Insuring tools and equipment - check you policy!!

Following a recent break-in, I've had a nasty shock concerning the insuring of household items, tooling and equipment.

The reason is 'discounting'. The worst offender appears to be Norwich Union Direct but it's not solely restricted to them by any means. They apparently started it with other insurance companies trying to follow.

It works like this - The insurer agrees a cosy deal with a number of suppliers for discount products. When you make a claim you get an inoffensive letter telling you 'your claim will be handled by x (the supplier)'

When the amount is agreed, instead of a cheque you get a voucher that is only redeemable with that supplier. If you protest and ask for an open cheque you are offered a cheque for about 2/3rds of the sum.

Putting this in context, you may get your workshop stolen, but receive a voucher that's only usable in Clarke's Tools - a long standing supplier but not one that stocks Myford, etc..

In our case a claim for jewellery was restricted to Goldsmiths, but with a caveat that it could not be used on certain brands of jewellery in their stores irrespective of the original claim items.

It's certainly worth checking with your insurer!

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Just had that with camera and PDA. Vouchers for Dixons Group only. At least they had stock to replace. GeoffH Norfolk - UK

Reply to
GeoffH

Who were you insured with?

In message , GeoffH writes

Reply to
Martin Akehurst

Is it simpler if one has provided a schedule of the exact items to be covered... eg. Dean Smith & Grace 17" toolroom lathe as opposed to Chester lathe etc?

Mark Rand RTFM

Reply to
Mark Rand

Should have mentioned. SAGA Gives my age away :-) GeoffH

Reply to
GeoffH

No, if you have the date purchased / receipt they will work out what it's worth to replace today, but it'll still be a voucher and there's no guarantee the provider stocks the equipment.

In message , Mark Rand writes

Reply to
Martin Akehurst

HI,

When I had my w/shop broken into the Ins Co tried the same thing. I insisted that they pay me......Certain tools have certain facilities etc etc. Also check wording on policy, or even advertising blurb. If it says "like for like" then you can get payment to buy exactly what was lost as long as it is still available.

Rgds

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Lathe User

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