Upheld: Home insurance claim disputes complaint against QBE Europe SA/NV
Financial Ombudsman decision DRN-5943903 of 2025-11-12T00:00:00+00:00. Home insurance claim disputes complaint against QBE Europe SA/NV. Outcome: Upheld.
Decision detail
| Reference | DRN-5943903 |
|---|---|
| Decision date | 2025-11-12T00:00:00+00:00 |
| Firm | QBE Europe SA/NV |
| Product | Other regulated product |
| Claim type | Home insurance claim disputes |
| Outcome | Upheld |
| Remedy | QBE must: (1) Increase Takeuchi TB240 Excavator valuation to £39,500 from £28,500; (2) Increase Trailer 1 valuation to £5,000 from £2,850 and Trailer 2 to £5,500 from £4,500; (3) Increase Mecalac Dumper valuation to £12,950 from £10,000; (4) Upon receipt of ownership evidence, increase tools/chainsaws valuation to £7,618.40 from £6,000; (5) Calculate total increase, deduct previous overpayment of £890, and pay outstanding amount with 8% simple interest from 4 September 2024 until payment date. |
Summary
The claimant made a claim on a Contractors All Risks policy with QBE following a break-in theft in February 2024. QBE settled the claim for £130,000 but the claimant disputed valuations on several items including trailers, a dumper, an excavator, tools, and a camera. The ombudsman found QBE's valuations for trailers were inadequately evidenced and unfairly low compared to market evidence provided by the claimant. The dumper was initially undervalued at £10,000 when service records showed low hours, supporting the higher £12,950 valuation from comparable adverts. The excavator valuation was increased as agreed. Tools purchased within 24 months from new-only retailers qualified for replacement cost under policy terms. The ombudsman upheld the complaint and directed QBE to increase valuations and pay the difference with interest.
The Ombudsman's reasoning
The ombudsman applied the policy terms requiring reinstatement value based on item age. For items over 24 months old, market value at time of loss is the relevant measure. QBE failed to adequately evidence its trailer valuations against the substantial evidence provided by the claimant showing higher market values. For the dumper, the absence of evidence contradicting the claimant's assertion of low hours (supported by service records) meant the higher valuation from comparable adverts was fair. For tools purchased within 24 months from new-only retailers, the policy terms entitled the claimant to replacement cost. The ombudsman rejected QBE's position that further ownership validation was unreasonable, but permitted it as a fair verification step.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| QBE Europe SA/NV, all decisions | 4 | 50% |
| Home insurance claim disputes, all decisions | 25,670 | 38% |
| Other regulated product, all decisions | 47,449 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website