dacouch

see other thread from burnt shed http://www.moneysupermarket.com/community/forums/t/burnt-shed-35442.aspx

NU. There are alot of Contents policies provided by NU for Council house tenants. As soon as the loss adjuster looked at the sum insured £13k and the shed claim for £3500, the alarm bells would have been ringing very loudly. This is why the VAR form was requested. Loss adjusters have alot of previous experience of handling claims of a similar nature and the outcome is what I would have expected. I have heard of stories where Contents have been temporarily stored elsewhere with a neighbour or friend, so when the Loss Adjuster checks a suspicious VAR form value of £13k, the policyholder is not found to be underinsured. In one case a LA found Contents hidden in a loft.

It is to burnt sheds credit that the VAR form was honestly completed.

Huckster

when we first took out the policy 9 years ago with the local authority the property value was low but over time we built our family up as well as our stuff ....fair point .... but we never thought you could claim on kids toys ..our clothes ....light fittings .... linen.... ect....ect....ect all the trival things and we never had a var form to fill out when we first took out the policy so we was never informed about one either so after this claim( which was for 3500 we are insured for 13000)we will be readdressing the issue and paying the appropriat amount but due to me being nieve and honest its cost me 1750 but i was still led to believe by the loss adjuster that this var form would not count towards this claim if i had known that i would have told them that i was adequatly insured

Burntshed

If the VAR (value at risk) form you completed showed that you were under insured, then of course any claim would have been reduced accordingly. When you take out an Insurance policy, you have to declare that the sum insured covers the value at risk. There are alot of people that take out the lowest possible cover to minimise the premium they are paying. If this is the case they should not moan when Insurers reduce their claims.

Following your claim, your Insurers will write to you, asking for you to increase the sum insured to reflect the VAR form amount. This will of course increase your premium. If you refuse to increase the cover, your Insurers may decline to offer renewal.

huckster

i recently made a claim for my shed +contents of my shed .the loss adjuster came round told me i had to get a quote for a new shed and fill in a VAR form which i done .then when they finally gave me a figure it was half the figure i was claiming for when i queried it i was told it was because i was under insured .... they was going on the information on the var form which the loss adjuster told me was a compulsery form i had to fill out and would not come into effect until my next policy renewl date any advice please