Not upheld: unfair claim decline / policy interpretation complaint against Newline Insurance Company Limited

Decision detail

Summary

Miss K claimed on her motor warranty for a failed valley pipe in her car's coolant system. Newline declined the claim on the basis that pipes were not covered under the policy. Miss K argued the valley pipe was part of the covered coolant system and was a metal component rather than a flexible hose. The ombudsman found the policy clearly listed specific cooling system components as covered, with the valley pipe not among them, and that the Components not Covered section explicitly excluded pipes. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman applied a reasonable interpretation of the policy terms. The Cooling system section lists specific covered parts, and the valley pipe is not among them. Although the policy states the listed components are not exhaustive and covers all manufacturer original fitments not on the exclusion list, the Components not Covered section explicitly excludes pipes. The ombudsman rejected Miss K's arguments that the function of the part or its material composition (metal versus flexible hose) should override the clear policy language excluding pipes.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website