Not upheld: claim handling, service failures, refusal to cover professional fees, refusal to waive excess complaint against AXA Insurance Plc

Decision detail

Summary

Mrs G, a leaseholder, made a buildings insurance claim following water damage in October 2024. She subsequently complained about AXA's handling of the claim, requesting waiver of the excess and coverage of project manager fees she had appointed without AXA's consent. AXA declined both requests and offered £800 compensation for acknowledged service failures including communication delays and lack of updates. The ombudsman found the excess was a standard policy term, the project manager fees were not covered without prior consent, and the claim complexity did not justify the cost. The £800 compensation was deemed fair and reasonable, and the complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that the excess was a standard policy feature clearly set out in the schedule with no grounds for waiver. Regarding the project manager fees, while the policy did cover certain professional fees including surveyors with written consent, Mrs G had not obtained AXA's consent before appointing the project manager. Although AXA's three-week delay in responding was frustrating, this did not justify covering the cost. The ombudsman was not persuaded that the project manager's involvement was necessary given the claim complexity or that it provided sufficient value to warrant AXA meeting the cost. The £800 compensation offered was considered fair and reasonable for the acknowledged service failures.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website