Upheld: Service failures generally complaint against DAVIES MGA SERVICES LIMITED
Financial Ombudsman decision DRN-5330102 of 2025-03-06T00:00:00+00:00. Service failures generally complaint against DAVIES MGA SERVICES LIMITED. Outcome: Upheld.
Decision detail
| Reference | DRN-5330102 |
|---|---|
| Decision date | 2025-03-06T00:00:00+00:00 |
| Firm | DAVIES MGA SERVICES LIMITED |
| Product | Other regulated product |
| Claim type | Service failures generally |
| Outcome | Upheld |
| Remedy | Davies MGA Service Limited required to pay: (1) £231 for costs incurred; (2) Interest at 8% simple per annum on each individual cost from date incurred until payment; (3) £150 compensation for inconvenience caused. |
Summary
Mr G complained about Davies MGA Service Limited regarding a faulty black box device fitted to his car under his insurance policy. The device caused his car battery to drain, resulting in three failed starts and £231 in costs for roadside assistance, a new battery, and auto-electrician fees. Davies initially disputed liability based on the auto-electrician's suspicion rather than definitive conclusion, but later obtained confirmation from the manufacturer that a software update had caused the fault. Mr G claimed £750 compensation including lost wages and a missed job interview opportunity. The Ombudsman upheld the complaint, requiring Davies to reimburse the £231 plus interest and pay £150 compensation for inconvenience, but rejected claims for lost wages and job opportunity as Mr G had chosen to prioritise resolving the car issue over attending work.
The Ombudsman's reasoning
The Ombudsman found Davies initially made a reasonable assessment based on available evidence, as the auto-electrician only 'suspected' rather than definitively stated the box caused the problem. However, Davies was ultimately wrong as the manufacturer later confirmed the software update caused the fault. The Ombudsman upheld reimbursement of the £231 costs plus interest as fair compensation for financial loss. However, the Ombudsman rejected claims for lost wages and missed job opportunity, finding Mr G chose to prioritise resolving the car issue over attending work and the job interview, and therefore Davies could not fairly be blamed for those losses. The Ombudsman determined £150 compensation for inconvenience was appropriate as the disruption was limited in duration (7 days) and did not cause serious sustained disruption to daily life.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| DAVIES MGA SERVICES LIMITED, all decisions | 6 | 50% |
| Service failures generally, all decisions | 32,767 | 33% |
| Other regulated product, all decisions | 51,105 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website