Nationwide Home Insurance bike theft claim – outbuildings limit warning

I thought it’d be worth sharing my claim experience with Nationwide Home Insurance (RSA) following the theft of 2 bikes from my shed – my wife and son’s.
Before taking out the Home Policy, I noticed that there was a limit on outbuildings and as the bikes were in a shed I needed to clarity this. I was told that if I took out the additional Bicycles cover, I would be insured for any bikes under £1K and bikes above that can be named on the schedule (obviously for a premium increase). I was told that because the cycles were listed separately the outbuildings limit would not apply. I queried this strongly and got reassurance.

Anyhow, you can see where this is going… I make the claim (new for old basis) and they come back and say that bikes in outbuildings are only covered up to the outbuildings limit, regardless of whether they are listed on the policy or under £1000. I’ve been told the additional bicycles cover is only for away from the house (which isn’t correct if you read the policy)

The difference for me isn’t much, but I’m disputing it on a matter of being miss-sold. I’ve requested the call recordings and raised a complaint.

So a warning to others who might have this policy or thinking of taking it out.

(which isn’t correct if you read the policy)

The policy is the policy, and is the last word. Have you got the policy document they sent when you took out it out, and does it definitely say what you think it does?

If they have mis sold the policy and this can be evidence (ie call recording) you are likely to have success with the FOS, they often side with the consumer.

It can be worth finding a older FOS decision as a case study, may help influence the insurer if they review it as a complaint.

Looking at the wording (https://www.nationwide.co.uk/~/media/MainSite/documents/products/insurance/home-insurance/P3398-policy-wording-booklet) I would read from page 39 as the relevant section, this would imply that you are covered up to the bicycle limit in an outbuilding. This is assuming you have taken the bicycle cover.

I had the same issue with the AA. Capped my claim at that limit, I then “appealed”, they insisted on going back to the recordings.  Where I had repeatedly asked the salesperson to confirm that multiple (at least 8) bikes all under the named item limit were covered, even if they together they comfortably exceeded that. On the call they never mentioned the outbuilding limit (which includes detached garages).

They settled for the full amount once they had been through the recordings, though they did include a “it’s up to you to check that the policy meets your needs once the paper work arrives” jibe – I pointed out that I had multiple times on the call…mumble grumble.

Then the fun started with trying to discount the payment as I wanted cash settlement, not new bikes (most of them were older bikes I’d built up from frames). Said I’d have to talk to Wheelies about whether they could source appropriate replacements. Spoke to a really helpful chap at Wheelies, who I suspect told the AA to pay what he’s asking quickly before he really takes you to town – one of the bikes was an early 80s Witcomb custom road frame (campy dropouts, first generation Dura-ace mechs) which owed me me about £350 (fair price for what it was) – rather than getting them to provide a brand new custom frame dripping with Dura-ace.

Looks like you have cover if that wording is the right one, and depending on what your schedule says.
There’s often a lack of understanding about how specified items can be covered worldwide, but yet somehow have a mysterious limit applied when in one’s home! The wording there seems to imply that the bikes could have been left in the street outside your house, but locked up, and a claim would be paid in full. But what they are telling you is that because they were inside an outbuilding, they’re not covered in full, which is nonsensical.
If you specifically asked that question and it was confirmed over the phone then they’ll have it recorded.
It’s £550 fee for them to pay if you end up going to FOS, no cost for you. Just follow their complaints procedure and see what happens.

The wording there seems to imply that the bikes could have been left in the street outside your house, but locked up, and a claim would be paid in full. But what they are telling you is that because they were inside an outbuilding, they’re not covered in full, which is nonsensical.

I’ve had that confirmed by at least one insurer in the past.

Interestingly, we’re also with Nationwide, I asked exactly the same question as the OP and got exactly the same reply.

When I applied for nationwide home insurance the UI for bike cover is absolutely appalling. It completel doesn’t make sense, and then when I phoned them they said something completely different.

I don’t think they have a clue about bike insurance, as evidenced by their stupidly low premiums. I think the underwriting analysts there are going to be getting a slap once they start looking at their claim to premium burn rates.

Thanks all for the advice. I’ll update this thread as the story develops.

@IHN the policy is the policy and is worded quite ambiguously!

@tomato there is no bicycle limit in the schedule only an outbuildings limit

@bails if you got the same answer it sounds like a general sales error rather than one agent. I suggest you call again, you may not be insured.

@Rich_s good info about the FOS

@thegeneralist I think the policy is badly written and this makes it hard for staff and customers to interpret

Have you got the bikes listed as a separate item?

Any ambiguity will be in your favour, FOS Charges only kick in once they’ve had 25 complaints however lets face it a company that size will have done.

Worse than the thieves, these insurance companies. At least the thieves only take something once and know they are in the wrong.

Anyone had a similar experience with Home Protect / AXA? All our bikes are listed separately and also stored in an out building.

i had a bike stolen from work and claimed on nationwide.

on the phone they said 2k payout. then when it came to it only 1k.

i asked them to go through the recordings and then they paid out 2k

Just checked my policy, and I can see a way they could wriggle out of paying for Specified Items stolen from the garage.

The define THE HOUSE as House
does not include the fixtures and fittings, outbuildings, garages..

Then the Specified Items covered:
This provides cover if Your Specified Items suffer loss, damage or are stolen while they are:
• temporarily removed from Your House to anywhere within the United Kingdom
• temporarily removed from Your House to anywhere in the rest of the world for up to 60 consecutive days
• in Your House.

The outbuildings/garages are part of what they call The Home, but not The House.
So unless they count them as “temporarily removed from Your House” then maybe they’re not in The House… dodgy bastards

Just went on the online chat, they confirmed that my specified items are fully covered whilst in my garage. I’ve got a copy of the chat, not that my bikes are going to get stolen, but you need to know you’re getting what you’re paying for eh! (Sheila’s Wheels Insurance)

And thanks for the warning OP!

Thanks for heads up OP and well done DezB, usefull to know.
I’ve started paying more attention to outbuildings cover since Pedalcover changed their policy.

you need to know you’re getting what you’re paying for eh! (Sheila’s Wheels Insurance)

You use Sheilas’ Wheels because of their great reputation? Their handbag cover? Or because they are cheap? ;-)

Quite agree that their wording is horrible. Case in point would be if your bicycle was never kept in your actual house, then it could never be temporarily away… So there could never be any cover.

I’ve now concluded by claim and thankfully it’s ended well.

RSA (trading as Nationwide) have admitted that their claims expert was in error to state that the outbuildings limit applied when I had purchased the additional cycle cover. Had I not pushed this point (and spent hours on the phone) they would have left it as that, so always push.

I raised a complaint and got them to review the original call logs where I asked them about outbuildings and cycle cover (I also got these sent to me under GDPR) and I clearly was told that the outbuildings limit did not apply when purchasing cycle cover. They’ve given me £50 for my wasted time.

I have also got them to review the wording of the policy for cycles as it currently says that cycles are only covered away from home for ‘accidental loss’ (it’s not like a laptop you can leave on the train!). They are providing me with a letter to say that the bikes are cover for theft away from home.

So the lesson is to always read the policy in detail before taking out cover and speak to the agents beforehand if anything is at all unclear, asking them to confirm the call is being recorded.

You use Sheilas’ Wheels because of their great reputation? Their handbag cover? Or because they are cheap?

(3 weeks later, I know) As long as it’s cheap and provides the cover I need, what else is there? Doubtful I’m going to claim anything (only ever claimed twice in my life), so no way I’m overpaying insurance because of some perceived benefit that doesn’t exist, so the cheaper the better.
Sheila’s Wheels reputation any worse than Legal & General? Admiral? Churchill?
2 out of those 4 companies have screwed me royally, and neither are Sheila’s Wheels.
Does that answer your question?

I’ve now concluded by claim and thankfully it’s ended well.

Nice one OP. Good to get a follow up.

As long as it’s cheap and provides the cover I need, what else is there? Doubtful I’m going to claim anything (only ever claimed twice in my life), so no way I’m overpaying insurance because of some perceived benefit that doesn’t exist, so the cheaper the better.
Sheila’s Wheels reputation any worse than Legal & General? Admiral? Churchill?
2 out of those 4 companies have screwed me royally, and neither are Sheila’s Wheels.

If you can’t see the ironing in what you’ve written there, let me try this on you, Bontrager stylee:

Cheap;
Good cover;
Pays out.

Pick any two.