Other Insurance company insisting on alarm after payment of premium.

J

JoeB

Guest
Hi

I rang an insurance company for a quote for buildings insurance, and described the building, letting them know that I didn't have a burgalar alarm.

Immediately on receiving my payment they organised a survey, and are now insisting that I install a burgalar alarm.

This seems very unfair.. I told them clearly that I didn't have an alarm, and now they are insisting on me installing one.

They refuse to reduce the premium if I install an alarm.


There is a clause in the policy document that says that they can carry out risk assesments and I am obliged to correct any issues they identify.


But this is unfair, to use such a clause to insist on me installing a burgalar alarm, ... this isn't new info to them, I clearly stated it when applying.


What do people think?


Am I right to be annoyed at this?


Other info includes that they refuse to engage on the issue, they simply ignore my complaints. I have asked several times if I can enter into a formalised complaints procedure, they effectively refuse by ignoring my requests.

Any help or advice would be much appreciated.
 
I'd immediately seek a quote from another insurer, line up everything, and then contact your current insurer to cancel your policy and demand a refund your premium on the basis that they did not deal with you in good faith.
 
Am I right to be annoyed at this?
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Yes, you have every right to be annoyed.

I can't think of any company that insists on am alarm.

You were upfront when applying. Did they quote on the basis of no alarm fitted?

Other info includes that they refuse to engage on the issue, they simply ignore my complaints. I have asked several times if I can enter into a formalised complaints procedure, they effectively refuse by ignoring my requests.
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They are obliged to have a complaints procedure. Make a formal complaint to head office and then take the matter to the FSO.
 
Thanks for the replies.

Some additonal info is that this is a commercial policy, for contents and stock, against risks of burgalry and fire etc. I don't own the building so I can't insure it for rebuilding costs.

It's a woodworking workshop, with a spray room , so difficult to insure... other quotes were up to two or three times as high, if companies would quote at all...

So I don't really want to leave them...

They also require certs for the electricity system, and the gas system which powers the gas heaters used in the spray room... (these gas heaters are explosion proof and designed for a spray room). All spray paints are stored outside in a lockable metal cabinet. There is no suggestion that there is a problem with either the electricity or the gas, it's simply that they did a survey, and so I have to comply. They refuse to tell me whether all of their commercial policy holders have certs for electricity, so I'm inferring from that that they don't... that the only reason I need certs is because they surveyed me. A bit similar to a Revenue Audit in some ways I think..


So again, these certs cost me money... money I don't have, but I can't really complain too much about this, but the burgalar alarm requirement is a bit sickening.. the alarm also has to be monitored to a phone.

They also want me to arrange a visit from the Fire Protection Officer, due to what they call a change of use but it isn't really. ...


Overall they had about 15 requirements, most of which I have complied with already. Some were very easy, like cutting some overgrown weeds on the fire escape route, or tidying up some light cables that weren't fixed into position correctly.
 
If you dont own the building then the owner should be providing the certs. They should of informed you you needed the alarm before you had taking out the policy. I would defo be annoyed at the situation your in. In my own experience i have seen them ask for a monitored alarm to be installed before insuring the building. You should get a discount as most insurance company's give up to 10% discount for an EN50131 alarm installed plus if it is monitored through a monitoring station you will receive up to 20% off. I know you have shopped around already but i would cancel with them and choose another insurer. A broker would even do all the donkey work to get you the best price for you. I would hate to see the hassle you will go through with them if you did have to claim for anything.
 
Joe I think the reason they are insisting on a monitored burglar alarm being installed is because this is a commercial policy. There is a much much higher chance of this place being burgled than someone's home. Imagine the losses Insurers would make should such an incident occur - no burglar alarm, you're asking for the place to be broken into. Sorry but that's just my 2 cents.
 
Well yes, of course a burgalar alarm would be useful.

But it's not self evidently clear that all commercial policies require an alarm.

So the insurance company kept that secret, until they had my money, and then they insisted on one... this seems unfair, and is a 'sharp' practice. I clearly stated that I didn't have an alarm and they quoted on that basis. I took them in good faith... I didn't expect to be tricked.


I have some clarifications... this info was given to me recently, after I paid, and complained about the alarm requirement... they say that all woodworking buisnesses are subject to surveys, and all surveyed buisnesses are required to have a monitored burgalar alarm... so they should have told me that before I signed up... it's relevant info, and they choose to keep it secret. It could be claimed that they did this in order to get my money.


If follows inexorably from the fact that I have a woodworking business that I would need a monitored burgalar alarm... but they didn't tell me this, nor would it be reasonable for me to expect it... I told them clearly that I didn't have an alarm.

The previous business in the premises was also a woodworking workshop.. yet they never had an alarm. Different insurance company perhaps, or else my insurance company are lying to me.. (they have given conflicting and inconsistent info previously, so they have either been 'mistaken' in the past, or else they've told lies,.. claiming that they might be lying now isn't that unfair as they've given out inconsistent info previously)
 
It might be worth giving the [broken link removed] a call. Their procedure usually cannot be started until the complaints procedure with the problematic institution has been exhausted, but they may be able to give you some useful information.
 
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