Due to the fact that they sold farmgate eggs, a desperate family is suing an insurer after being refused a reimbursement for the house fire that destroyed almost all of their worldly belongings.
Since their home and the majority of their belongings were destroyed by fire nine months ago, Justin Uebergang and Verity Metcalf have been forced to live with their three young girls in a small unit on their farm in southwest Victoria.
They were astonished to receive a letter informing them that their coverage was null and void because they had not disclosed selling eggs from the end of their driveway after paying their home and contents insurance premiums in full with AAMI for five years.
According to them, you answered that question wrongly and ought to have mentioned you run a business from home, Mr. Uebergang told the ABC.
When purchasing home insurance online, consumers are required to respond to a prescribed set of questions, according to an AAMI statement to the ABC.
An insurance official said: “One question is whether a business is operated at the covered address; if there is and you fail to mention, it will void your policy.”
Because the family’s chickens are housed in a shed some distance from the house, they claimed they had not considered it a home-based business.
An honesty box was used as the payment method while selling eggs out of a shed at the gate.
Selling the eggs was compared by Ms. Uluca to setting up a “lemonade stall for your kids outside the house.”
She pleaded for help to AAMI, an insurer that is a part of the Suncorp company.
Why are you treating us like this? demanded Ms. Uluca.
“How on earth can you possibly put us through this only to improve your bottom line?”
The family was residing in the two-bedroom apartment at the time of the fire while the house was being renovated.
The family claimed they had had to use all of their cash to replace the items destroyed and are now living on borrowed money.
The fire was attributed to an electrical issue.
They worry about having to sell the farm.
Consumers must use “reasonable care” to not misrepresent their circumstances in order to comply with insurance requirements.
The couple, who are expecting their fourth child in September, claim to be living on borrowed money after using their funds to replace items lost in the fire.
If their legal battle is unsuccessful, they may be forced to sell the farm.