Upheld: claim handling, failure to manage contractor, delays in identifying safety issue, inadequate consideration of vulnerable consumer complaint against INTACT INSURANCE UK LIMITED

Decision detail

Summary

Mr M complained about Intact's handling of a buildings insurance claim following storm damage. During repairs, a contractor caused a fire that damaged Mr M's boiler, which was later found unsafe. Mr M lived with the unsafe boiler for over 100 days before inspection and subsequently moved out. Mr M complained about poor communication, delays, and inadequate consideration of his vulnerabilities. Intact offered £2,750 in compensation plus cleaning costs, but Mr M sought £3,040 additional compensation. The ombudsman upheld the complaint but awarded only the additional £250 recommended by the investigator, finding that while Intact should have intervened earlier with the managing agent, it acted reasonably once the boiler issue was identified and that financial compensation adequately addressed Mr M's losses.

The Ombudsman's reasoning

Intact was not responsible for the contractor's actions as the managing agent appointed the contractor. However, Intact should have stepped in earlier regarding safety checks given known issues with the managing agent, which would likely have identified the boiler problem sooner. Once Intact learned of the boiler issue, it acted swiftly with reasonable options (alternative accommodation or disturbance allowance). Most inconvenience resulted from the claim itself rather than Intact's actions. While Mr M suffered distress, Intact's financial offers adequately compensated for losses, and additional compensation of £250 is fair and reasonable for the upset caused.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website