Theft Claim for Cell Phone: Insurance Company Needs to Explain Denial

by A. Plotney
(United Kingdom)

Heya, my phone got stolen from me (pickpocketed), i reported it to the police the morning after, same with the phone network. Then i rang the insurance company to claim it. But when i rang back they told me that the claim got declined because: "it looks like it have been lost, rather than stolen, as there was no evidence of it actually being stolen, and your insurance doesn't cover you from loss". I want to appeal, but whats the best way to do it? and how can I convince them that my phone been actually stolen and not lost? Thank you very much in advance!

Thank you for your question.

Having a cell phone pickpocketed seems to be one of the most clear cases of theft there could be. If you reported the theft to the police department and the telephone network as you described to us, then there seems to be no basis for the insurance company denial. If you told them that it was stolen, and the statements you made to the police and telephone company reports state the same, that should be good enough. Then it would be considered "arbitrary" (at least here in the US) for the insurance company to deny your claim; the insurance company is in essence just calling you a liar if it ignores your statement without proof to the contrary.

Not only is that wrong of them to do, it makes horrible business sense. Here in the US, we can sue an insurance company for denying a claim without a good, sound reason. That makes insurance companies over here very, very careful.

Have you actually gotten a denial letter from the insurance company? If there is not one, could it be that their decision to deny is not really final? Is their decision to deny perhaps based on incomplete information? An idea of the time frame or the actual wording in the denial might help us understand what the insurance company employee is thinking on this one.

Good luck; you should prevail.

This article is written for informational purposes and is not intended to take the place of competent local legal counsel. We form our response based on the information provided.

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