Upheld: claim handling, damage liability, failure to accept responsibility complaint against ARAG Legal Expenses Insurance Company Limited

Decision detail

Summary

Mrs C and Mr S complained to ARAG about a home emergency insurance claim after ARAG's second plumber discovered a cracked cistern during a toilet repair visit. ARAG refused to cover the damage, claiming it was not covered by the policy. Mrs C alleged the second plumber caused the damage. The ombudsman found it more likely than not that ARAG's second plumber caused the crack, based on the first plumber's failure to mention it and Mrs C's testimony of loud banging. ARAG's failure to provide the first plumber's video evidence despite repeated requests further supported this finding. The ombudsman upheld the complaint and required ARAG to pay for a full toilet replacement and £100 compensation for distress and inconvenience.

The Ombudsman's reasoning

The ombudsman found it more likely than not that the second plumber caused the damage to the cistern, based on: (1) the first plumber's failure to mention a significant crack and his suggestion to simply order parts; (2) Mrs C's testimony of loud banging when the second plumber was in the bathroom; (3) the unlikelihood of the cistern being damaged between the two visits; and (4) ARAG's failure to provide the first plumber's video despite repeated requests. The ombudsman concluded that as ARAG's plumber caused the damage, ARAG should cover the cost of repair, and that replacement of the entire toilet was the only reasonable remedy.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website