Insurance HELP!

RowB_2

I don't know what to do. I was broken into (while asleep) and had £3000 worth of belongings stolen.

I am insured with TESCO and they sent round a loss adjuster. This man sat in my lounge asking me what I think things are worth off the top of my head. I didn't really give any answers but afterwards received a letter saying that I am 52% inadequately covered and I will only be getting half my claim! I wrote back asking how they had come to this since they only sat in my living room! They wrote back with a break down which is outragous - saying I have £10,000 worth of sports equipment in my garage, which is just untrue!

I just don't know what to do now? :mad:

Has anyone else had this before?

RowB_2

PS - I went round each room and added up my contents and sent them a breakdown showing that I am not inadequately covered - however they are not taking this point!

*MF*

This extract is from the Tesco Home Insurance web site - so check your policy to see if reads the same. The details show how to complain - and ultimately if you cannot get the matter resolved how to contact the Financial Ombudsman.

How to Complain

Should there ever be an occasion when You need to complain, please call Us on Our priority number 0845 300 66 00. If Your complaint relates to a claim, contact Your claims handler whose details will be shown in Your claims documentation.

If You wish to write, then address Your letter as follows:

* Claims related complaints to Customer Relations Department, Tesco Home Insurance, Cote Lane, Pudsey, LS28 5GF.

* All other complaints should be addressed to Customer Relations Department, Tesco Home Insurance, The Wharf, Neville Street, Leeds LS1 4AZ.

If we cannot resolve the differences between us, You may refer Your complaint to the Financial Ombudsman Service (FOS). Their address is: South Quay Plaza 183 Marsh Wall, London E14 9SR, telephone 0845 080 1800.

Extract from here:

http://www.tescofinance.com/personal/finance/insurance/homeins/policy-doc.html

Hope this helps - even if it just confirms what you may already know. The only other thing I can suggest is to take photos of each room - to supplement the list you have already sent - and challenge them to show how they established their values.

Don't understand the sports equipment - seems strange

dunstonh

sports equipment is often classed as a high risk item and most insurance policies have a much lower limit on the amount allocated to higher risk items (compared to the sum assured).

So, if you had £20,000 of high risk items in your home but the insurance covered £10,000 then your claim would be reduced by 50% as you were underinsured.

RowB_2

Thanks for the replies.

I have two bikes which are insured on top of my contents so it seems they have not even looked at my policy. I don't own £10,000 worth of equipment - it is just ridicilous.

They also added the sum I am claiming on top of everything which is just way over what I actually own.

I am just so fustrated in how they have gone about this, and how they have broken down what I own (or don't own in this case) in each room when they just sat in my living room!

dunstonh

Rather than jumping straight to complaint, have you considered discussing this with them as it could be a simple misunderstanding or clerical error that is easily resolved?

RowB_2

Oh yes we have tried that! They don't want to know. We are going down the complaints route and taking them to the Ombudsman. Anything to get our money back. We have since found out that loss adjustors are paid commission to try and make you think you own more than you do - now is that not unlawful!?

Watchdog may also be interested as I have found out TESCO have been covered on the programme before.

*MF*

Thought you might be interested in this piece from the Ombudsman about how they view this type of dispute:

However, assessing the correct amount is not an exact science and it is evident from our caseload that many policyholders find it a genuinely difficult assessment to make. Even where they have made a full and honest attempt to value all their household contents, they may be under-insured. We therefore take a sympathetic line where more detailed scrutiny by a loss adjuster suggests the sum insured may be somewhat short of the true replacement cost.

From here:
http://www.financial-ombudsman.org.uk/publications/ombudsman-news/4/exceeding-the-sum.htm

RowB_2

Yes I have seen this, however £10,000 worth of none existence sports equipment is just untrue! The loss adjustor has said we are 51% under insured, which is just incorrect. I will be taking this further - especially with the Ombudsman.

Has anyone had any experience with a loss assessor?