AXA home insurance flood claim

Tilly_O

Our house was flooded by a burst pipe at Christmas and we are still in hotel accommodation. This is the only alternative we have been provided with. After almost five months we'd like to get our lives back but the person in charge - loss adjuster - is avoiding questions about timescale. I feel that I no longer have any control over my life or my home.

A recent electrical inspection has highlighted that some of the wiring in the house is old and needs replacing. We challenged that this wiring was affected by the torrent of water which flooded the property and from four months of damp and mould as sufficient driers were not provided. We have been told that we have to pay for this rewiring - to the tune of £3-4,000. The surveyor appointed by the loss adjuster is stating that we will have to pay his firm a 10% management fee on top of this. I'm not sure where to get some advice. Please help.

Tilly O

huckster

Speak to Axa Insurance about this, so they can make enquiries on your behalf. If they have to replace the wiring due to the flooding, they can't just turn around and expect you to pay just because it is old wiring. The wiring was not the cause of the claim.

Also this 10% charge they are trying to make would form part of the claims costs to Axa, unless you employed this loss assessor.

If AXA are unhelpful stamp your feet in a nice way and make a complaint to a claims manager. If you kick up a fuss, they should try to help you. If they don't pick up the phone to the FOS and ask them to intervene on your behalf. The FOS are increasingly becoming happy to intervene at an earlier stage to hopefully avoid them getting the complaint later on down the line.

Tilly_O

Thanks for your helpful response. I did copy my correspondence to the claims handler about this but he did not respond and has taken a very hands off approach so far.

I received an email from the loss adjuster today stating that works are progressing at the property and that if we decide to undertake additional electrical works (those that they said we need to pay for) then we would be liable for replastering to make good what had been plastered despite them stating that electrical work needed to be undertaken. Also said this electrical work could delay completion of the contract and that the insurers would not be liable for any additional alternative accommodation costs due to such a delay. I'm not sure what is meant by completion of the contract as no timings were given so how will they know if it is delayed?

huckster

Keep phoning the Insurers claims dept, until someone pulls their finger out and starts to obtain the info they need to answer your questions.

I suspect that the electrics were not damaged due to the flooding, but Insurers are insisting they need to be replaced due to building regulations. That is that they cannot by law do the work, unless the electrics are changed. As for the fee, I cannot see why this is down to you, unless it relates to them supervising the electrical work that is not related to the claimed damage.

educatingmyself

huckster wrote: »

Keep phoning the Insurers claims dept, until someone pulls their finger out and starts to obtain the info they need to answer your questions.

I suspect that the electrics were not damaged due to the flooding, but Insurers are insisting they need to be replaced due to building regulations. That is that they cannot by law do the work, unless the electrics are changed. As for the fee, I cannot see why this is down to you, unless it relates to them supervising the electrical work that is not related to the claimed damage.

Hello Huckster

Does that mean that if the damage is a knock on effect of the flooding, whether in the form of wiring that needs updating to be in line with modern regs, or actual damage, it should still be covered in the claim?

EM

magpiecottage

I have not personally come across this particular situation.

Strictly speaking, putting in new wiring is "betterment" - i.e. it leaves the policyholder better off than they were before the claim (excluding excesses etc.)

However, if the betterment is unavoidable I think the view of FOS would be that the insurer should meet the additional cost.

Remember, the loss adjuster is the agent of the insurer. Make the insurer aware of what he is saying and also that the surveyor he has appointed on the insurer's behalf is attempting to charge you a fee.

Tell them you are "dissatisfied" with their loss adjuster.

huckster

magpiecottage wrote: »

I have not personally come across this particular situation.

Strictly speaking, putting in new wiring is "betterment" - i.e. it leaves the policyholder better off than they were before the claim (excluding excesses etc.)

However, if the betterment is unavoidable I think the view of FOS would be that the insurer should meet the additional cost.

Remember, the loss adjuster is the agent of the insurer. Make the insurer aware of what he is saying and also that the surveyor he has appointed on the insurer's behalf is attempting to charge you a fee.

Tell them you are "dissatisfied" with their loss adjuster.

Yes I agree with this. I have heard of Insurers requiring that the policyholder carries out essential works, before they arrange for the reinstatement works. To be honest these situations usually end up in an argument, I am not sure of the exact stance of the FOS. I suspect that the FOS would ask the Insurers to make a contribution, but not for the whole re-wiring of the house.

Check with the Insurers as has been suggested and if you don't get anywhere, see if the FOS will intervene. Sometimes the FOS are willing to contact the Insurers to try to resolve, rather than deal with a complaint down the line.

huckster

educatingmyself wrote: »

Hello Huckster

Does that mean that if the damage is a knock on effect of the flooding, whether in the form of wiring that needs updating to be in line with modern regs, or actual damage, it should still be covered in the claim?

EM

I am not an expert on building regs, but I understand if the electrics are very old, a request can be made for re-wiring to take place, before works are done. I guess it would depend on the extent to which the flooding affected the electrics, as to whether Insurers would pay for all re-wiring. I don't think it would be unreasonable for the policyholder to pay a contributuon for parts not affected by the flooding.

educatingmyself

huckster wrote: »

I am not an expert on building regs, but I understand if the electrics are very old, a request can be made for re-wiring to take place, before works are done. I guess it would depend on the extent to which the flooding affected the electrics, as to whether Insurers would pay for all re-wiring. I don't think it would be unreasonable for the policyholder to pay a contributuon for parts not affected by the flooding.

Hello Huckster

I had to pay for the rewiring of my kitchen after flood damage because it did not come up to current regs, I agreed, what else could I do, it was ceiling lights and under cupboard lights in the kitchen. The insurance company said they wiring didn't get wet and they wouldn't pay, neither would they pay for the replastering of the ceiling, even though they had to refit the whole kitchen. Also, they would only pay for the retiling between the wall units and base units, even though the whole kitchen was tiled floor to ceiling!

Anyway, mistakes were made and the kitchen had to be removed and refitted, and the new electrics did not come up to regs either and needed redoing again, the insurance co did not wish to pay, but equally the assessor should have been managing the job, which he wasn't and I am yet to find out who will be paying? What do you think?

I have much bigger issues with this claim, but I think a new thread is needed to address that, but this point is relevant here and I wondered if you would know if I have cause to refuse to pay?

Many thanks.

EM