Not upheld: claim denial based on policy exclusion complaint against AXA Insurance UK Plc

Decision detail

Summary

Miss M claimed for damage to her rented property caused during a heating system installation by her local authority landlord, including damage to carpets, ceiling, walls, and paintwork. AXA declined the claim citing policy exclusions for contractor damage and faulty workmanship. The ombudsman upheld AXA's decision, finding that while carpets are correctly classified as contents, the damage was caused by contractor activities which are explicitly excluded from the policy. The exclusion was clearly communicated in the renewal documentation and policy booklet, and AXA fairly relied on it to decline the claim.

The Ombudsman's reasoning

Although carpets are correctly classified as contents under the policy definition, the damage was caused by the activities of contractors during the heating system installation. The policy contains a clear and prominent exclusion for damage arising from contractor activities. This exclusion applies regardless of whether Miss M had control over the selection of workers or whether the work was performed by council staff or external contractors. The exclusion was clearly communicated in the renewal documentation and policy booklet, and AXA fairly relied on it to decline the claim.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website