Jewellery Insurance Gift Card nonsense

jetpackjack

Hi Everyone,

I've been a lurker for many years but felt I needed to register and post this query/question to see what your thoughts are.

I lost my wedding ring about a month ago, I called my insurer as I'm able to claim on house insurance. After an arduous few weeks I was told the ring was worth £1k and that I'd receive a gift card to use at H.Samuel or Ernest Jones which sounded ok at the time.

I bought the original ring from Beaverbrooks and after spending some time on-line and in the physical shops the card was valid for it was clear I wasn't going to find anything that was remotely like the one I had - I'm no snob but they're a different class of jewellers.

I called my insurer this morning and was told that if I wanted cash then it would be at a 40% reduction i.e. £600. This is unacceptable to me and I told the representative that I wasn't happy. She has now told me someone else will call me back.

Where do I stand on this? I was told initially that my ring was worth £1k so I'm no puzzled as to why I would only get £600. Is it worth contacting an ombudsmen?

Any advice would be greatly appreciated.

dunstonh

Take a read of the ombudsman position and some real case outcomes
http://www.financial-ombudsman.org.uk/publications/ombudsman-news/92/92-insurance-claims.html

92/4 is close match on why they discount. However, vouchers indicate that no specific insurer discount has applies as that has the same value as cash that anyone in the street gets.

InsideInsurance

92/4 confirms an insurer can discount for a supplier discount if the terms state it and the reason for rejecting is the fact that you simply dont want new items because of sentimentality reasons.

92/1 however says that because the insurers preferred supplier was unable to provide a suitable replacement that a discount was not appropriate on a cash settlement.


You have to argue over the ability of their supplier to provide a suitable replacement. I'd also challenge 40% discount as certainly in my day 30% was what was received and that was from one of the largest insurers.

jetpackjack

Thanks guys, it doesn't look particularly promising then.

InsideInsurance

jetpackjack wrote: »

Thanks guys, it doesn't look particularly promising then.

You'd have a better chance if yours had been from Tiffany or De Beers and they were trying to pass you off to H Samuels but ultimately the principle is the same, if they are unable to supply a suitable replacement compared to what you had then they cannot reduce the settlement.