Not upheld: Motor insurance, claim handling complaint against Covea Insurance Plc

Decision detail

Summary

Mr W claimed on his motor insurance policy with Covea Insurance Plc after his vehicle was stolen and recovered with interior damage. Covea arranged repairs through their network, but when that repairer could not complete the work, they engaged a specialist repairer. The repairs took approximately six months to complete, primarily due to parts being placed on back order. Mr W complained that he had to extend his vehicle lease because the repairs were not completed before the lease expired in July 2025, and he sought reimbursement for the extended lease payments. The ombudsman did not uphold the complaint, finding that the delays were primarily caused by parts being on back order, which was beyond Covea's control, and that Covea handled the claim promptly and fairly in the circumstances.

The Ombudsman's reasoning

The ombudsman found that while there was a delay in repairing the vehicle, Covea handled the claim promptly and fairly in the circumstances. The primary cause of delay was the need for parts to be placed on back order, which was beyond Covea's control. The ombudsman found it reasonable that Covea first tried their approved repairer network before engaging a specialist, and that they did not order all parts simultaneously as the telematics unit fault could not be diagnosed until other electrical issues were resolved. The ombudsman also found that Covea's decision not to move the vehicle to another repairer during the lead technician's absence was reasonable as it would likely have caused further delays. The ombudsman concluded that Mr W's lease costs were his own liability under a separate agreement and that Covea was not responsible for them.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website