Not upheld: Service failures generally complaint against British Gas Insurance Limited
Financial Ombudsman decision DRN-6255467 of 2026-06-18T00:00:00+00:00. Service failures generally complaint against British Gas Insurance Limited. Outcome: Not upheld.
Decision detail
| Reference | DRN-6255467 |
|---|---|
| Decision date | 2026-06-18T00:00:00+00:00 |
| Firm | British Gas Insurance Limited |
| Product | Other regulated product |
| Claim type | Service failures generally |
| Outcome | Not upheld |
| Remedy | No additional remedy ordered. The £1,000 compensation already provided by British Gas was deemed fair and reasonable. The ombudsman noted that if the cheques could not be cashed, British Gas should pay by other means. |
Summary
Mrs B complained to the Financial Ombudsman Service about British Gas Insurance Limited's handling of a boiler cylinder replacement that was fitted poorly, causing water damage to her home. British Gas accepted responsibility and completed repairs after four months, offering £1,000 in compensation. Mrs B sought £5,000 for the distress and inconvenience experienced during the four-month repair period. The ombudsman found that while British Gas's failure was clear and the delay was frustrating, the £1,000 compensation fell within the appropriate range of £750-£1,500 for substantial distress and serious disruption over sustained periods, and therefore did not uphold the complaint.
The Ombudsman's reasoning
The ombudsman acknowledged that British Gas caused the damage through incompetent work and that the four-month delay was frustrating and upsetting. However, the ombudsman applied FOS guidelines which regard compensation between £750 and £1,500 as fair and appropriate for substantial distress, upset, worry and serious disruption over sustained periods of many months to over a year. The ombudsman found Mrs B experienced exactly this level of impact over four months, making the £1,000 compensation appropriate. The ombudsman could only compensate for things that actually happened, not potential risks that might have occurred.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| British Gas Insurance Limited, all decisions | 1,882 | 40% |
| Service failures generally, all decisions | 34,193 | 32% |
| Other regulated product, all decisions | 47,449 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website