NFU Mutual apologises and pays farmer full storm damage

NFU Mutual has apologised to a County Antrim dairy farmer and paid his full £55,000 storm damage claim – following weeks of dispute over alleged underinsurance.

The dispute began when Storm Eowyn tore through Gary McConnell’s Glenarm farm on 24 January, severely damaging buildings including the cubicle house and dairy facility.

Trusting his long-standing policy with NFU Mutual, he was stunned when just £18,000 was deposited into his account.

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“You can imagine my disgust and anger when the payment I received was only £18,000, which wouldn’t go very far in fixing the damage,” said Mr McConnell.

“We have insured our farm and vehicles with the Mutual for years and trust them to have our backs if anything happens.”

Initially, NFU Mutual stood firm, insisting his policy didn’t qualify for full payout due to underinsurance.

“They were quite adamant that was all they were paying me, and started claiming that my farm was underinsured,” Mr McConnell said.

“I argued that the policy I had renewed… was based on what they had assessed my farm to be worth. I didn’t value the farm.”

Frustrated and getting nowhere, the farmer sought help from his local MP Jim Allister and others.

Following further scrutiny, and revelations that other farmers were experiencing similar issues, NFU Mutual reversed its position.

Insurer U-turn

The rural insurer admitted it had failed to properly investigate the status of a new farm building.

Once it was clarified the building was practically completed before the policy began, the claim qualified under the Waiver of Underinsurance.

“We should have interrogated this more thoroughly in the first instance and sincerely apologise to Mr McConnell for the delay,” an NFU Mutual spokesperson said.

“We have waived the underinsurance… and paid Mr McConnell’s claim in full,” adding that they also issued £500 compensation.

Still, the experience has left a bitter taste with Mr McConnell. “It never should have got to this stage,” he said.

“I know a number of other farmers who are in similar situations and are also going to fight their cases.”