Car Insurance

A GAP insurance policy's settlement must be calculated according to its terms and conditions, which specify payment of the difference between vehicle value and purchase price, regardless of any maximum benefit figure or verbal assurances th

An insurer must act fairly and reasonably in handling claims, and policy terms must be clearly communicated and applied consistently.

Insurers must handle claims promptly and fairly, and repair works must be completed to an acceptable standard in accordance with manufacturer specifications.

End-of-contract vehicle damage charges must be assessed against industry fair wear and tear guidance, with charges only justified where damage is properly evidenced and exceeds the permitted thresholds.

Under CIDRA 2012, an insurer can only avoid a policy for misrepresentation if the consumer failed to take reasonable care and the misrepresentation was qualifying, requiring the insurer to show it would have refused or offered different ter

Lenders must carry out reasonable and proportionate checks to assess creditworthiness before providing credit, scaled to the type, amount, and term of the lending.

An insurer may exercise discretion in settling claims fairly and reasonably, but must base liability decisions on a proper investigation and reasonable assessment of likely court outcomes.

Under CIDRA 2012, an insurer may void a policy and retain premiums if a consumer made a deliberate or reckless qualifying misrepresentation about their claims history when applying for insurance.

A broker may charge non-refundable arrangement and cancellation fees provided these are clearly disclosed in the terms and conditions before purchase and are proportionate to the service provided.

An insurer may settle claims within its discretion under policy terms, provided it acts fairly and reasonably in considering evidence and expert assessment.

A insurer is not responsible for providing replacement vehicles where the policy does not include courtesy car cover, and referral to credit hire does not create such an obligation.

A lender must carry out proportionate checks to ensure lending is not irresponsible or unaffordable, but less thorough checks are reasonable in early stages of a lending relationship.

A lender must carry out proportionate affordability checks before lending, taking into account the borrower's income, committed expenditure, and credit history.

A lender must conduct proportionate affordability checks before lending, including verification of income and living costs where appropriate given the circumstances.

Under CIDRA 2012, a consumer must take reasonable care not to misrepresent facts when taking out insurance; if a reckless misrepresentation is proven and the insurer would not have offered cover at all, the insurer may avoid the policy enti

An ombudsman can award compensation for distress and inconvenience caused by poor service, but cannot fine or punish an insurer; the level of compensation awarded must be fair and reasonable for the impact caused.

Key cover claims for unexplained damage are properly declined where wear and tear or manufacturing defect are more likely causes than accidental damage.

An insurer is not liable for damage unless there is evidence the damage was caused by its agent's actions, not pre-existing wear and tear.

An insurer may fairly decline a theft claim where the policy terms explicitly exclude loss when the car and keys are under the custody or control of someone not covered under the policy.

When an insurer makes a mistake, the consumer should be placed in the position they would have been in but for the mistake, not in a more favourable position; policy terms permitting premium deduction upon claim are fair and enforceable.

An insurer's contractual right of subrogation permits it to take legal proceedings in the policyholder's name to recover costs paid out on a claim, provided this right is included in the policy terms.