Hassle with LV Household claims

WombleSW20_2

Hi everyone

I wonder if anyone could help me with the following disputes I'm having with LV on a household claim.

While on holiday our house was burgled and jewellery stolen. I had 2 items specifically named within the policy (as these were over the £1500 individual item limit) and valued them at the price I purchased them at.

When LV's jeweller valued one of the rings, they came up with a valuation that was about 1/3 higher than the valuation I estimated on taking out the policy. LV have stated that they are only willing to pay the valuation I gave them. They have argued that it is my responsibility to maintain the correct valuation of the items and the policy will only pay a maximum amount based on the value that I originally gave them.

My issue is that I gave them a valuation to the best of my knowledge and in good faith and it's not reasonable to revalue items annually. The ring in questions was made of gold and the price of gold has fluctuated significantly since the ring was purchased. I have checked what FOS has to say on the matter but there's no precident on jewellery. There are however examples of cases where policholders estimated the valuation of a car and were paid the market valuation despite there being a difference between the 2 stimated value and the market value.

Has anyone had any similar experiences here? Any suggestions?

My other issue is that LV have offered vouchers in Goldsmiths which is just not acceptable to my wife. The jewellery stolen was originally purchased at upmarket independent jewellers and my wife wants to go back to the original jewellers to replace the items therefore we want a cash settlement.

What are my rights here?

thanks

vaio

you can try a complaint about the valuation and refer to FOS if you are still not happy as you have nothing to loose.

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/10/oct-repair-replace-cash.htm pretty much covers the vouchers/retailers problem

WombleSW20_2

Thanks for this.

Would still welcome any personal experiences from anyone who have challenged the insurer and succeeded - especially on the valuation issue.......

dacouch

How long have the items been on your LV policy ?

What is the difference between the current value and the amount you insured them for ?

WombleSW20_2

Hi

We've had the policy for just over 2 years.

I paid £2700 for the ring and quoted this as it's value in the policy. The jeweller associated to LV came up with a valuation of £4000.

vaio

How long have you had the ring? Have you contacted the selling jeweller for a replacement cost or up to date valuation?

WombleSW20_2

I bought the ring 10 years ago. I haven't approached the jeweller as the increased invaluation came as a bit of a (pleasant) surprise.

What irritates me is that if the ring had devalued over this period (which is could have easily), the insurers would have only paid the valuation amount. Surely they can't have it both ways?

Quentin

The issue is that expensive items valued over a certain figure are treated separately, and listed (together with their value).

Your listed item's value wasn't correctly stated (thus you weren't charged the correct premium, and the insurer may possibly have wanted to add endorsements regarding the security of the item etc)

WombleSW20_2

Fair point. But the valuation I gave was to the best of my knowledge and in good faith. If this was a car insurance valuation, FOS would find in favour of the policyholder as the policyholder is not expected the know the exact value. Jewellery is even harder to value as the price of gold has fluctuated so much over recent years.

Quentin

WombleSW20 wrote: »

If this was a car insurance valuation, FOS would find in favour of the policyholder ......

You aren't comparing like with like.

Your issue is over their optional valuables insurance.

All covered by their policy:

Valuables


In the event of a claim for any valuable shown on your schedule, you will need to provide proof of its value and ownership of that item.
This evidence must be in the form of a professional valuation or purchase receipt. Failure to provide this evidence could affect the outcome of the claim.

FlameCloud

Quentin is right- in specifying an item in essence you pay a set premium to increase the single article limit to the one you choose. If you havent increased it enough then the insurers will not pay over that limit.