Not upheld: unfair claim decline complaint against Domestic & General Insurance Plc

Decision detail

Summary

Mrs A held breakdown cover with D&G for a fridge freezer that included accidental damage protection. When a fire at a neighbouring property caused soot damage to her fridge freezer, D&G declined the claim citing a policy exclusion for fire-related damage. Mrs A disputed this, arguing the fire was a man-made accident and should be covered under accidental damage, and that the policy was unclear. The ombudsman found D&G's decision was fair and reasonable, as the policy terms explicitly exclude all loss or damage caused by fire, and this exclusion is sufficiently clear and unambiguous.

The Ombudsman's reasoning

The ombudsman found that the policy clearly excludes any loss or damage resulting from fire, regardless of whether the fire was man-made or natural. The proximate cause of the damage was the neighbour's fire, which falls squarely within the policy exclusion. The policy terms are sufficiently clear and unambiguous on this point. The accidental damage cover does not override the specific fire exclusion.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website