Not upheld: service quality, policy cancellation, and customer handling complaint against Grove & Dean Limited

Decision detail

Summary

Mr D complained about Grove & Dean's service when arranging van insurance in February 2025. During a validation call, Mr D disclosed that he would use the van for business purposes (contrary to his application stating 'Social, Domestic and Pleasure') and revealed a previously undisclosed insurance claim from June 2024. The insurer declined to cover Mr D under the original terms, and a new quote at a higher premium was generated. When Mr D refused the more expensive quote, his policy was cancelled with a £55 cancellation fee. The ombudsman found that while some interactions could have been better handled, it was fair for Grove & Dean to seek clarification given the material discrepancies, and the policy cancellation was justified. The complaint was not upheld, though Grove & Dean's refund of the £55 cancellation fee was deemed appropriate compensation for the poor customer journey.

The Ombudsman's reasoning

The ombudsman found it was fair and standard practice for Grove & Dean to seek clarification when material discrepancies were identified between the application and validation call. The questions about vehicle use were clear and material to the insurer's risk assessment. While acknowledging that some interactions could have been better handled, particularly the lengthy interrogation about where the van was kept and the abrupt end to the first call, the ombudsman was satisfied that the overall decision to cancel the policy was fair. The refund of the cancellation fee adequately compensated Mr D for the poor customer journey without requiring further action.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website