Not upheld: claims settlement and communication complaint against AXA Insurance UK Plc
Financial Ombudsman decision DRN-6173958 of 2026-05-15T00:00:00+00:00. claims settlement and communication complaint against AXA Insurance UK Plc. Outcome: Not upheld.
Decision detail
| Reference | DRN-6173958 |
|---|---|
| Decision date | 2026-05-15T00:00:00+00:00 |
| Firm | AXA Insurance UK Plc |
| Product | car insurance |
| Claim type | claims settlement and communication |
| Outcome | Not upheld |
| Remedy | £100 compensation already paid by AXA for failure to keep Mr T informed during the claim process. |
Summary
Mr T complained that AXA settled a third party vehicle claim for total loss value after he reversed into it in March 2025, and that AXA failed to keep him informed during the process. AXA argued its settlement decision was correct and within policy terms, and paid £100 compensation for poor communication. The ombudsman found AXA's settlement decision was reasonable based on engineer reports and photographs showing damage to bodywork and sub-frame that made repair uneconomical, and that the £100 compensation for failure to inform Mr T was appropriate, therefore not upholding the complaint.
The Ombudsman's reasoning
The ombudsman found that AXA's decision to settle the third party claim as a total loss was reasonable because the repair costs exceeded the market value of the vehicle, making it uneconomical to repair. The damage was consistent with the engineer's report and photographs. While AXA failed to keep Mr T informed during the claim, which caused avoidable upset, this did not change the outcome. The £100 compensation paid for poor service was reasonable.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| AXA Insurance UK Plc, all decisions | 3,723 | 35% |
Source
Read the original decision on the Financial Ombudsman Service website