Not upheld: Motor insurance, claim handling complaint against AXA Insurance Designated Activity Company

Decision detail

Summary

Mr M complained that AXA failed to help recover his stolen car after it was found and placed in storage. The car was stolen in October 2024, recovered by police in December 2024, but AXA was not informed of its location until February 2025 when Mr M told them. AXA immediately instructed a recovery agent, but the garage refused to release the car, stating it was dealing with the finance company (firm A) instead. Firm A was unable to negotiate the car's release despite ongoing discussions. The ombudsman found AXA acted reasonably and was not responsible for the storage charges or Mr M's distress, as the garage's refusal to cooperate was beyond AXA's control. The complaint was not upheld, though AXA's settlement offer of storage charges plus £250 goodwill compensation remained available.

The Ombudsman's reasoning

The ombudsman found that AXA acted promptly and reasonably upon learning the car's location by immediately instructing a recovery agent. AXA was not responsible for the storage charges that accumulated before it was informed of the car's location. The garage's refusal to release the car and communicate with AXA, combined with firm A's inability to negotiate its release, was beyond AXA's control and not attributable to poor service by AXA. Although Mr M suffered distress and inconvenience, this did not flow from AXA's errors or poor service. AXA's offer to cover storage charges from February 2025 onwards plus £250 goodwill compensation was deemed generous and reasonable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website