Claiming on insurance/ paying excess if you damage another car?

pippitypip_2

Hi all,

The claiming on insurance thing is all a bit new to me and I keep reading how if you've caused damage to a third party you don't have to pay anything out of your excess. - Is that true?!

My friend reversed into a car the other day at a petrol station (think prob the guy driving the other car wasn't exactly looking either?!), but friend admits her fault.

No damage to her car but there is damage to the guy's car. Her excess is high, I think about £500 but reckon would only cost about £100 to fix the other car.

Should she settle outside of insurers?

Many thanks for any help.
pippitypip.

nomoneytoday

If it's only £100 to fix then I think you know the answer

The T&Cs do state that you should tell your insurer though...

pippitypip_2

Thanks nomoneytoday but does anyone know if the third party damage bit does or doesn't come out of your excess?

Obviously a no-brainer to go through insurer anyway if that if you don't have to pay excess at all to fix the third party's car?

Thanks,
pippitypip

pippitypip_2

Just asked, insurer is Diamond if that makes any difference?

pippitypip

Lorian

pippitypip wrote: »

Obviously a no-brainer to go through insurer anyway if that if you don't have to pay excess at all to fix the third party's car?

No, it's not a no-brainer, you can expect to pay it back in inflated premiums for subsequent years. Not so much effect if you churn insurers each year (you should to get the best deal anyway).

Admitting liability is not so wise either.

Settling directly can be fraught too, when you agree to pay and end up with a bill inflated beyond the cost of the obvious damage. To put this in context, I had to claim from someone's insurance for a SMALL scratch caused to my bumber by someone reversing in to it. The claim was for hundreds of pounds, including respraying the bumper and 2 days car hire.....

pippitypip_2

Thanks Lorian - I think she renews as it's always been the best deal for under 25s but does check first.

Thinking of the cash outlay at the moment, I think if she could avoid laying out the £100 now she'd be quite chuffed but guess from what you're saying she'd lose her no claims bonus.

Sorry never been a car-owner (always a named driver on family insurance) so never had to sort things like this out myself!

Thanks,
pippitypip.

pippitypip_2

Ok update, apparently the quote came back as £700!!

So she is def going to go through insurers, though there may be a prob as didn't notify them within 48 hours as she was out of the country.

Maybe she can grovel and get around that one?

1) Anyone got any clue re the no excess to pay if damage to a third party car? It doesn't seem clear from the Diamond terms..


2) Also her annual renewal was taken yesterday and their terms reserve the right to increase the premium. Would they do that this year or next year on renewal again?

I was wrong, her excess is £300 if that makes any difference.

Thanks!
pippitypip

mcjordi

1) id ask diamond as i know some insurers have a third party excess (like Bell)
2) again ask diamond, but im not 100% sure but personally think it may increase when you tell them, but expect a bigger premium next year

Lorian

Her policy will say if she has to pay an excess. She will need to tell her insurers that she has admitted liability already, and her policy probably tells her not to do this.

mattymoo

Don't worry about the 48 hour deadline. Insurers are used to receiving notifications months after events. Their never happy about it but so long as you report within 7 days you will be fine.

pippitypip_2

Just wanted to update and say thanks to everyone for all your advice.

She hasn't had to pay excess but her premiums have gone up about £150 for the year and lost no claims.

Shame but not the end of the world and a pretty ok outcome really.

Thanks again,
pippitypip