Really hope someone can help... I have had an account with Lloyds TSB for as long as I can remember and as part of this account, mobile phone insurance with Lifestyle Services Group. I have never had the need to claim but in March earlier this year, my husband lost his Nokia 8800 Arte. I reported to the police and to Lifestyle Services Group within a few hours of discovering loss. They finally accepted the claim in May 2012. I paid the excess and was offered 2 alternative handsets or a cash settlement of £350. I rejected these as I felt the phone was worth much more to which they said they would look into it. When i next chased it, I was told that the claim was being assessed again and was no longer an accepted claim! They were waiting for '3rd party info' and could not tell me when they would recieve this information. After numerous calls, in the middle of June, they finally sent me a letter saying they had rejected the claim as both the phone and the sim had been used after we reported the loss so they felt the circumstances in which we had reported loss were not accurate. I emailed them saying I wasn't happy with this decision and if the phone had been used, it had not been used by either my husband or I but they have simply responded saying I have exhausted the appeals process with them and I should contact the FOS if I wish to discuss further. Is there anything I can do about this or do I just have to accept this very unfair decision? It seems to me as though they just decided that they were not going to pay out for an expensive phone, no matter what... Please advise.