Travel Insurance Claim Refused

Under the Consumer Insurance (Disclosure and Representations) Act 2012, if an insurer asks a clear question when a policy is sold or renewed, you must take reasonable care not to misrepresent your answer. If your policy asks, tell the insurer about significant changes in your health when you become aware of them, even if you are waiting for a diagnosis. source

The insurer may cover the condition at no extra cost, charge more, exclude it or withdraw cover. If it withdraws cover, the Ombudsman generally expects it to offer to cover the costs of cancelling any holiday due in the policy year, without deducting an excess. source

For consumer policies, an insurer rejecting a claim because of a misrepresentation is generally unreasonable unless it was a 'qualifying misrepresentation': you failed to take reasonable care not to misrepresent, and the insurer can show it would not have written the policy at all, or only on different terms, without it. source

The FCA's rules say an insurer must handle claims promptly and fairly, give you reasonable guidance to help you make a claim and appropriate updates on progress, not unreasonably reject a claim, and settle claims promptly once settlement terms are agreed (ICOBS 8.1.1R). source

You should first complain formally to the insurer. A business has 8 weeks to consider most complaints. If you have no final response within 8 weeks, or you are unhappy with it, you can refer the complaint to the Financial Ombudsman Service. source