Insurance claim problem chanel handbag please help/advice

[Serenite]

I had my handbag stolen and had to make an insurance claim for it. First time I've ever had to make a claim and I feel out of my depth with it so I'm hoping for some advice/direction.

The bag stolen (I'm devastated) was a seasonal Chanel and so the money involved is substantial.

The insurance company wanted me to identify an equivalent replacement bag but the problem is that, as it was a seasonal bag, it's not available to buy anymore. And prices of seasonal bags have increased hugely since I bought it. I sent them details of a similar bag but, as it was much more expensive, they won't accept this as equivalent.

They say they contact the Chanel store in Manchester and were told (by someone in store) that the average price increase since I got the bag I lost is 17%. I'm surprised this was stated by someone in store, you'd think they'd refer it to head office/customer service. And I wonder if they just asked, in general, what's been the price increase rather than asking about seasonal bags. If anyone reading is familiar with Chanel you'll know that seasonal bags vary in price hugely but the classic bags are always available and they increase in price often. So I'm supposing the 17% increase is for a classic bag - and this isn't relevant in a replacement seasonal bag.

So they've offered me the original price of the bag and 17% - which isn't sufficient to buy a replacement bag. Not even an equivalent style bag, just really any bag.

They've said to me I need to contact chanel and get evidence of what the bag I've lost would be worth today - I can't see them being able to do this and I'm unsure how to handle it. The difference in price is very substantial as the prices have increased a lot (more than 17%)

I've never made an insurance claim before and I'm worried about how to handle this, what their obligations are to me and what to ask chanel to establish what the insurance company wants.

Does anyone have any ideas, I'd be very grateful please.

That sounds really tricky serenite. I think you should ask this question on the purse forum as you will find proper handbag obsessives there who are more likely to know about bag values. There are loads of Chanel threads there.

Hi Serenite

I have no experience of Chanel bags personally, but I wondered if the 17% was actually an annual increase rather than overall? How many years has it been since you bought the bag? This could make a huge difference.

I would ring Chanel head office and explain, with the aim of getting an email address of someone that can help you to a) confirm the price increase and b) what an equivalent seasonal bag would cost today. If you have this in writing from Chanel then the insurance company might be more inclined to use this value.

Finally - I'm sure you will do this from now on but do think about specifically naming your new bag on your insurance policy, and maybe get the value increased yearly, so you don't have this hassle if (god forbid) it should happen again.

Really good luck with it all, I hope you get it resolved happily. :)

Just email channel customer service and explain what you've said here.

I'm sure a company such as channel could give some assistance particularly as you will be purchasing a new bag from them.

I haven't dealt with insurance for a handbag but have for other things. Basically:

Plough through the T&C to know exactly what you're entitled to as there are different terms for how long you've owned something, and what the day's value would be and how much you're entitled to recieve according to those terms both parties agreed to.

Prep everything as if it were for a legal dispute as that is the end game if you and your insurer don't come to an agreement. Document all contact with the insurance company, noting down the full names of any employees you speak to over the phone. Send all mail through registered post, etc.

First I'd ask to see what they're basing their valuation on, if they've just phoned up a random at any old Chanel store that isn't a credible valuation and they know it. They need to be able to give you a written statement that is clearly from Chanel coroporate, dated, signed etc. If they can't deliver this, you have to get this from Chanel yourself with possibly differing information. Make sure you get numbers stating appreciation by year since year of purchase. It may also help to further strengthen your claim by contacting an independent high-end bag reseller/authenticator to give an indication what the market value of your specific bag would be as Chanel will only be able to provide general numbers towards the value of their bags. You may need to pay the authenticator for those services. You may need to hire more than one.

Be prepared to dispute over the state of the bag, unless it was stolen from a safe along with several other highly collectable bags that were clearly a collection and therefore not in use you'll be hard pressed to prove it was in an immaculate/good state. The condition will reflect on the valuation so if the insurance company is unwilling they will push back here.

All in all, it's a lot of hassle and you do have to wonder if it's financially worth the trouble of spending both your time and possibly money on further services to compound your claim. Insurance companies often bank on claimants not wanting to put in the leg work (and often it really isn't worth the hassle) and not knowing their way around the system so they can push to paying out less. If you push back things can get difficult, tiresome, and stressful. Sometimes an in between option is offered, sometimes it isn't. Most claimants won't take it to court as the money involved is too small so they tend to sit in a more comfortable position whilst you run your lungs out.

In all honesty purchase price when new +17% actually sounds quite generous to me if it was a recent purchase. I know Chanel bags inflate in prices heavily but those are predominantly pushed by the highly collectible limited editions, 2.55, Boy Bag, etc. Have you checked on Vestiaire Collective or similar sites to see if the same bag is up for sale? These are asking prices, not necessarily the market value that insurers rely on but it will at least give you an indication of the actual worth of your bag and whether the offer from the insurance company is in line with that or not.

Serenite - which bag was stolen (how horrible!) and potentially which one would you like to buy?

I would phone up the Bond Street store or whoever the SA was that you dealt with and ask for their assistance. You never know they may be able to track down a replacement depending on how old it is. Some of their stores do carry some older stock.

I am with Hiscox who seem pretty good but I guess a seasonal handbag is going to be difficult to value especially as if I were you I wouldn't want to buy a pre-loved replacement.

Thank you all very much - I've not quite had time to properly digest the advise given today but I will and then, I guess, approach Chanel. I really appreciate the time you've taken to respond and the detail given. I'll read later and see what the consensus is on the best way forward.

This is my line of work, to get the money you want, you'll need valuation confirmation from Chanel or at least 2 comparable valuations from well known stockists.

I'm sure Chanel will help, reach out to them.

And make this a reminder to anyone with an expensive bag to ensure you keep receipts to prove value etc.