Not upheld: Fraud reimbursement (APP scams) complaint against Automobile Association Insurance Services Limited (AAISL)
Financial Ombudsman decision DRN-6354763 of 2026-06-29T00:00:00+00:00. Fraud reimbursement (APP scams) complaint against Automobile Association Insurance Services Limited (AAISL). Outcome: Not upheld.
Decision detail
| Reference | DRN-6354763 |
|---|---|
| Decision date | 2026-06-29T00:00:00+00:00 |
| Firm | Automobile Association Insurance Services Limited (AAISL) |
| Product | Other regulated product |
| Claim type | Fraud reimbursement (APP scams) |
| Outcome | Not upheld |
| Remedy | None. The ombudsman did not require AAISL to take any further action, though noted that AAISL's offer to provide a letter confirming actual NCD if Ms S provides proof from her previous insurer is fair and reasonable. |
Summary
Ms S complained that AAISL recorded her No Claims Discount (NCD) inaccurately at '9+' years when she believed she had 20 claim-free years, and that this could affect future premiums and underwriting decisions. AAISL explained that its system caps NCD at '9+' years as standard industry practice and offered to provide a letter confirming her full claim-free history if she supplied proof from her previous insurer. The ombudsman found that AAISL's capping practice is standard across the insurance industry, that the firm clearly communicated this maximum in policy documents, and that Ms S did not raise concerns when the policy was taken out or renewed. The complaint was not upheld.
The Ombudsman's reasoning
The ombudsman found that AAISL's practice of capping NCD at '9+' years is standard industry practice and that the firm provided clear information about this maximum in its policy documents. The ombudsman noted that NCD represents a reduction in premium for claim-free years, and that most insurers have maximum NCD limits (ranging from 4 to 9 years). Since AAISL clearly communicated the '9 or more' years cap in both the initial policy documents and renewal information, and Ms S did not raise concerns at those points, the ombudsman was satisfied that AAISL had acted fairly and reasonably.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Automobile Association Insurance Services Limited (AAISL), all decisions | 1 | 0% |
| Fraud reimbursement (APP scams), all decisions | 20,976 | 21% |
| Other regulated product, all decisions | 47,449 | 30% |
Source
Read the original decision on the Financial Ombudsman Service website