We were burgled - claiming

stardoman

We came back from holiday last Monday to find that we were burgled while we were away. The burgler has taken credit cards (and pins); jewellery and a small amount of cash. No electrical goods were taken.

I have contacted my insurance company and they sent someone out to see me on Friday. She is going to put a cheque in the post to cover the cost of having the damage fixed and the cash. However, for the jewellery, she is going to contact a jewellers, partly to put up to date values on things taken. From what she said, I will be expected to visit the jewellers to replace the items.

The missing jewellery consists of my engagement and wedding rings, a bracelet inherited from my gran and a expensive pair of earrings my husband bought me when we were on holiday. The thing is, all the jewellery is sentimental and reminds me of a particular occasion (I'm not really a jewellry person). If I go to a shop and pick items, these items are not going to remind me of the occasion, they are going to remind me of the burglery. I really don't want that and can see that I would not wear the items. Do I have to take the insurance company's replacements or can I request the money instead?

Thanks, Mandy.

jonesMUFCforever

First of all it strikes me like someone you knew - going to all the trouble of breaking in (knowing you were away) and getting hold of cards and Pins but no electrical goods.

As for the jewellery claim you will need to read the terms and conditions of the policy to see if you can get cash.

IMO if you do so they will pay less than if you accept vouchers.

Oscar_The_Grouch

Hi there

Sorry to hear of your trouble.

Most insurance policies give the insurance company the option of deciding how best to settle the claim. With jewellery, there is a HUGE mark up from trade cost to retail. Insurers tend to pay trade plus, at most, a 25% fee. This equates to no more than 2/3 of the retail cost.

A ring that you purchase from a jeweller in the high street for £3,000 would probably only cost the insurer about £1,900, at most, to replace. If your insurer agrees to give you the cash instead of the replacement items, you only ever be entitled to the £1,900.

I hate to be the bearer of bad news, but I would rather you were aware that you will get an awful lot less from the insurer than the original cost of the jewellery if you decide not to replace the items.

One other thing to think about; did you leave ANY of your keys at home and are they all still there? If you are in any doubt, speak to your insurers and ask them to replace your locks.

silvercar

The financial ombudsman has ruled on exactly these sorts of cases:

"Opting for ‘replacement’ is only a reasonable option on the insurer’s part if the object claimed for can be replaced. If the object is antique jewellery, for example, then it is not open to the insurer to insist the claimant buys a modern replacement from a chain shop. Similar issues arise whenever the replacement options are limited. It may, for example, be unreasonable to limit a policyholder’s choice of replacement to a particular retailer.

Policyholders should be allowed to choose where they purchase a replacement and they are entitled to a cash settlement if they cannot find an acceptable alternative. In such circumstances, we would not regard it as reasonable for the insurer to make a deduction from the cash settlement to represent any discount it would have got if the policyholder had bought a replacement from one of the insurer’s nominated suppliers. Nor would it necessarily be appropriate for the insurer to offer vouchers to the policyholder. If the option of replacement is not available, then the only way in which the insurer can indemnify a claimant is by a cash settlement. "

See here for their website:
http://www.financial-ombudsman.org.uk/publications/ombudsman-news/10/oct-repair-replace-cash.htm

Once the insurer realises you know your entitlement, they should be easier to deal with!

Clive_Woody

Please don't take this the wrong way, but your insurance company may well ask why you left your wedding and engagement rings at home when you went on holiday.

Were the PIN numbers for the credit cards stored with the cards? The insurer may well refuse to pay the claim if they were. I believe you are instructed to destroy PIN number notifications once you have memorised them. Also they may ask why you left your credit cards at home when you went on holiday.

It's best to have your answers prepared to these questions in case they are asked.

Oscar_The_Grouch

Disagree with you, Silvercar.

Where the option to replace is viable, the FOS does not stand in the way of discounts.

The article you are quoting was from 2001, so is probably too old to be relied upon.

stardoman

Firstly, sorry for not coming back to this thread to thank you for your replies. I forgot that I had posted the message.

To Clive - there was no need to prepare answers, as I there were reasons why the cards and my jewellery were left at home :-) The cards we had been using for the 0%. We did not spend on them, just used the balance transfer feature. And sadly, after my third baby was born 3 years ago I could not get the rings to fit anymore. No point taking rings on holiday that didn't fit.

All the credit card money and charges have been refunded.

As for the jewellery, I have been told a value verbally that she will give me if I accept vouchers. She is not prepared to confirm this figure in writing. She has put in writing a cash settlement figure. This figure is 25% below the voucher amount. I recorded the phone call.

Not sure where to take this really. The figure she has offered is £800 less than the value I was expecting. Which in turn is £800 less that the voucher figure. I do not want vouchers which would be for the Goldsmith chain. My wedding ring was made to order and matched my husband's ring - I can't buy this in Goldsmiths. Also, my grandad's fob watch can't be bought in Goldsmith's either.

She has made it sound as though there is no room for maneouvre other than to receive some in cash and some in vouchers. Not sure where to take this.

Mandy.

Truegrit_2

Have a word with Insco or Assessaw they'll put you on the right track, they are qualified adjusters and assessors and they are also FSA regulated

FlameCloud

Truegrit wrote: »

Have a word with Insco or Assessaw they'll put you on the right track, they are qualified adjusters

They are? This obviously makes them right!

Assess_Saw

I suggest you start from the top do a list which includes each item and present your claim at the present day value back this up with any original valuations , photos and a present day quote to replace from a jeweller of your choice.
Whatever the amount totals that is your claim if the insurer elects to replace they must replace each item exactly if they cannot do this they should pay the full cash value as you have paid premium on this amount.
Do not be fobbed off with vouchers or inferior replacements the whole point of insurance is to put you into the same position you were in before the loss either physically or financially
Insurance companies have got away with this up to a third discount on jewellery items for far too long
i was in tesco today and when the check out girl asked for £ 100 for my purchases isaid i work in insurance can i have 33.3 % off next thing men with white coats were carrying me out

Oscar_The_Grouch

stardoman wrote: »

As for the jewellery, I have been told a value verbally that she will give me if I accept vouchers. She is not prepared to confirm this figure in writing. She has put in writing a cash settlement figure. This figure is 25% below the voucher amount. I recorded the phone call.

Not sure where to take this really. The figure she has offered is £800 less than the value I was expecting. Which in turn is £800 less that the voucher figure. I do not want vouchers which would be for the Goldsmith chain. My wedding ring was made to order and matched my husband's ring - I can't buy this in Goldsmiths. Also, my grandad's fob watch can't be bought in Goldsmith's either.

Hi again. Good to hear back from you about the current state of play. Sorry it's not going great guns for you.

If your insurers cannot replace the items, then it is wrong for them to insist on either the vouchers or discounted price.

Having said that, there are specialist jewellery & Watch consultants that will arrange for the manufacture of unique items, as well as source antique jewllery replacements. These firms give insurers discounts (or charge at cost plus a percentage). The replacement of your wedding rings should not present a problem to these firms, but the fob watch is another matter.

I do think there is room for negotiation here. I agree with you that it would be difficult for the insurer to replace the fob watch and think you should challenge them with this; ask them for photos of what they intend to replace the watch with and see what they come up with. I'd focus on that part of your claim first and once they have satisfied you on that score, move on to the rest of the jewellery.