Is knocking off the 'Motor Legal Protection' bit a good way to save on Car Insurance?

moneypooh

In the past I have needed to take someone to court to get back expenses and the FULL value of my written off car. Costs came to over £8000 and the nasty piece of work that hit me didn't have insurance! It took 4 years before it was sorted and all my legal fees were paid for by my insurer. Eventually we received all the monies due AND 4 years interest.
I'm all for saving money (wouldn't be here otherwise eh??) but this would have been a nightmare without the legal team supporting me. I saved over £100+ on my policy this year by looking around and £100 cashback with Churchill through Quidco, so the add-on of £24 legal protection wasn't so hard felt.

lisyloo

I totally see where you are coming from and I accept your point that it's a money saving forum.

lisyloo

Costs came to over £8000

Not trying to be pick holes (honest) but just want to point out that this would not be claimable through the small claims court (I've just checked the limit and it's £5K).

moneypooh

lisyloo wrote: »

Not trying to be pick holes (honest) but just want to point out that this would not be claimable through the small claims court (I've just checked the limit and it's £5K).

As I already had legal protection that kicked in straight away it wasn't an option anyway. So small claims isn't always going to be useful. In this case I would have had to pay and then get the money back 4 years later, I really needed the protection part of my policy.

I have used the small claims court before and if the case is a little more than straight forward it's not an easy option at all. In fact I was claiming only £154 and had a hell of a job getting it sorted. The case was found in my favour from the outset but it was very stressful and still took nearly a year for money to come through.

The_Dangerman

moneypooh wrote: »

In the past I have needed to take someone to court to get back expenses and the FULL value of my written off car. Costs came to over £8000 and the nasty piece of work that hit me didn't have insurance! It took 4 years before it was sorted and all my legal fees were paid for by my insurer. Eventually we received all the monies due AND 4 years interest.
I'm all for saving money (wouldn't be here otherwise eh??) but this would have been a nightmare without the legal team supporting me. I saved over £100+ on my policy this year by looking around and £100 cashback with Churchill through Quidco, so the add-on of £24 legal protection wasn't so hard felt.

I doubt it would have been a nightmare, I took mine to a NWNF solicitor who got £3000 back for me (£1500 for the car, and £1500 for an injury I sustained), and all I had was one meeting with him and a various forms to sign. I think the biggest hassle was to walk upto the garage and get a duplicate MOT certificate.

A good result considering I only paid £600 for the car.

moneypooh

The_Dangerman wrote: »

I doubt it would have been a nightmare.

Actually it WAS, as the solicitor for 'their side' contested absoutely everything my solicitor did. Even the court eventually gave the opposition grief for wasting court time. I ended up doing loads of paperwork and this was with my solicitors help, which was fantastic.

Your case was lucky please don't assume that all cases are as easy as that. The legal system isn't always straight forward, even when in theory it should be, problems can still happen.

The_Dangerman

Was it worth it, for £154, considering the trauma you seem to have suffered? Considering all the years of legal expenses you have been paying over the years?

At upto £30 a go, had you have had a policy for just 5 years, you would have been the same position as you are now, and with less stress.

In my opinion, you should only take insurance policies out (which is effective what this is) if you can't afford the re-instatement value. In this case, your re-instatement value was £154. I'm making no comment about your financial situation, but if this is a sum that would be an issue for you, then okay, it's worth it. But if you can afford £154 without too much issue, then self-insuring is the way forward.

Each year put £30 in a savings account, and any other insurances offered, and you have a ready-made re-instatement pool. No claims, no claim forms, no hoops to jump through, simplicity - and cheaper over the long run.

Insurance needs to thought of over more than one year, and play the law of averages. Over 10 years you're almost certainly going to be better off. But that is no use if you can't afford to re-instate the things you would have had to claim for, hence my earlier point.

olly300

@TheDangerman Moneypooh was talking about a non-car related small claims case.

Apart from the money people take others to the small claims court to prove they are not willing to be ripped off. All the cases I've taken to the small claims have been settled outside it simply because the other party knows they are in the wrong and I have ways of locating them.

1carminestocky

I NEVER buy it! What percentage proprtion of people who are currently driving in any one year will go on to have an accident, let alone one that 'turns ugly'? I don't know but surely it would be way less than 1%? Legal Protection for me (with my use of Quidco) equates to approx 35% of my total fully comp bill. 35% chance of me having an accident in the next year that goes pear shaped? Nope. Insurance companies make loads of money out of the 'sods law' approach of their customers. Their profits are based on fear of not having something.

moneypooh

olly300 wrote: »

@TheDangerman Moneypooh was talking about a non-car related small claims case.

quote]

yep!

I guess it's a personal choice and that choice shouldn't be critisied either way.