Partially upheld: Account administration errors complaint against Exeter Friendly Society Limited

Decision detail

Summary

Ms A purchased a private medical insurance policy through a broker in early 2024 but did not receive her welcome documents. After contacting the broker twice, in March 2024 the broker requested Exeter send the documents by email and post, but Exeter failed to send them by email as requested. Ms A subsequently requested a premium refund, claiming she could not use the policy without the terms. The ombudsman upheld the complaint in part, finding Exeter's failure to send documents by email caused unnecessary distress and inconvenience, but rejected the premium refund as Exeter had provided the insurance cover. The ombudsman awarded £75 compensation.

The Ombudsman's reasoning

Exeter sent the welcome pack to B in January 2024, but this did not reach Ms A. When B explicitly requested in March 2024 that Exeter send documents by email and post, Exeter failed to send them by email as requested. This error could have been avoided and caused Ms A unnecessary distress and inconvenience. However, a premium refund is not reasonable because Exeter provided the insurance cover Ms A paid for, Ms A was aware of Exeter's identity and could have contacted it directly, and she had the means to cancel the policy. Compensation of £75 is appropriate to acknowledge the time spent chasing documents and distress caused.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website