Not upheld: Motor insurance, claim handling complaint against Admiral Insurance (Gibraltar) Limited

Decision detail

Summary

Mrs G complained about Admiral's handling of a car insurance claim following damage to her vehicle in a car park. An anonymous witness note identified the third-party vehicle, but the third-party insurer disputed liability. Admiral failed to keep Mrs G updated, did not respond to her emails, and provided incorrect information about the third-party's position. Admiral acknowledged these errors and offered £150 compensation. Mrs G argued this was insufficient given the potential financial impact of delays during the critical liability dispute phase and the resulting increase in her insurance premiums. The ombudsman found the compensation fair and reasonable, rejecting arguments that the delays significantly impacted her ability to provide evidence or that Admiral was responsible for premium increases.

The Ombudsman's reasoning

The ombudsman agreed with the investigator that while Admiral failed in communication and service standards, these failures did not significantly impact Mrs G's ability to provide evidence to support her liability position. The ombudsman found that Admiral had a responsibility to keep Mrs G updated but that the £150 compensation adequately reflected the mistakes and distress caused. The ombudsman rejected the argument that delays prejudiced the claim handling, noting that the liability dispute was initiated by the third-party insurer and that Admiral could not be held responsible for premium increases resulting from the open claim.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website