Jeweller sues Donewell Insurance over $3m burglary claim

A Takoradi-based jewellery company, Elok & Sons Ltd., has sued Donewell Insurance Ltd. at the High Court in Sekondi over the insurer’s alleged failure to honour a fire and burglary insurance policy after the company reportedly lost its jewellery stock to burglary.

The suit, filed on June 22, 2026, is seeking damages for breach of contract against Donewell Insurance Ltd.

According to the statement of claim, Elok & Sons Ltd. says it took out a combined fire and burglary insurance policy with Donewell around August 2025 after officials of the insurance company inspected its jewellery shop, premises and stock.

The plaintiff claims that after verification of world market prices at the time, the total stock was valued at US$3 million. It further says Donewell charged a premium of US$4,266, which was paid in United States dollars at the insistence of the insurer.

The company says it was subsequently issued with Policy No. DIL/CC/FBC/06250007, covering combined fire and burglary.

Elok & Sons Ltd. claims that on September 1, 2025, there was a burglary at its jewellery shop, during which its stock was stolen. It says the incident was immediately reported to Donewell by email, which the insurer merely acknowledged.

The plaintiff further states that after more than a week without action, a person identified as Hammond visited the shop on September 13, 2025, allegedly on the instructions of Donewell, to ask questions and take pictures.

The company says it had already reported the matter to the police and later obtained a police investigative report, which it forwarded to Donewell on September 26, 2025.

According to the plaintiff, there was still no meaningful response from Donewell until October 14, 2025, when the same representative returned to the shop to ask further questions.

Elok & Sons Ltd. contends that Donewell’s delay and handling of the claim compelled its manager to visit the insurer’s Takoradi office to complain about what it described as the company’s lethargic approach. It was after that complaint, according to the plaintiff, that Donewell provided a claim form to be filled.

The plaintiff says Donewell officially wrote to it on November 5, 2025, indicating that it was working on the claim and listing a number of requirements to be satisfied before the claim could be processed.

However, lawyers for Elok & Sons Ltd. responded that the demands were unreasonable and in breach of the insurance contract, especially after the full premium had been paid.

The plaintiff claims that despite submitting relevant documentation and engaging in several meetings and exchanges of letters, it has become clear that Donewell does not intend to honour its obligations under the insurance contract.

Elok & Sons Ltd. is therefore seeking special damages for loss of stock and the current value of the stolen stock.

The company is also seeking general damages, arguing that Donewell’s alleged failure to honour the policy made it impossible for the company to restock, causing grave damage to its business and resulting in the closure of its Takoradi Mall branch.

The case is before the High Court in Sekondi.