Thread: insurence lying about vat payment, please help me

my house is insured with the RBS, i had a flood and my bathroom floor and kitchen was damaged,
i had the loss adjusters out, she put the amount much lower then my builders had put, £2500 she said 1700, i disputed it and the next thing i get is a check for £2100, i phoned head office and said very clearly is this including the VAT i was told yes, and when i get the work done to send the bill to the loss adjuster and she would pay the vat.
i sent the bill to the loss adjuster, i had to phone her to ask why the vat hadnt been sent to my builder
she said that the 2100 was for Full and final payment.
even though they have the recording, the loss adjusters boss is sticking to her side of the story.
i used my savings to pay for the shortfall in the insurence clame
so havnt got the vat money

i have requested all documents including telephone recordings to be sent to me, as i intend to clame the vat about £300 back

can anyone offer any advise.

Hello

anyone

Originally Posted by terry1

as i intend to clame the vat about £300 back

I presume you're VAT registered?

Whenever an insurance company pays out to a claimant that is a VAT registered entity, it always pays net of VAT. This is because the claimant can claim the VAT back and will therefore not lose out. If they had paid you the £2500, you would have got the repair done and got the VAT putting you in a better position than you would've been had the flood not happened.

However, from what you've put, it sounds as though they paid the £2100 directly to the builder. This means that the builder is still owed the VAT. You'll have to get him to send you an invoice for the VAT, pay it, then claim it back in the normal way.

i did that but the insurence company say they informed me that it was inclusive of the vat,
it wasnt, im requesting all information they have on my including any phoncalls