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It sounds like PO made the cockup, PF might not pay out but the PO really should.
The fact that they offered you and you bought extra insurance for a musical instrument should be enough for them to be obliged to pay up. The person who sold it to you should have known what was and wasn’t allowed, regardless of what the T&Cs say, they essentially decided to vary the terms of the contract.
If you feel you are being fobbed off by their customer support, it might be an idea, if you are friends with any lawyers, to have one of them send a letter threatening action. Having done customer service jobs in the past, a legal letter has the effect of the matter being kicked up the chain to someone with a bit more decision making power. The chances are that the ground level customer service staff are probably not that well trained, overworked and paid shit money, so there is a chance of it being “computer says no”
*An Official Foo-Approved guitarist since Sept 2023.
But returned to the incorrect house, with his neck broken and a week late.
I've had one delivered by them smashed the hiscox case and the pickups somehow flew out of the pickguard.
Another i took out of the case and the neck was hanging off as 2 screw holes had stripped.
Another time they delivered an empty box with a sticker on it that said something like "we can see there's nothing in here. Submit a claim" so we did and they said nothing we can do as no proof it ever had something in.
Best was my mortgage documents arriving with the envelope fully slit open, the pages all bent and shoved in a plastic wallet with the same sticker on saying "we didn't do as well as we should this time".
Had to call the solicitor and go through fucking hundreds of pages 1 by 1 making sure everything was there.
So the claimant tried your course of action. Eventually he got hold of the CEO’s number who was already aware of the problem...
The CEO told him to piss off and that if he continued on that course if action, the company would press charges for bullying and harassment. Now whilst these are civil actions, the fines that can be imposed are substantial. Plus, because copies of all correspondence were kept the evidence was existing and the ‘customer’ would lose the case.
So your tactics may get you somewhere if you are definitely in the right, but if you are just not accepting a reasonable decision be careful what you do and how you conduct yourself.
In this instance, filling in a compensation form is the correct course of action. However you may want to check the small print - as very few companies pay out for damage to a guitar in transit. And in my experience, the Royal Fail/Parcelfarce fall into that category.
No amount of harrassment changes that... despite how morally wrong it appears.