my story video-clip
how the ombudsman service helped me ...
when my car was written off
(03:18min video-clip)
transcript
a consumer phones the Financial Ombudsman Service ...
Hello, you’re speaking to Sally, how can I help?
Hello – I’m having difficulty with my car insurance company, is this something you can help me with?
Quite possibly, we do deal with insurance complaints. What’s the problem?
Right, a few weeks ago someone crashed into my car and as a result my car ended up beyond repair. So I submitted a claim on my car insurance – and they phoned back offering me £700, when the car was worth about two and a half thousand. I phoned them to complain and they said that, if I could send in evidence that the car was worth more, then they would look at the claim again. So I sent all this information about its features, together with photographs and newspaper ads – a load of stuff. And now they’ve come back saying that they’re going to give me £1,000 but that this is their final offer. I am not at all happy – since I know that it’s going to cost much more than that to replace the car.
We should be able to look into that – since the insurance company have already had a chance to resolve the matter themselves. You’ll need to fill in our complaint form. I can guide you through the form now over the phone, or you can get it from our website. Then, once we’ve received it, we’ll contact the insurers to get their side of the story and assess all the facts.
Oh, right, I could do the form now. Can I ask what happens if you agree with the insurance company and not me?
We are a completely impartial service, so we look at both sides. And if we decide that the insurance company are right, we’ll explain exactly how we came to that conclusion.
OK – so we’re going to do the form now and then I wait to hear from you?
Precisely. If we need more information after receiving your form, we’ll let you know – apart from that, we’ll be in touch with you once we’ve reached a decision. You’ll be aware that it sometimes takes a little time to collate all the facts, but mostly we can resolve cases within six months.
OK – well, how about starting work?
Right, so let me take down a few details from you. I’ll need your first and last names ...
some time later ... Sally from the ombudsman service phones the customer to give them an update on their complaint
Hello, Sally here from the Financial Ombudsman Service. I’m getting back to your about your car insurance complaint – I wanted you to know what our conclusions are.
Right ...
First of all, I’ll explain that, when we have to value a car, we get our information from the motor vehicle industry’s main trade guidelines – which are regularly updated to give an accurate reflection of a car’s value. I’m afraid we can’t use ads like the ones you sent in, since private advertisers often ask higher than the value of the car, so the ads don’t allow us to make an accurate comparison.
Right ...
But the good news is that the guidelines put the value of your car at £1,950 – which is significantly more than the insurance company are offering you. Does this seem reasonable?
Well – it still falls a little short of what I was hoping for, but it’s definitely a lot better than a thousand pounds.
Well, we’ve spoken to the insurance company and they are now willing to offer you that price – and in addition, we’ve recommended an extra £150 by way of good will for the inconvenience. Would you be prepared to accept that offer as an informal agreement?
I guess that, if that is the official price, then it seems fair. I should be able to get a replacement of that kind of money. So really, it’s good to get an explanation of how you reached your valuation.
You can make a more formal appeal if you think the valuation is too low.
No, no, this is excellent. And the inconvenience money seems fair too.
Well, we’re very glad to be of assistance.