Not upheld: liability decision and claims handling delay complaint against Advantage Insurance Company Limited

Decision detail

Summary

Miss H complained that Advantage Insurance unfairly accepted liability for a car accident and took too long to reach their decision. Miss H believed the recycling truck was at fault for crossing the central white line into her car's path, supported by a witness statement. However, the truck driver's insurers provided dash-cam footage showing the truck remained in its correct lane at the point of impact. Advantage initially disputed liability but changed their stance after reviewing the dash-cam footage and attempting to negotiate a split liability settlement. The ombudsman found that Advantage carried out a fair and reasonable investigation, that changing liability positions as evidence emerges is standard practice, and that the policy terms authorised Advantage to make the liability decision. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman's role is not to determine liability but to assess whether the insurer conducted a fair and reasonable investigation. The policy terms authorise Advantage to decide liability and admit negligence on the policyholder's behalf, which is standard and fair provided a fair investigation is carried out. The dash-cam footage clearly shows the truck remained on its correct side of the road at the point of impact, contradicting the witness accounts that the truck swerved into Miss H's lane. It is not unusual for an insurer's liability stance to change as further evidence is received during a claim's progression. Advantage fairly assessed all available evidence, attempted to negotiate a split liability settlement, and only accepted liability when this was not possible.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website