While it may seem evident that leaving doors and windows unlocked makes it easier for burglars, many are unaware that it can also makes it harder for you to claim your losses under insurance. Insurance companies limit their liabilities by denying as many claims as they can. Most home and contents insurance policies contain a clause excluding or limiting liability where forced and violent entry cannot be proven by the insurance holder. [link]
The Australian Bureau of Statistics has reported that 228,900 Australian households were broken into on at least one occasion in 2013 – 2014 with 73% resulting in the theft of personal belongings. While this only accounts for 2.6% of all houses it only needs to occur once for irreplaceable items to be lost.
Specific wording varies from policy to policy. However, for many years policies of insurance have included limits to the insured from claiming on the policy unless there has been “forcible and violent entry” to your property.
While the distinction between forcible and violent may appear tautological the courts have held that there is indeed an important difference. In Re George and Goldsmiths and General Burglary Insurance Association, Ltd (1899) 1 QB 595 it was found that force could involve the turning of a handle but it was necessary for there to be violence of some kind including lock picking and some form of breakage directly related to the entry. This view has been followed in Australia in cases such as Homeowners Insurance Pty Ltd v Job (1982) NSWSCA. The effect of such an exclusion was that the home owner must “present the intruder with such an obstacle to his purposes that he has to effect entry by force and violence”.
While you may feel secure leaving second floor windows unlocked this was exactly the situation in Homeowners Insurance Pty Ltd v Job (1982) NSWSCA. A second floor apartment window was slightly broken yet left unlocked and it was found that, while force was used in the burglary, it was not violent. As such the home owners were denied insurance.
Thus; it is our strong recommendation that you;
- Have appropriate locks on all doors and windows as described correctly to your insurer and;
- The locks and windows are securely fastened each time you leave your house.
If you have been burgled and your insurance company is denying your claim there may be ways to contest their findings.
This content is intended as commentary and should not be construed as legal advice.
For more information call David Henderson on 03 9629 2211.
