Not upheld: claims handling - repair method and use of non-manufacturer parts complaint against Assurant General Insurance Limited

Decision detail

Summary

Mr R complained to the FOS about Assurant's decision to repair his damaged mobile phone using generic parts rather than manufacturer parts under his mobile phone insurance policy. Mr R was concerned this would disable some phone functions. Assurant did not uphold the complaint, citing clear policy wording that permitted use of non-manufacturer parts and offering to refund his excess. The ombudsman found that the policy terms explicitly allowed generic parts, this is standard in the industry, and the policy was sold by Mr R's bank rather than Assurant. Since no repair was actually undertaken, the loss of functionality was hypothetical. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that Assurant's policy terms explicitly permitted the use of generic or unbranded parts for repairs, which is standard in the mobile phone insurance industry. The policy was sold by Mr R's bank, not Assurant, so responsibility for ensuring Mr R understood the cover lay with the bank. Since no repair was actually undertaken, the loss of functionality was hypothetical. Assurant provided a six-month warranty and lifetime warranty on parts, demonstrating confidence in their quality. The policy did not promise manufacturer parts would be used, and Mr R was not obligated to purchase the cover if it did not meet his needs.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website