Insurance companies winning 90% of homeowner disputes – How to ensure your home remains in top shape

Failure to properly maintain their prized family asset is costing homeowners thousands in avoidable waste.

The National Financial Ombud Scheme of South Africa’s most recent annual report on the short-term insurance industry shows that more than 90% of homeowner disputes are ruled in the insurer’s favour.

With extreme weather events an ever-present threat, the relentless environmental pressure absorbed by homes of all sizes is making preventive maintenance a cost-saving imperative.

Lack of maintenance costing homeowners

Overall ombudsman complaints increased from 11 542 in the previous financial year to 12 188 in the most recent report, a continuation of an upward annual trend.  

Only 26% of all insurance complaints received by the ombudsman were ruled in favour of the complainant, with only 9.6% of homeowner’s receiving a positive outcome from their disputes.

The combined value of the of the disputed claims ruled in favour of the insurance companies topped R160 million over the last financial year — a hefty sum that consumers had to fund themselves. 

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Among the greatest contributors to disputes being ruled against homeowners were exclusions based on gradual deterioration, lack of maintenance and wear and tear, followed by defects in design or construction.

This places the emphasis on the homeowner to not only deal with maintenance in a proactive manner, but take added care when selecting the right contractor for the job.

Convenient sourcing of maintenance experts

With the increase in extreme and adverse weather events, the risk of damage to homes via flooding, fire and gale-force winds is a case of if, not when.

“Extreme weather is putting major pressure on the home’s infrastructure. Homes were not made to stand forever without regular maintenance,” advised Marc du Plessis, Executive Head of Standard Bank‘s LookSee home efficiency platform.

“Unfortunately, people leave home maintenance tasks for so long that that when they are forced to repair it, it is a major expense. All those issues are preventable if you are doing regular maintenance,” Du Plessis explained.

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To manage the chore of home maintenance with ease, LookSee has developed a modern and reliable pathway to staying ahead of any domestic eventuality.

Using a device of their choice, homeowners place their home’s repair or upgrade needs on the portal, allowing region-specific contractors to bid on available jobs.

Spend now to save later

The portal allows both parties to do business on their terms, as once the tailored job card is accepted, the portal holds the payment in escrow before both the parties sign off.

Ensuring your home is free of anything an insurer can use to repudiate your claim is as much about the paperwork as it is the nuts, bolts, plaster and wooden beams.

“The advantage of using a qualified service provider is that they provide detailed quotations and invoices for work done that can be stored for reference when required,” said Du Plessis.

The portal covers all aspects of home maintenance including access control, locksmiths and security; appliance repairs; building, electrical and plumbing; garden services and pest control; and swimming pool services.

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Managing a property from afar or attending to a tenant’s needs has never been easier with the fully digital and remote experience.

“If you maintain your home now, you can save a lot of money in the future. Avoiding the repudiation of an insurance claim is a big way. The impact of the weather is not going away anytime soon,” Du Plessis emphasised.

All service providers have been thoroughly vetted, with the portal providing a user-rating system that tracks the performance of all service providers, as well as third-party mediators.

Click here to learn more about LookSee’s Home Maintenance Portal.