Not upheld: Service failures generally complaint against RAC FINANCIAL SERVICES LIMITED
Financial Ombudsman decision DRN-5394211 of 2025-04-11T00:00:00+00:00. Service failures generally complaint against RAC FINANCIAL SERVICES LIMITED. Outcome: Not upheld.
Decision detail
| Reference | DRN-5394211 |
|---|---|
| Decision date | 2025-04-11T00:00:00+00:00 |
| Firm | RAC FINANCIAL SERVICES LIMITED |
| Product | Motor insurance |
| Claim type | Service failures generally |
| Outcome | Not upheld |
| Remedy | None — complaint not upheld. |
Summary
Mr M complained that RAC provided misleading information about a price guarantee for roadside assistance insurance. He expected the policy to be cheaper than a competitor's offer but RAC declined his price guarantee claim because he had purchased through an affiliate's website using loyalty vouchers rather than directly from RAC's website. The ombudsman found that RAC's terms and conditions clearly stated the policy must be purchased directly from RAC's website, and Mr M did not meet this requirement. The complaint was not upheld as RAC acted fairly and reasonably in declining the claim.
The Ombudsman's reasoning
The ombudsman considered whether RAC acted fairly and reasonably in line with the policy terms and conditions. The terms clearly stated the policy must be purchased directly from RAC's website. Mr M purchased through a partner business's website to use loyalty vouchers, which meant he did not meet the terms and conditions for the price guarantee. Although Mr M was subsequently directed to RAC's website to complete details, this did not constitute a direct purchase from RAC's website.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| RAC FINANCIAL SERVICES LIMITED, all decisions | 7 | 0% |
| Service failures generally, all decisions | 32,767 | 33% |
| Motor insurance, all decisions | 24,036 | 35% |
Source
Read the original decision on the Financial Ombudsman Service website