Rejection of claim by Kingprice Insurance

The service that I received from Kingprice was very shocking and disappointing.

I joined Kingprice in 2016 and 2017 to cover 5 houses for rental purposes one of which was for residential.

The consultant who assisted me confirmed that all the houses for rentals are covered in the event of fire.

I also disclosed to the consultant who was assisting me that I have built 5 additional rooms outside the main house for rentals. The consultant confirmed that all the additional rooms are also covered in the event of fire.

I enquired from the consultant who assisted me if he was not misrepresenting me and he confirmed that what he offered to me was within the policy of the insurer.

On 22 May 2021 one of my houses caught fire and burnt down. The house in question was insured for R2,5 million. I have been paying uninterrupted premiums since I joined the insurer and i have been a loyal client to Kingprice.

The insurer rejected the claim citing the following reasons: 1. No cover for damage that is caused or contributed to by defective workmanship 2. No cover where the cause of damage was as a result of mechanical, electrical, electronic breakdown and defect of failure. These exclusions which are not covered by the insurer were never discussed with me by the consultant who assisted me when I took out the policy nor they are included in the policy schedule.

On 24 June 2021 one of the consultants from the insurer called me to advise that ally my 4 houses which are used for rentals will be removed from the policy as Kingprice does not cover the houses which are used for rentals.

I asked him why now because it was confirmed during 2016 and 2017 by the consultant who assisted me that the houses are covered. The consultant responded that I was not properly advised by the financial consultant when I joined Kingpriprice. My house requires a lot of money for refurbishment which I don't have. It is for this reason why I joined Kingprice to cover my houses against fire and other unforeseen events. Please assist me to make the iinsurer pay the claim so that I can fix my house. If the insurer still refuses to pay the claim please make sure that it is blacklisted.