A company has won a $19,774 payout over work tools stolen from a van while in the care of an insurer-appointed repairer.

The business lodged a claim on February 24 last year after its vehicle was damaged in a collision.

Suncorp accepted the claim and arranged for the vehicle to be delivered to its repairer. It told the policyholder to “remove any personal belongings” before delivering the vehicle.

On March 20, the insurer emailed the van owner to say their vehicle had been broken into. The thieves damaged a window and stole heating, ventilation and air-conditioner tools.

Suncorp agreed to cover the broken window but limited its cover for the tools to $1500 under its policy limits.

The company went to the industry complaints authority, insisting the insurer should cover the total value of the items. It said the repairer left the van “unsecured outside a factory with no cameras”.

The repairer denied being to blame, arguing the claimant was aware of the need to remove personal items from the van. They also said the vehicle was locked and in a secure area.

But in its ruling, the Australian Financial Complaints Authority rejects the repairer’s contention, saying the items were not personal but were for business use. It notes the van contained a large set of tools – some of which were fitted to the vehicle and could not be removed.

The authority acknowledges the repairer kept the van locked and in a fenced area, but says it was outside, which increased the risk of theft.

“The insurer could have required the repairer to store vehicles indoors, monitor them with security cameras, or take other security measures,” the authority said. “It could also have chosen a different repairer that stored vehicles more securely. The complainant did not choose the repairer, so it was less able to influence how the van was secured.

“It is fair for the insurer to take responsibility for what happens to the van while it is in its custody and control.”

The insurer must pay the complainant for the items based on their quoted amounts.

Click here for the ruling.