AN insurance customer has shared how her insurer asked to speak to her husband when she rang about their joint policy, even after she had told them he died.

The insurer asked Tara*, who had recently been made a widow, where her husband was when she called about their joint home insurance policy, despite knowing he had died.

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Tara’s home had been burgled shortly after her husband’s death and sentimental items had been stolen – but it hadn’t recorded that he had passed away properly.

It comes as new research by consumer champion Which? has found almost half of insurance customers have faced difficulty making a claim or felt sensitive issues were handled poorly.

Its analysis found 48% of people who have recently made a motor, home, travel or pet insurance claim experienced a problem while making their claim.

Major problems included having to repeatedly chase insurers for information about their case, and insurers not responding appropriately when people were struggling with the incident that caused their claim.

Which? said the worst cases were where insurers brought in third party firms to help manage cases.

The research also found a third of customers felt claiming on their insurance policy had had a negative impact on their stress levels.

And over a quarter said they felt their insurer’s actions while making a claim negatively impacted their time available to do other things. 

Rocio Concha, director of policy and advocacy at Which?, said: “This research paints a shocking picture of insurers’ failure to handle customers’ claims in a timely, empathetic way.

‘I was made to feel incompetent by Axa’s incompetence’

In another example, Louise, from Walsall, cancelled a family holiday to Spain last year after her father-in-law had a stroke.

After Louise contacted her insurer, AXA Partners, she was asked to upload relevant claim documents to the online portal.

But after doing so, she was repeatedly asked to upload the documents again, despite being notified they had been received.

Louise went in circles for weeks, sending the same documents over and over again, including a medical form for her father-in-law.

Louise phoned the AXA Partners customer service team on numerous occasions and said she spoke to around ten different advisers throughout the insurance claim process. 

Louise said: “I felt incompetent due to AXA’s incompetence. I have dyslexia and kept questioning myself.

“I checked that I had sent all the documents. It felt as though they had everything but didn’t want to pay out. The majority of the call centre staff I spoke to did not seem interested.

“The customer service was shocking. I will never use AXA again.”

A spokesperson for AXA said: “We are sorry for the issues [Louise] experienced during the processing of her claim.

“We acknowledge that on this occasion the service we provided did not meet the high standards we aim to achieve at AXA Partners, and we have provided compensation in recognition of this.

“The claim has now been settled in full and we have confirmed this with [Louise].”

“And, it’s particularly concerning to see how people in vulnerable circumstances due to the event that led to their claim are being failed by their insurers. 

“At a time when many consumers face soaring premiums, it’s clear they’re being ripped off – either by abysmal claims handling that doesn’t match up to the price they’re paying, or by unjustifiably high premiums, especially for those who can’t afford to pay for a year’s cover in one go.”

Insurers are regulated by the City watchdog, the Financial Conduct Authority (FCA), and are therefore bound by new “Consumer Duty” rules which came into effect last year.

These rules say financial firms must treat customers fairly and deliver good outcomes.

Ms Concha added: “The rules for insurers are clear, but the insurance rip-off will not end unless the regulator takes meaningful action against firms that consistently fall short.”

Earlier this year, The Sun revealed how the UK is facing a customer services crisis.

The Financial Ombudsman Service, which resolves disputes between financial firms and customers, received 95,349 complaints in the second half of last year — a 20 per cent increase on the same period in 2022.

How to complain about a financial firm

If you have a complaint about a financial firm, contact the company first and give them the chance to resolve the issue directly.

If you call and are on hold for a long time, try other avenues, such as its social media or the live chat function on its website. You can keep evidence you tried these routes.

Keep a note of names, dates and times of any correspondence you have with the company and write a brief summary of your issue down at the time.

If the company makes any promises over the phone, follow up in writing as soon as possible confirming what was said.

If the company does not resolve your issue, check to see if there is an ombudsman you can appeal to for help.

For complaints about financial companies, contact the Financial Ombudsman Service (FOS).

You must complain to the company first and if they don’t respond within eight weeks or you’re not happy with the outcome, then you can escalate it to the FOS.

How to contact our Squeeze Team

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To get help, write to our consumer champion, Laura Purkess.

I love getting your letters and emails, so do write to me at squeezeteam@thesun.co.uk or Laura Purkess, The Sun, 1 London Bridge Street, SE1 9GF.

Tell me what happened and don’t forget to provide your phone number so I can ring you if I need more information. Share with me any reference number the company has given you relating to your case, or any account name/number if you’re a customer.

Include the following line so I can go to the firm on your behalf: “I give permission for [company’s name] to discuss my case with Laura Purkess at The Sun”.

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