Partially upheld: service failure in claims handling; non-adherence to access conditions; inadequate compensation complaint against British Gas Insurance Limited
Financial Ombudsman decision DRN-6025088 of 2026-04-24T00:00:00+00:00. service failure in claims handling; non-adherence to access conditions; inadequate compensation complaint against British Gas Insurance Limited. Outcome: Partially upheld.
Decision detail
| Reference | DRN-6025088 |
|---|---|
| Decision date | 2026-04-24T00:00:00+00:00 |
| Firm | British Gas Insurance Limited |
| Product | Home insurance |
| Claim type | service failure in claims handling; non-adherence to access conditions; inadequate compensation |
| Outcome | Partially upheld |
| Remedy | British Gas Insurance Limited must pay Mr T an additional £150 in compensation, bringing the total compensation award to £200 (including the original £50 offered). If the original cheque was not cashed, British Gas should reissue it. |
Summary
Mr T complained about British Gas's response to a home emergency insurance claim, alleging disregard for health and safety and property damage. Mr T had specific access conditions for his property which British Gas engineers did not adhere to, causing him significant upset and psychological worry, particularly given his health vulnerabilities and the context of recent rat infestation fumigation. Although no actual disease or physical contamination occurred, the ombudsman found the service failings were avoidable and the original £50 compensation inadequate. The complaint was partially upheld with compensation increased to £200 total.
The Ombudsman's reasoning
The ombudsman found that British Gas's service failings were avoidable and caused unnecessary upset, annoyance, and psychological worry to Mr T. While no actual physical contamination or disease occurred, the impact was real and significant given Mr T's health vulnerabilities. The ombudsman applied FOS guidelines on compensation awards and determined that £50 did not adequately reflect the avoidable impact caused by non-adherence to access conditions. The additional £150 was considered fair, reasonable, and proportionate to the actual harm suffered.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| British Gas Insurance Limited, all decisions | 1,874 | 41% |
| Home insurance, all decisions | 20,668 | 38% |
Source
Read the original decision on the Financial Ombudsman Service website