Not upheld: claims handling - settlement decision and liability determination complaint against AXA Insurance UK Plc

Decision detail

Summary

Mr A complained that AXA unfairly settled a third party motor claim as a fault claim following an accident on 19 April 2025. Mr A and Mrs A initially denied any involvement, but when AXA received photographic evidence in September 2025 showing Mr A's car at the scene, they changed their account and disputed liability. AXA decided to settle as a fault claim due to credibility issues arising from the inconsistencies in Mr and Mrs A's statements. The ombudsman found AXA acted fairly and reasonably in accordance with its policy terms and industry rules, properly investigating the claim and reaching its settlement decision based on the evidence and the customers' inconsistent accounts.

The Ombudsman's reasoning

The ombudsman found that AXA's policy terms clearly permitted AXA to take over defence and settlement of claims. AXA properly investigated by contacting Mr A, giving him opportunity to provide information, and forwarding photographic evidence promptly upon receipt. The ombudsman found credibility was a persuasive factor given the inconsistencies: Mr and Mrs A initially denied the incident entirely and being at the location, then acknowledged being there only when photographic evidence emerged. The third party's damage claim was consistent with their version of events, and the photographic evidence proved causation. The ombudsman concluded AXA dealt with the claim fairly, promptly, and in accordance with industry rules.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website