A Suncorp customer who challenged the insurer’s decision to decline his home building claim for storm damage has lost his dispute before the Australian Financial Complaints Authority (AFCA).

The customer insisted an unforeseen storm caused a tree to shift or lift, damaging the concrete areas surrounding his house as well as causing internal cracking.

He lodged his claim in January, seeking to have the insurer pay for the repairs arising from the “major upheaval” of concrete, cracking and removal of the tree.

But AFCA dismissed his arguments, agreeing with Suncorp that the damage was not caused by an insured event as outlined in the policy’s product disclosure statement (PDS).

While loss or damage caused by a storm is one of the insured events, the PDS specifically excludes cover for damage caused by the roots of trees, damage from any ground movement, as well as damage from gradual deterioration.

The builder engaged by Suncorp to inspect the damage concluded there was no insured event that caused the concrete upheaval and internal cracking.

The builder identified progressive growth of tree roots led to settlement/movement and the damage to the wall, fence, BBQ and paths, which are supported by photos of the lifting concrete path.

Cornice damage near the granny flat door/window was from general settlement and age of the building, according to the builder.

“The insurer is entitled to decline the claim,” AFCA ruled. “That is because the available evidence does not establish any physical damage to the insured property was from a single storm event or any other insured event under the policy.

“Instead, the available information shows the damage was due to tree roots causing movement and upheaval of surrounding areas.

“This is excluded under the policy terms.”

Click here for the ruling.