Partially upheld: Home insurance claim disputes complaint against HDI Global Speciality SE

Decision detail

Summary

Mr and Mrs C claimed on their home insurance policy for damage caused by a fish tank leak in February 2019, affecting walls, flooring, and a sofa. HDI approved repairs to the wall and lounge floor but rejected claims for the fish tank, cabinet, and sofa replacement. The ombudsman found that HDI correctly rejected the fish tank claim as expert evidence showed gradual rather than sudden damage, and correctly rejected full sofa replacement as damage fell below the applicable excesses. However, the ombudsman partially upheld the complaint regarding flooring, finding that the continuous matching flooring throughout the downstairs should be treated as a matching set, and directed HDI to pay 50% of the cost of replacing the undamaged hallway and rear lounge flooring to compensate for loss of match.

The Ombudsman's reasoning

The ombudsman found that the fish tank damage was not covered because neither expert report demonstrated the damage was caused suddenly, which is required for accidental damage cover. The policy excludes gradually operating causes. For the sofa, the ombudsman accepted that two excesses apply when claiming under both buildings and contents sections, and the damage fell below the dual excesses. However, for the flooring, the ombudsman found that Mr and Mrs C clearly intended the downstairs flooring to match and it was continuous throughout, so the loss of match should be compensated. The ombudsman determined that 50% of the cost of replacing the undamaged hallway and rear lounge flooring was fair compensation, as it would be unreasonable to expect full replacement of undamaged areas but fair to compensate for the loss of match.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website