Travel insurer refused to pay out for 20mths now accept the claim, can I claim extra?

Shazbatty

Sorry for the long post but please read as I need advice:

We declared pre existing conditions and paid extra required by insurers, other half then had problems whilst in Dom Rep, ambulance insisted on credit card payment, as did hotel doctor and private hospital insisted on me signing 2 blank credit card slips then admitted him to intensive care unit for 24 hours as a precaution! In case he was having a heart attack - he was fine and we moved him to another hospital next day at insurers request (more paramedics/ambulance) and it transpired he had an infection and was discharged. I paid out about £5000 on credit card, plus interest.

The insurers refused to pay out saying his condition was linked to a none declared pre existing condition (which it wasn't) it has taken me 20 months of writing to them, including letters from his GP and hospital Consultants proving his complaint was not pre existing and only when I brought in Financial Ombudsman did the insurers tell the FO that they had reviewed the case and decided to uphold our claim, and that they had written to us 16th May (we have not received any letter yet) but my question is:

Because we were forced to use credit cards to pay for the treatment and hospital stays etc - my credit card interest was costing me so much, can I claim additional costs from insurer to compensate for credit card charges?

All responses gratefully received.

Sharon

vaio

I think as the claim was wrongly denied then all accrued interest charges from the date it should have been paid originally would count as consequential costs and be recoverable subject as always to the duty to mitigate.

Dragging it out for almost 2 years should also warrant some payment for hassle etc

InsideInsurance

If the complaint went to the FOS then they will decide on the appropriate compensation and they will factor in interest etc if you outlined it in the desired action box on the complaint form

Shazbatty

InsideInsurance wrote: »

If the complaint went to the FOS then they will decide on the appropriate compensation and they will factor in interest etc if you outlined it in the desired action box on the complaint form

The insurer told the FOS that they wrote to me on 16th May (which they haven't) to say they have agreed to pay the original claim. Therefore the ombudsman will close the case without making an adjudication. I will need to negotiate with insurers for compensation myself.

Arrrgghhh - more hassle

Cheers

Sharon

Voyager2002

Shazbatty wrote: »

The insurer told the FOS that they wrote to me on 16th May (which they haven't) to say they have agreed to pay the original claim. Therefore the ombudsman will close the case without making an adjudication. I will need to negotiate with insurers for compensation myself.

Arrrgghhh - more hassle

Cheers

Sharon

I suggest you get in touch with your contact person at the FOS and let them know what is going on. The fact that the insurers did not write to you on 16 May would seem to be a very good reason for keeping the file open.

rpc

I would do as above and write a very simple letter to the ombusdman saying

1 - you have received no communication from the insurer
2 - due to the unreasonable time delay, additional costs have been unavoidably incurred over and above the amount of the original claim. You consider that these costs form part of your complaint against the insurer.

Shazbatty

Thanks it's been four days since the insurers are supposed to have resent the letter of 16 May saying they were wrong and will now pay the claim so I intend to take your good advice and write to ombudsman adjudicator and ask for her assistance in dealing with insurer and extra claims

Sharon

Shazbatty

I won and the insurers paid an extra £800 in credit card fees ;-)

vaio

good, and thanks for letting us know the result