.com/landing/ptr/vacationprotection/index.html?promo=VANNAENUSPP2RVacaPro
> 
> $49 to protect POINTS if you buy right away at booking time.
> $89 if you buy after 30 days and up to two weeks prior to trip.
> ...



You can now buy the $89 trading power protection up to the day of check in so if you cancel you get all your trading power back.  Mind you this does not apply to points accounts.  This applies to weeks accounts on the Tpro buying ability up to the start of the vacation.


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