Cash Settlement is a joke!!

liseylou

I've recently put a claim in for buildings insurance following a water leak from my ensuite shower.


The assessor came out and agreed that we could make a claim and offered a few alternatives:

• Cash settlement
• Appoint their contractors (to put the room as it was)
• Appoint our own contractors (pay for any extras if required)

So we have asked how much the cash settlement would be and obtained a few estimates, which have averaged at c£2,370.

To our surprise, the cash settlement came through at just £720 less our £100 excess - what a joke!!!

To add insult to injury, they will only replace the damaged tiles, which may not match what we have already, because apparently we opted not to take 'matching items cover'. So the replacement tiles will not be an identical match to the existing tiles. Also, if we use their contractors, they will ONLY replace the damaged items, so we cannot even pay extra to have the entire room tiled with matching tiles - which is stupid IMO.

I have just put in a complaint to the insurer, as I feel that I have been mis-advised/mis-sold insurance. More to the fact that this was not explained to me correctly. In the policy document it specifies 'matching items' to be things such as three piece suites, fixed sanitary suites etc. But you would not expect that to include bathroom tiles surely!!! Especially as it would have only cost an additional £19 AND we opted to take additional 'accidental damage cover to services, fixed glass and sanitary fixings'.

Any suggestions on how to proceed with the complaint once they have finished their investigations, would be most welcome.

InsideInsurance

The £2,370 quotes you've had, is that for full retiling and supply of the tiles or a like for like of just that patch?

Matching Set cover is very rare on standard policies these days and does indeed cover things like kitchen cupboards, tiles, carpets, wallpaper etc. Do you actually know that these tiles are no longer made before you get too worked up?

Historically the FOS has ruled that despite the non-matching clause the insurers should contribute 50% of the cost of replacing the other matching items. Technically FOS decisions are not binding on themselves but they do tend to follow a trend.

Before complaining it'd be worth getting a like for like costing so you can better establish the reasonableness of the £720 offer. Its not worth mentioning the excess as that is an irrelvancy

liseylou

Thanks II, the estimates are like for like - the additional cost to retile the entire bathroom is c£1100.

I will do some investigations around the tiles and see what I can find. Although the guy that built the extention (the previous owner) had a habit of getting things on the cheap that included discontinued items, so we have just assumed that this will be the case thus far.

cajef

liseylou wrote: »

To add insult to injury, they will only replace the damaged tiles.

Slightly different scenario, if I wanted my bathroom re-tiled would it be alright to break a few tiles and claim on the insurance and have all the bathroom tiled?

Insurance covers the accidental damage not a complete new bathroom.

liseylou

Not sure if I could do that - conscience would get the better of me

nobbysn*ts

cajef wrote: »

Slightly different scenario, I want my bathroom re-tiled I will break a few tiles and claim on the insurance and have a new bathroom.

Insurance covers the accidental damage not a complete new bathroom.

What an idiotic thing to write! So you want to commit insurance fraud? That's down to you, but no way compares to the op who doesn't. You no doubt would be happy if you burn a hole in your carpet, and they come along and just cut the square out, then replaced it with a different colour. Still carpet so it's ok? The insurer has to repair the damage to the quality it was before, and that wasn't a mismatch of odd tiles! If not refer if to the ombudsman.

FlameCloud

nobbysn*ts wrote: »

What an idiotic thing to write! So you want to commit insurance fraud? That's down to you, but no way compares to the op who doesn't. You no doubt would be happy if you burn a hole in your carpet, and they come along and just cut the square out, then replaced it with a different colour. Still carpet so it's ok? The insurer has to repair the damage to the quality it was before, and that wasn't a mismatch of odd tiles! If not refer if to the ombudsman.

I suspect there was a hint of sarcasm.

The policy will likely only cover the damaged tiles, not others, as you can replace one without the undamaged ones (assuming they are not an odd size).

As others have said, you can ask to make a formal complaint and refer it to the FOS if you are unhappy. The decision to award 50% was made over 10 years ago though an I have seen others ranging from a zero contibution to a full one, even without a matching items clause.

InsideInsurance

nobbysn*ts wrote: »

What an idiotic thing to write! So you want to commit insurance fraud? That's down to you, but no way compares to the op who doesn't. You no doubt would be happy if you burn a hole in your carpet, and they come along and just cut the square out, then replaced it with a different colour. Still carpet so it's ok? The insurer has to repair the damage to the quality it was before, and that wasn't a mismatch of odd tiles! If not refer if to the ombudsman.

It was pointing out the flaw in the OPs thinking/ the fraud hole that it'd create.

In your scenario however if you had the same carpet running throughout the house the insurers would only replace the carpet in that one room and not the whole house's

Lec123_2

The insurer's contractors will be working at a much cheaper rate, hence they will be dragging their heels at any suggestion of paying out much more in cash than it would cost them to have their own contractor do the work. In regards to the tiles the matching items cover is exactly what you wanted, and what it appears you thought you had. I'd imagine they'll just refer you to the policy documents in terms of wording.

Keep badgering them in regards to the settlement, sure they'll budge in the end. Good luck with it.