Upheld: Home insurance claim disputes complaint against Haven Insurance Company Limited

Decision detail

Summary

Mr G complained about Haven's handling of his car insurance claim following an accident. Haven accepted the claim and wrote off the vehicle but took over five weeks to confirm total loss, caused delays in providing a hire car, and made errors including initially suggesting the vehicle was lost. Haven offered £150 compensation which the ombudsman found inadequate. The ombudsman upheld the complaint, finding Haven breached FCA rules requiring prompt and fair claim handling, and directed Haven to pay £300 compensation plus assess and pay Mr G's loss of earnings from 3 July 2025 to 15 July 2025 resulting from the excessive claim delays.

The Ombudsman's reasoning

The ombudsman found that Haven failed to deal with the claim promptly as required by FCA rules. The five-week delay from accident to write-off decision was excessive and should have taken no more than two weeks. This delay caused Mr G loss of earnings during the period 3 July 2025 to 15 July 2025 when he could not work due to not having a suitable vehicle. The initial compensation of £150 did not adequately account for delays in SAR provision and claim assessment. The vehicle valuation was fair and reasonable as it was close to the highest valuation guide. Other complaint points regarding hire car suitability, vehicle sale, and vehicle being put back on road were not upheld as Haven acted within policy terms or had no responsibility.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website