Insurance is taken out for piece of mind, if you partake in an activity where there is a possibility that you may lose or damage something of high value or importance then it would be wise to insure that object. With the sheer number of different insurance policies out there for pretty much every product and every event, there is no shock to read that fraudulent claims have rocketed in recent years.
This has resulted in a stamp down on the way in which claims are handled as the insurers struggle to identify a genuine claim from a fraudulent claim. The stamp down has only negative repercussions for most as the border line genuine claims face being rejected due to tighter terms and conditions, higher premiums to make up for lost cash and even reduced policies for certain items.
If you have a claim rejected then you can still claim your money back if you feel that it was an unfair decision. If you fail to achieve any success after making an appeal then you can contact the financial ombudsman to complain about your insurance service.
The financial ombudsman has seen a large number of queries recently with the volume increasing by up to 25% in the past 12 months. This can be down to a number of reasons including stricter policies to people being confused over the wording on the contract.
Insurance is important and you will need to take it out many times in your life so you should ensure you follow the correct procedure when possible when making a claim.