First, you should give the insurer a chance to sort the issue. Contact them informally at first.
If you’re not satisfied with their response, you can submit a formal complaint, in writing. Their website should detail where to address complaints.
Your letter or email should be headed ‘Complaint’ so it isn’t lost in the shuffle. It should be succinct but include important information such as dates and the names of employees you’ve already spoken to. You should also outline how you’d like the issue to be resolved.
Financial service providers must respond to any complaint within eight weeks. If they fail to meet this deadline or you’re dissatisfied with their response, you can then escalate the complaint to the Financial Ombudsman Service (FOS). You must do this within six months of receiving the insurer’s final response.
To lodge a complaint with the FOS, you can submit a form online or call 0300 123 9123. You’ll need to provide the name of the business you’re complaining about, the dates of your correspondence with the business, including the date of its final response, and your account and policy details with the business.
The Financial Ombudsman Service then will investigate the claim. They’ll ask your insurer for their side of the story and take into account the wording of your insurance policy, laws, regulations, and industry codes of conduct. The FOS says they consider all evidence “fairly and impartially.”
The FOS can take up to five months to reach a decision on complaints about motor insurance products. If they find in your favour, they can require your insurance provider to rectify your problems, including by restoring your no-claims discount or paying out on a claim.
In some cases, they’ll require the insurer to pay you compensation. This redress is intended to restore you to your previous financial position, sometimes with added money for distress and inconvenience. For insurance products, the maximum the FOS can order the company pay in compensation is £15,000.
If you’re not happy with the FOS’s ruling, you can take the matter to small claims court. However, this will be at your own expense and the court may simply reach the same ruling the Ombudsman did.
