Not upheld: claim decline - policy interpretation complaint against AXA Insurance UK Plc

Decision detail

Summary

Mrs W claimed on her let property insurance with AXA for damage to a conservatory roof caused by falling firework debris. AXA declined the claim, arguing that its impact cover only applies to items falling from aerial devices, and fireworks do not qualify as such devices. Mrs W disputed this interpretation, contending the policy should cover falling debris more broadly and that undefined terms should be interpreted in her favor. The ombudsman found AXA's interpretation reasonable, determining that fireworks are designed to explode rather than function as controlled aerial devices, and therefore the falling debris did not constitute an insured event under the policy.

The Ombudsman's reasoning

The ombudsman found that the policy's impact cover clause clearly limits falling article coverage to items falling from aerial devices, not all falling debris. The term 'aerial device' is not defined in the policy, but when undefined, terms are given their ordinary everyday meaning. A firework is designed to explode and is not intended to remain in the air in a controlled manner, unlike true aerial devices. Therefore, firework debris does not fall within the insured event, and AXA's decline was fair and reasonable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website