Mobile phone insurance, gadgetinsurance.com will not pay out

Craftytina

Hi I bought a Sony Xperia Z1 last December in Mr IPhon Drogheda and lost it two weeks ago. I did all that was requested and finally got reply on Thursday that it was not covered because Mr IPhon is not a VAT registered company(mr iphon told me they do not have the required turnover for VAT registration). Also insurance says it was not a new phone( apparently it was an unwanted, unused upgrade, which I bought as new) so second reason for not covering. Can anyone shed any light on this, is this right, and if so surely they should look for receipt before taking your money and causing all the unnecessary stress and hassle which has been caused when a person comes to make a claim.

Who is the insurer?

ukoda

Craftytina wrote: »

Hi I bought a Sony Xperia Z1 last December in Mr IPhon Drogheda and lost it two weeks ago. I did all that was requested and finally got reply on Thursday that it was not covered because Mr IPhon is not a VAT registered company(mr iphon told me they do not have the required turnover for VAT registration). Also insurance says it was not a new phone( apparently it was an unwanted, unused upgrade, which I bought as new) so second reason for not covering. Can anyone shed any light on this, is this right, and if so surely they should look for receipt before taking your money and causing all the unnecessary stress and hassle which has been caused when a person comes to make a claim.

what??? no

the required turnover is something like 40k, I've no idea how they could keep a shop open and not turnover 40k, how are they paying rent

dudara

Did you purchase the insurance through the shop, or did you purchase it separately?

I've had a quick look at the standard T&Cs from gadgetinsurance.com and I don't see anything specific to the two exceptions you list above. Now that's not to say there isn't a clause, I just can't see anything obvious on my first reading. I would ask them to point to the specific clause in the policy document that governs your case. If you're not happy with the response, then I'd contact the Central Bank of Ireland (the regulator) for advice.

Moved to Banking & Insurance & Pensions.

Craftytina

The insurance was purchased online from gadgetinsurance.com

Quazzie

Surely the insurance was sold to you in error and at a minimum you are entitled to get your premiums returned to you.

Craftytina

There were no questions asked about where it was bought or if the phone was new or secondhand. If you go onto their website, you will see how easy it is...

Craftytina

To be eligible for this insurance, you must confirm the following:
The gadget(s) you wish to insure is/are less than 24 months old and has/have been purchased as new by you in the Republic of Ireland, UK or US from a VAT registered supplier.
Please tick to confirm the above statement is true.
Please tick to confirm that you have read and agree with our Terms of Business and the Gadget Insurance Website Terms and Conditions.
Please tick to confirm that you have read and agree with the terms and conditions detailed in the Policy Document

This was copied from the website.
I assumed that any business operating from a shop would fit this criteria, so didn't check Mr IPhon out.

dudara

They're obviously trying to ensure that the phones they insure have been purchased through proper channels (hence requesting a VAT registration). However, there are genuine businesses that don't need to register for VAT due to small turnover.

I'd chance contacting the Central Bank on this one.

Craftytina

Craftytina wrote: »

To be eligible for this insurance, you must confirm the following:
The gadget(s) you wish to insure is/are less than 24 months old and has/have been purchased as new by you in the Republic of Ireland, UK or US from a VAT registered supplier.
Please tick to confirm the above statement is true.
Please tick to confirm that you have read and agree with our Terms of Business and the Gadget Insurance Website Terms and Conditions.
Please tick to confirm that you have read and agree with the terms and conditions detailed in the Policy Document

This was copied from the website.
I assumed that any business operating from a shop would fit this criteria, so didn't check Mr IPhon out.

They can use to escape that the shop is not VAT, and you were not first owner - it was not new phone. I would ask for refund from insurer.

whomitconcerns

Deleted User wrote: »

They can use to escape that the shop is not VAT, and you were not first owner - it was not new phone. I would ask for refund from insurer.

dont know that insurer would have to refund if teh OP agreed to the terms as stated above.

However, if it was just based on the VAT number, I think you could claim that as a consumer you would have reasonably assumed that Mr Iphone as a registered company would have a vat number, and thus couldnt be expected to have known it didnt.

BUT you still have the issue of not a new phone.

Sorry OP...doesnt look good...

dudara

The phrase is "purchased as new". If the OP bought it believing to be new, then he should be covered.

D3PO

dudara wrote: »

The phrase is "purchased as new". If the OP bought it believing to be new, then he should be covered.

I dont think so. The OP is responsible for making sure the statement they signed up to is correct.

Assuming something is new and assuming a company is VAT registered is not good enough.

Its easy to tell if a company is VAT registered as you would have a VAT reciept from the phone purchase. Assuming a shop is VAT registered in this instance is a costly error on the OP's behalf.

Its harsh but looking at it clinically the OP agreed to a fase statement to get cover so its perfectly reasonable for cover to be refused.