Home Insurance Loss

pentopg

Hi,


After some advice, basically I have/had my house insurance with Legal & General. I attempted to claim against my policy with them but was turned down due to the issue being with wear and tear (the issue was water coming in around the chimney, surveyor explained it was due to cracks in the render). Legal & General note the "Date of loss" as 12th of January 2014, with a description of "Storm Damage" (These were taken from my words when I registered the claim, as I didn't see the water coming in there when I went and got the Christmas decorations down, so was an answer to their question as to why I thought there was a problem).


This is complicated further by the fact that my house insurance was due for renewal on the 5th of February 2014. After my attempted claim not getting registered correctly with the surveyor, the surveyor came out on the 4th of February 2014. So I turned down my automatic renewal on the 4th as they are always much higher, plus starting new policies allows a customer to take advantage of cash back services (another part of the puzzle when buying anything). Running comparison searches, brought Legal and General back again as the cheapest (with cash back), so I cancelled my policy listed above, and started a new policy.


As I wanted to confirm everything was alright with the new policy, and ensure I was insured, no technicalities which could be used to turn down future claims I rang to confirm everything was correct. At which point I was told that the claim against the old policy was a "Loss" and that I would have to pay a further £84. I expressed to the gentleman on the phone with Legal & General I wasn't happy with this, as it is general maintenance so how can it be classed as a "Loss". I was told that it was noted on my file, but it wasn't going to be changed and that I need to pay the £84. I rang again tonight and got it put down as an official complaint that I don't accept this as a Loss (8 weeks to investigate, although told someone will ring me back tomorrow so I can understand what Loss is). I was also advised by Legal and General I would have to declare this as a Loss with other insurances firms otherwise those policies would also be void (I believe they use a shared database for such things, which I don't have a problem with, but bigger question around how they can define these things).


So I would like to know is what I have been told correct ? What is Loss ? Can/do insurance companies class wear and tear, or general maintenance (having to re rendering a chimney) as Loss ? If this is the case what else would have to be declared ? As for the comparison website I used, it asked for "Claims or losses in last five years", when I ran my search I wasn't sure about my failed claim, so I put "Yes" initially, but when I did that it wouldn't let me complete as it wanted an amount claimed, not accepting "£0". So is this another issue ...


Either way, I haven't found an explanation which is satisfactory, and I fear many people, including myself could be being diddled by Loss. I have never claimed on my insurance before, and friends etc I have spoken to haven't heard of such a thing (not that they have claimed) so hopefully this post will help myself and others when someone knowledgably replies. With that said, many thanks in advance to you .....

Quentin

Yes you have been correctly informed.

A dictionary will define "loss". You have experienced a loss (the cost of repairing the damage)

When you apply for insurance, the insurer wants to know all about any claims or losses (even if you don't claim for the loss) you have experienced.

When you attempted to claim for your loss it will have been entered on your record and put on a database for other insurers to know about.

pentopg

thefreedictionary

7. The amount of a claim on an insurer by an insured

I understand the above to define in my case, loss as zero. As my claim amounted to zero. My claim was rejected on the grounds of wear and tear. If loss can be zero, which includes wear and tear, then any and all wear and tear must be declared otherwise insurance policies would be void ? So if I was a betting man I would bet most policies would be void as non declared wear and tear.

Another way to look at this, from my perspctive is, if you attempt to claim on your house insurance your premiums will leap up. Regardless of your claim being a success or failure. So always pay a builder to check it over first as would be cheaper than 84 quid ... Or perhaps there is someone out there selling insurance against insurance loss mmm ... This just doesnt sit right somehow.

Quentin

You made a claim for the loss you suffered.

Despite the claim being rejected you still suffered a loss which you reported to your insurer.

That loss has been recorded on your history and you do need to disclose it to new insurers when getting quotes.

Don't report losses to your insurer unless you know they are covered by your policy.

Maintenance issues are rarely covered by a standard policy.