Couple loses $40k after thieves strike—insurance company's response will shock you

A couple’s ordinary night turned into a devastating ordeal when thieves struck their home, leaving them not only without their car but also facing unexpected challenges with their insurer.

What seemed like a simple case of theft quickly spiralled into a fight for fairness.

This raises questions about what’s truly covered when disaster strikes.


A Gold Coast couple were left facing a $40,000 loss after their new car was stolen from their garage, with their insurance claim rejected because they had left the keys inside the vehicle.

Guy and Nadine Broadbent had been asleep when thieves broke into their home last August, prying open a locked gate and entering the garage through the laundry door.

At 4:00 am, Guy awoke to discover their 2023 Kia Seltos Sport sedan was gone.


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Gold Coast pair lose $40K in car theft. Image source: Getty/dardespot


The couple quickly lodged a claim with Budget Direct, only to have it denied because the keys were found in the centre console.

‘The car was secured in the garage. They’ve gone through our home, into the garage, lifted up the roller door and taken off in the car,’ Guy shared.

He added: ‘I feel silly for being honest with them (police) but I’m an honest person and do the right thing.’

Guy explained: ‘I told them the car was locked up in the garage and the key was in the centre console. We got broken into and they’ve driven away with it.’


Sadly, the car has never been recovered.

In a letter to the Broadbents, Budget Direct explained that the claim was being denied due to the keys being left in the car.

The insurer stated: ‘You must ensure that you or the person in charge or control of the car, lock the car, activate any required security devices, and keep all keys, remote locking devices or proximity keys safe and secure.’

The letter further clarified: ‘This includes, but is not limited to, ensuring all keys, remote locking devices or proximity keys are not left in the car.’

The couple appealed to the Australian Financial Complaints Authority, but their request was unsuccessful.


On Sunrise, reporter Georgie Costi shared the story, calling it ‘a reminder to everyone to always read the fine print’.

She explained: ‘Guy and Nadine...were fast asleep when thieves actually forced their way into their home.’

‘They used tools to break in via the side door and the laundry. They made their way into the garage then when they were able to steal a brand new $40,000 car.’

Georgie continued: ‘The couple woke up...realised the car was stolen and they reported it stolen to police and the insurer, and they were honest—they revealed the keys were in the centre console.’

‘That’s when things got really tricky.’

‘The insurer, Budget Direct, refused to pay out the claim.’

She added: ‘The couple are furious...but the insurer says the keys needed to be locked away and stored safely.’


In a previous story, concerns were raised about insurance policies leaving customers vulnerable when they need support the most.

Now, an investment watchdog has taken action against QBE over claims of ‘misleading’ insurance policies.

Read on to learn more about the crackdown on questionable insurance practices.

Key Takeaways

  • A Gold Coast couple, Guy and Nadine Broadbent faced a $40,000 loss after their car was stolen from their garage while they were asleep, and their insurance claim was denied because the keys were left inside the vehicle.
  • The thieves broke into the Broadbents' home by prying open a gate and entering through the laundry door, making off with the car by lifting the garage roller door.
  • Budget Direct denied the claim, citing that keys must be kept safe and secure, and not left inside the car, according to the policy.
  • Despite appealing to the Australian Financial Complaints Authority, the Broadbents' claim remained rejected, with the insurer maintaining that the keys needed to be locked away safely.

With insurers’ fine print often coming into play during difficult times, how far should we go to protect ourselves from unexpected claims issues?

Share your thoughts in the comments below–we’d love to hear your take!
 
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So they made a mistake they should still be covered even if you brake something in your house it is still covered by insurance if I was them I would take this further
 
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Reactions: Bridgit
So they made a mistake they should still be covered even if you brake something in your house it is still covered by insurance if I was them I would take this further
It would only cost them more money. No good solicitor would take the case.
House insurance and car insurance are two different things. Your car is not covered under your house policy.
 
Pretty unlucky, but.. Any insurance company will find any excuse to get out of paying a claim, I hate insurance companies! Same ol story, victims get punished & crooks are usually protected
 
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Reactions: BigAl6164 and DLHM
Budget Direct ... the outfit that strongly implies they'll pay out if a meteor smashes your car and pulverises your home ... YEAH. RIGHT.

Budget Direct's fine print escape clause is so broad it's almost impossible to meet: "‘You must ensure that you or the person in charge or control of the car, lock the car, activate any required security devices, and keep all keys, remote locking devices or proximity keys safe and secure.’"

What constitutes "safe and secure"? Were Guy and Nadine not entitled to believe the car keys were "safe and secure" in a remote-operated lockup garage in their own home? Does Budget Direct demand its patsies, er, hapless customers lock keys in a fireproof safe bolted to the floor?

Most of us, I imagine, simply hang up our car keys when we return home. Given that villains could break into our homes at any time, does this normal practice satisfy Budget Direct's demands? Who knows? Is it worth the risk of finding out?
 
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Reactions: magpie1 and Bridgit
It seems like there is no common sense anymore, it is well known that you don't leave car keys in cars no matter where it is parked. It is quite clear on my policy and not in the fine print.
You're lucky it's not in the fine print!
 
My son was paid out when he was broken into and his keys were stolen from a rack on the kitchen wall.
And no I don't work for an insurance company. So I'll just stick to my opinion.
Houses get broken into everyday. If you have the place locked up they pay out.
You're not expected to have a vault to "secure"everything up.
Leaving your keys in the car is just plain dumb.
Budget Direct's terms are so broad that leaving your keys on the rack indoors would not cover the "safe and secure" condition.
 
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Read your policy. It clearly states keys are not to be keft in the car, fullstop.
If the keys had been anywhere in the house the insurance company would have paid.
I'm flabbergasted that so many people seem to be ignorant of this. Perhaps more people need to read their policies.
There is a section that sets out what is not covered. It’s not the insurance companies fault if you choose not to read it.
"If the keys had been anywhere in the house the insurance company would have paid."

Really? You know this, how?

Budget Direct's requirements are so broad that leaving keys "anywhere in the house" would

not satisfy them.
 
when the thief/s broke into the house, the FIRST THING they would have done was to LOOK for valuables & CAR KEYS. ITS STRANGE that they then broke into the garage,?? maybe/ just maybe, when they COULDNT find the car keys in the house, they thought the keys COULD STILL BE IN THE CAR, ( if so, CLEVER ROBBERS.?) wonder what the insurance companys re-sponce WOULD have been IF they found the car keys in a bed side drawer.??
Well they would see that you did attempt to protect your keys rather than leave them in an unlocked car!
Attempt would be the key word not left them in car.
 
Budget Direct's terms are so broad that leaving your keys on the rack indoors would not cover the "safe and secure" condition.
Don't think my son was with Budget Direct, I don't know who, but they did pay out.
I'm with Budget Direct. Have had two storm damage claims and one bag snatch.Had no problems at all with any claims.
 
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Reactions: DLHM
Budget Direct ... the outfit that strongly implies they'll pay out if a meteor smashes your car and pulverises your home ... YEAH. RIGHT.

Budget Direct's fine print escape clause is so broad it's almost impossible to meet: "‘You must ensure that you or the person in charge or control of the car, lock the car, activate any required security devices, and keep all keys, remote locking devices or proximity keys safe and secure.’"

What constitutes "safe and secure"? Were Guy and Nadine not entitled to believe the car keys were "safe and secure" in a remote-operated lockup garage in their own home? Does Budget Direct demand its patsies, er, hapless customers lock keys in a fireproof safe bolted to the floor?

Most of us, I imagine, simply hang up our car keys when we return home. Given that villains could break into our homes at any time, does this normal practice satisfy Budget Direct's demands? Who knows? Is it worth the risk of finding out?
Your car keys are covered under your car policy, not H&C.
You're not supposed to leave your keys in your car, what's so hard to understand about that.
With today's push button start, if your keys are in the car the car doesn't lock. Or at least that's how mine work.
 
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i think that if the thieves had to break into the house that the keys were actually locked up even though they were in the vehicle so i would never use budget direct
Yes, and I suspect if they just happened to leave said keys on the kitchen bench that Budget direct will say the same thing.
 
Your car keys are covered under your car policy, not H&C.
You're not supposed to leave your keys in your car, what's so hard to understand about that.
With today's push button start, if your keys are in the car the car doesn't lock. Or at least that's how mine work.
Its a grey area here, you say not in car.
Someone else here posted this. Budget direct fine print escape clause is so broad it's almost impossible to meet: "‘You must ensure that you or the person in charge or control of the car, lock the car, activate any required security devices, and keep all keys, remote locking devices or proximity keys safe and secure.’".

Where does it say NOT IN CAR. 'lock the car' does not cover leaving keys in car. what if there are 2 sets of keys and a partner left one in the car.
 

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