Consumer watchdog Which? has completed research in the motor, home and travel markets that found insurers were failing, in many cases, to provide explanations on rejected, partially accepted or disputed claims. This is contrary to the requirements of the forthcoming Consumer Duty standards.

The research questioned policyholders who had made a claim in the past two years. It found 14% of motor claims were rejected, partially accepted or disputed. This rose to 22% for home claims and 38% for travel.

In the motor market, three quarters (77%) of claimants said they were not given a reason by the insurer for rejected, partially accepted or disputed claims. Over half (56%) of home insurance claimants and more than four in 10 (43%) travel insurance claimants also said they failed to receive an explanation from their insurer.

Sam Richardson, Deputy Editor of Which? Money, said: “Claimants who don’t get the full picture from their insurers will struggle to take their claim to the Ombudsman, as they don’t have much information to prove where they and their insurer disagree.

“Insurers need to up their game and let claimants know precisely why their claims are not being accepted in full – and as part of its new Consumer Duty, the FCA should clamp down on firms that fall below the required standards.”

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