We received a substantial fire claim, about £750,000, which occurred recently at a client of a broker newly acquired by ourselves. The client was insured through Norwich Union's (NU) Preston branch.

We received a substantial fire claim, about £750,000, which occurred recently at a client of a broker newly acquired by ourselves. The client was insured through Norwich Union's (NU) Preston branch.

It came to light that the site where the fire occurred had not yet been added to the policy and a dispute arose over the extent of cover.

Upon all parties checking their respective files it came to light there were numerous grey areas of interpretation and instruction on the part of all parties and NU agreed to review its papers.

After a thorough review, NU accepted the claim in its entirety. This was to the obvious relief of the client, the owner of the previous broker and ourselves.

NU should be praised for taking such a supportive stance over a very sizeable amount and helping all parties to avoid the possibility of lengthy and costly litigation.

In the present climate of insurance industry bad press, I think the other side should be publicised whenever possible.

Dave Mackie
Managing director
ET Knagg & Co

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