Home Insurance payouts

[pipsaholic]

Has anyone recently or in the past had payouts by companies how do these work? They have offered me 2 options 1 a cash settlement and 2 they will find a contracter for me and pay them? I'd prefer to find my own so will they pay me a cheque or send the money to my bank account. they did state you can reclaim VAT after paying it?*

[des8]

If they are your insurers, they will probably pay by BACS. If they are paying due to a claim caused by a third party insured by them, it will probably be by cheque.

Don't forget if you accept a settlement, that is the end of your claim. If during the works further damage is discovered you will find it difficult to obtain further payment.
Also if your contractor does less than a good job. it is down to you to sort.

Also if you are not registered for VAT I don't understand how you can reclaim it.*

[pipsaholic]

Do you have to send them receipts/invoice?

[des8]

Not if they have paid an agreed settlement.

Recently a person reversed into my MGB, damaging the front end.
Her insurers agreed my estimate for repairing it myself without sight of any documentation and sent a cheque.
Up to me when I repair it. If I wanted I needn't even bother.
The claim is settled... end of!

[pipsaholic]

Can you dispute the amount they offer? Can you go to an ombudsman if they refuse and increase?*

[des8]

You can always negotiate, but it is for you to prove the amount of your loss.
You can try the ombudsman, but they take their time and I find them as much use as a chocolate fireguard

[pipsaholic]

Ombudsman worked for me although they rejected my complaint they gave me a handsome goodwill gesture to close the case for good.*

[des8]

lucky you!