Jewellery Insurance clam

Oldmoondog

I am currently in the midst of claiming from Churchill Insurance for a lost wedding ring which was an unusual design and made by a local jeweller. The Insurance Co are saying I need to get it remade using the GEM CARD process which lists jewellers who takes the card. The loss assessors LGM have said they will issue me a card to the value of the lost ring but I am forced into using an unknown jeweller some distance away. IF I decide not to do that they will only offer me 50% of the estimated price of the ring!! The policy booklet clearly states that they will only pay for replacement using one of their own outlets. Not sure if I have to accept this?
Regards
Oldmoondog

Blibble

How have they arrived at the value of the gem card? Is there a certain item / catalogue reference it's been valued against, or is this the price to custom make a like-for-like replacement?

Bath_cube

I have heard that one off designs or antique jewellery is a different claims process. Your insurer can't insist on you replacing with a modern equivalent.

paddyandstumpy

Will your local jeweller not accept the Gemcard?
Is the value they are offering sufficient to replace the bespoke ring?

If it's in their wording they will only offer replacement through their own network, and that isn't good enough for you, dare I ask why you took out the policy?

FutureGirl

It sounds as if they've offered you a Signet card (HSamel, Ernest Jones), rather than a gem card. They get 50% discount on the signet cards you see.

I'm, sure if it was a gem card and you were offered cash instead, it'd only be around 25% reduction.

The policy booklet is essentially the terms and conditions of your contract with them. By paying your premiums you've accepted those terms and conditions. From experience, even if you go to the FOS on this, they'll side with the insurer. You will also find this is an industry wide standard.

However, please bare in mind that the onus is on you to prove the value of your claim. So the valuation they give will depend on the proof you provide. No paperwork = lower valuation, as they can't really value 100% just from photos.

silvercar

The ombudsman has ruled on this:

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/92/92-insurance-claims.html

Important bit:

If, for example, the item concerned is jewellery that is antique or specially-commissioned, then we are likely to conclude that it would be unfair for the insurer to insist on the policyholder buying a modern substitute from a major high-street retailer. In such cases, we usually conclude that policyholders should be allowed to choose where they purchase a replacement and are entitled to a cash settlement (without the deduction of any discount) if they are unable to find an acceptable replacement.

[Deleted User]

silvercar wrote: »

The ombudsman has ruled on this:

http://www.financial-ombudsman.org.uk/publications/ombudsman-news/92/92-insurance-claims.html

Important bit:

Seems fair enough to me.