A couple who lodged a claim for a Louis Vuitton purse and iPhone after leaving the items on a plane have lost a challenge to overturn their insurer’s decision to decline their claim. 

The complainants say the loss occurred after their plane landed in Bali. The male complainant initially told the insurer that his partner left her purse and phone on her plane seat while unloading luggage and was distracted. 

The woman noticed the items were missing while she was waiting in immigration and raced back to the aircraft, but they were gone. She says she reported the loss to the Jetstar cabin crew but that they were “not very helpful”. 

The claim notes also say the female claimant had been “extremely upset and crying” due to the “sentimental value” of the gifted items.

Tokio Marine & Nichido Fire Insurance declined the claim, saying the circumstances of the loss were excluded from the policy’s cover as the items had been “unattended”. 

The insurer notes that the policy terms exclude losses resulting from “forgetting the item, walking away from it, or leaving it in a public place”. 

Following the denial, the complainants provided a second account of the story, explaining that the items had been taken in front of them while they had been getting luggage. They say they did not accidentally leave the items on the seat and had checked the seating area for anything they may have left behind.

The travellers argued that they had been very emotional and stressed when they first reported the loss and that this version of events better explained the incident.

However, the Australian Financial Complaints Authority (AFCA) preferred the initial reporting of the claim, noting that the male complainant reported the loss to the insurer calmly and that the claimants had only changed their story after the claim was denied. 

AFCA accepted that the complainants left the items in a spot that could be considered “unattended” as per the policy terms. It notes that the travellers were not in a position to prevent the loss as they had left the plane when the items were taken.

“It is unfortunate the complainants’ personal effects were taken after they exited the airplane,” AFCA said. 

“It would have not been a pleasant experience to deal with the loss whilst they were overseas on holidays.

“The insurer is however not obliged to accept the claim. This is because the complainants’ circumstances surrounding the loss is excluded under the policy.”

The circumstances of the claim were similar to another AFCA dispute reported by insuranceNEWS.com.au earlier this month, which ruled in favour of the insured.

Click here for the ruling.