Insurance Claim - Help!

Pete_B1

My first ever post, so will try and get to the point and keep it short!!

I have a claim in for a platinum diamond engagement ring!! Which my wife lost! She is still with me! Just!

The offer from the insurance company has just landed on my door and is quite frankly a joke. The ring was £2700 and they have offered just a fraction at £1800.

They are also suggesting that I need to go to a well known national high street jeweller to spend the £1800 via a gift card they have sent. I dont want to do this and want to return to the independant bespoke jeweller I used in the 1st place, as they are bespoke, better quality and have much better prices. I cannot replace the lost ring with one of a similar quality for the value they are offering via the high st chain.

I will 100% be qustioning the value they are offering but the main questions of the post are :
Can they force me to use a specific jeweller?
Is there any law that protects me in this instant?
Can I insist on a cash settlement?

Thanks in advance

theJudge

The financial ombudsman has previously said the following about your dilemma. So, in the 1st instance you could try writing/emailing the insurer pointing out the information below. Unfortunately, if your insurer disagrees, you then need to approach the FOS which is a very long winded and often unproductive method of redress.

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/10/oct-repair-replace-cash.htm

"Opting for "replacement" is only a reasonable option on the insurer’s part if the object claimed for can be replaced. If the object is antique jewellery, for example, then it is not open to the insurer to insist the claimant buys a modern replacement from a chain shop. Similar issues arise whenever the replacement options are limited. It may, for example, be unreasonable to limit a policyholder’s choice of replacement to a particular retailer.

Policyholders should be allowed to choose where they purchase a replacement and they are entitled to a cash settlement if they cannot find an acceptable alternative. In such circumstances, we would not regard it as reasonable for the insurer to make a deduction from the cash settlement to represent any discount it would have got if the policyholder had bought a replacement from one of the insurer’s nominated suppliers. Nor would it necessarily be appropriate for the insurer to offer vouchers to the policyholder. If the option of replacement is not available, then the only way in which the insurer can indemnify a claimant is by a cash settlement."

Pete_B1

Thanks, this gives me ammunition for my response!

dacouch

Pete, make sure you read and understand the link properly before firing off at the loss adjuster / insurer

alistair.long

If you have another ring in mind and is the same or similar price then you can request the insurance pay the money straight to the bespoke jeweler, or if it is greater you can inform them and then in theory you can get a new ring and the insurance will pay some and you pay the rest, or if you convince them they may pay the whole amount.