If you don’t have sufficient proof of ownership of something you have lost or had stolen, your insurer can decline your claim. Read this guide to find out what you need to do to avoid problems.
When you make a claim for lost, stolen or damaged items, your insurer may require you to prove you are the owner of the items. This is a policy obligation known as “proof of ownership”.
If you do not provide sufficient proof of ownership to support a claim, your insurer may decline the claim. It is important you understand your policy obligations and keep appropriate evidence of ownership, in case you need to make a claim in the future.
Vera’s* declined jewellery claim
Vera made a claim for stolen jewellery that a post-loss report said was worth $57,000. The insurer requested proof of ownership and Vera provided one photograph of herself wearing the jewellery. The photograph was not sufficient proof of ownership and the insurer decided to make an offer to Vera of $27,000, due to the lack of ownership information. The IFSO Scheme said this was a fair and reasonable outcome to the claim.
Pania’s* fake photo
Pania made a claim for a ring and iPhone she said fell into the water while on holiday in Fiji. The insurer requested proof of ownership and Pania provided one photograph of the ring. However, this photograph was shown to be false and from an American wedding website. The insurer declined the claim because Pania had not provided proof of ownership (and she make a fraudulent claim).
*Names have been changed
Your policy will outline when you need to provide proof of ownership - usually it is when you make a claim. Your insurer will tell you when it requires proof of ownership for your claim and the type of proof that it requires.
The insurer’s requirements will depend on the circumstances of the claim and the items claimed.
Generally, house, contents and travel policies will contain a specific obligation about proof of ownership. This will include:
Different insurance policies will contain different wordings. It is important you understand your policy wording and the requirements that apply to you. If you are unsure of what is required, talk to your insurer and it can provide more information.
The type of proof that is required depends on the circumstances of the claim and the items that have been lost, stolen or damaged. Your insurer will be able to provide details of the information it requires from you.
The type of proof that you may be required to provide includes:
If you do not have proof of ownership available, tell your insurer the reasons why. Your insurer will then make a decision about how this will affect your claim. If you do not meet your proof of ownership obligations under the policy, your insurer may decline your claim.
The IFSO Scheme expects that insurers will make reasonable requests for proof of ownership. If there is a dispute about whether the proof of ownership you have provided is reasonable, the IFSO Scheme may be able to investigate this, for free.
You are able to request a review of the claim decision through your insurer’s internal complaints process. If you are unhappy with the complaint response, you can ask the IFSO Scheme to investigate your complaint, for free.
Read your policy
Read your insurance policy and make sure you understand the proof of ownership requirements that apply.
Keep records of your purchases
There are a range of ways to keep a record of your purchases:
Keep your receipts when you purchase items, or take a photo and save this digitally
Don’t delete your online purchase email confirmations
Ensure you have access to historical bank statements – this can be by keeping a physical copy, accessing them digitally, or requesting them as needed from your bank.
Take photographs of your items
For gifts and important items (like furniture and appliances), it is a good idea to keep an up-to-date photographic record. Photographs are a good way to prove that certain items existed. However, it does not usually provide conclusive proof of ownership and your insurer may ask for additional information.
Obtain regular valuations
For high value items such as jewellery, obtain regular valuations and keep these valuations in a safe place.