Help, insurance advice

[hugh reid2]

A friend lost his shed and all his tools to a fire a few months ago and the insurance company is tring to insist that he take vouchers instead of cash.
What rights does he have?
He lost a about $15,000 worth of tools (table saw, thicknesser, drill press, drum sander, cyclone, spindle sander, linisher, bench, planes, mitre guillotine, etc, etc not to mention all the assorted bits and pieces like blades, sandpaper, blah,blah,blah.
Not the sort of stuff you get from Bunnies or total tools.

Anybody know what his rights are?

[_fly_]

Depends where they give him a voucher for. Bunnies, carbatec, pops shed?
I'd get my list of equipment models etc and tell insurance to go get it for me.

[BobR]

Some time back I had over $12K of photographic equipment stolen from my car. The insurance company took it upon themselves to source the replacement equipment. I was in Sydney and the replacement items came from all over the place. It was left up to me to sort out any wrong items. ASwiss army knife came from New Castle and I had to return it at my cost. So be careful if you have them do all the work.

[hugh reid2]

As i understand his situation, the vouchers are for crap chain stores that stock crap tools (not carbatec - although they may fit the category ;-) ).
Can he say "NO, i want the money?"

[_fly_]

If he sources the items he's after he should be able to say how much he wants the voucher for at which stores. Thats fair and not unreasonable.

Its up to the insurance to then organise the vouchers with each of them.

I'm guessing they go for vouchers because they have deals with certain mobs.
To give a 15,000 voucher and they only have to pay (say) 12,000 for it.

There is an "Insurance Council of Australia, ICA" may be worth a call to them to see what you can insist on.

[johnc]

He can say no, these vouchers are not for stores that stock the type of tools lost. It isn't much different to the loss of a persian rug and being given a Harvey Norman voucher, the value might be right but the goods unattainable in that particular store. He needs to explain that to the assessor, if no joy there he needs to go to the next level, there will be a review process of some sort.

[issatree]

Hi All,
Not sure if this is appropriate, But I took, at the time, 88 Photos of most of my stuff, & put it on a CD.
So the Ins. Group have 1 & so do I.

[old pete]

Hi Hugh,

Why not start by reading the terms of the policy for clarification of the issues you raise? If your friend is relying on getting a payout under the terms of a Household Contents policy rather than a Commercial Policy he is lucky to be getting more than the standard max $1000 cover for tools of trade! It's a good idea in my experience to get your insurance through a broker. Sorting out this stuff is their bread and butter and they are pretty good at getting the position clear and tailored to meet your expectations up front. I've also found them to be a bit cheaper than buying retail including buying from the same insurer as they will deal through on your behalf.

Finally please don't be too hard on the insurers,yes they play hardball at times, but I know from part of a career spent in the fire industry that there's a lot of dishonest folk out there barbequeing their premises and then trying to defraud the insurer with a false claim. No inference on your friend's circumstamces obviously: i'm speaking generically.

Cheers old pete

[acmegridley]

Neighbour of my brother in law tried them on with success,hid a new tv set rang the police was given an incident no. takes claim with receipt (which she just happened to have) ,bingo new tv for daughter.What a f.....g scum bag

[rustynail]

Read the policy, if it says new for old then that is what you get. Like for like, that is what you get. Cost price value, that is what you get. Estimated value, cash payout unless stated otherwise. As Pete said, this is where a broker can be of assistance.

[rogerjenkins]

Mechanic mate some years ago got his vehicle broken into, and stolen, complete with a full set of tools of trade under the rear cover, ( ute with custom-made steel lid ), which the, " @#$%^&*% ", thieves took for a joy-ride, rolled the vehicle, & wrecking it.
Luckily everything was fully covered by insurance.
Unfortunately the Insurance Company people were NOT very bright in organizing replacement Tools-of-trade,- even though he pointed out to them in writing he's a qualified, " Motor Mechanic. "
The Insurance Company supplied him with,- a replacement set of, ( please don't laugh !! ),- Cabinetmakers Tools,- $4,000 worth !!!!!
Oh, Yes, they heard about it alright,- in very descriptive language, complete with a personal visit to their office !!!!!!
Insurance Company Personal arranged a very prompt exchange of tools,- all delivered to the mechanic's home address FREE.
From that day forth, he has never, ever had any Insurance problems with that particular company.
Don't know why,- can't possibly work out," Why ?? "

Roger

[damian]

As I've posted here before not all insurance companies are created equal. NRMA might technically pay out but they make it so miserable your better off not claiming. Conversely suncorp really look after you.

I know I'm beating the old drum but after sharing the heartbreak of so many people I know who were insurend with RACQ or NRMA last january and lost everything I feel compelled to keep telling people. Saving 5c on a premium is useless if they drop you in it in your time of need.

With regards the OP:

First things first, as said above you need to look at the policy as that determines all if any rights he has.

Your friend may have had the items specified on his policy. If he had then he is entitled to equivalents, especially if it's new for old. They probably can specify the retailer that supplies but the good have to be of equivalent quality. If the items weren't specifically noted and they can prove he was underinsured he's stuffed.

Come to think of it I should probably get my tablesaw noted on my policy.

[fxst]

Neighbour of my brother in law tried them on with success,hid a new tv set rang the police was given an incident no. takes claim with receipt (which she just happened to have) ,bingo new tv for daughter.What a f.....g scum bag

so did you report it? if not then don't complain. Insuranc fraud is taken seriously even for low values
Pete

[acmegridley]

No, they buggered off to qld shortly after ,good riddance, I say