It can be extremely distressing when an event has caused damage to your property, health, or income.  The purpose of insurance is to protect you from financial loss occurring. However, it is extremely important to realise that your insurer can decline your claim for  various reasons.

Here are two top tips for you...

1.         Read your insurance policy

As simple as it sounds, people are still failing to read their insurance policies. You need to be aware of what your policy covers.

It is easy to assume that your policy will cover everything you want it to, however this may not be the case.

Most  insurance policies will contain technical jargon that may be complex. If you are uncertain about the meaning of any wording then bring it to the attention of your insurance adviser and seek clarification.

The law considers valid insurance policies as a legally binding contract, therefore when you sign the contract it will be presumed that you are aware of not only your obligations, but also the insurer's obligations, under the contract.

There is no room to be able to say that you were not aware or did not know the contents of the contract.

2.         Always be truthful.

One of the most common reasons that insurance companies decline claims is based on non-disclosure by the policyholder.

They need full accurate information to work out whether to take on the risk and what level to set your premiums at for that risk.

You have an obligation to answer all the questions in your application truthfully. You must not be deceitful, and must always answer all the questions as accurately as possible.

Insurance companies can, and have in the past, declined claims due to exaggeration, and misrepresentation. Not being 100% accurate will create an unnecessary risk of having your claim denied.

Clearly it’s not smart to be paying for your policy to cover financial loss, just to have the claim denied, resulting in you receiving no cover at all.

If you are unsure about what you are being asked, or what the exact scope of a question is, never hesitate to ask your insurance adviser for further clarity.

This could save you from a potentially disastrous consequence later down the line.

One practical way to sort out what the insurance company wants, or what the particular wording of a policy means, is to get on the telephone and discuss it. Most insurance companies record these sorts of conversations, and it is in your interest that they do if they later tell you they said something to you, or you said something them, that you know was not the case.


Leading law firms committed to helping clients cost-effectively will have a range of fixed-price Initial Consultations to suit most people’s needs in quickly learning what their options are.  At Rainey Collins we have an experienced team who can answer your questions and put you on the right track.