Car Write-Off Insurance Dispute

oysterpearl

Last week we was involved in a collission with another car. The car pulled out in front of us from a side turning, without looking. The police were involved and the other driver admitted liability.

We informed the insurance company on the day and today an assessor/engineer came to look at the damage. The car has a damaged bumper and wing, plus a broken indicator lense. The damage doesn't look too bad.

They informed us that the car would probably be a write-off. We have looked up the market value of this car on What Car and have found it to be somewhere in the region of £1100-1400. Initially when we took out the policy, as we bought the car from a family member (at a discounted rate), we put the car's estimate value down as £500 on the insurance details, as we are no experts and didn't know a proper value, as it's quite an unusual car.

We don't want the car to be written off, as it's still usable and the damage is cosmetic. We really like the car.

We don't have a lot of money for a new car, and assuming we'll only get £500 back (if that) we'll end up being out of pocket and unable to afford a similar car.

The assessor reckons it will cost more than the car value to have it repaired. We are not sure if this is the case, as the damage doesn't look bad at all.

We don't want the car being written off, so what we are wanting to know is are we able to go and get some quotes from garages to repair it? Assuming it's under £500?

Also, as we were not at fault, can the third party's insurance company be expected to pay for the repairs even if they exceed the £500 we originally stated? We feel we shouldn't be out of pocket, as all we want to do is repair the car to be in the same condition as before the accident.

Does anyone know how this would work?

Thanks for any help.

Oscar_The_Grouch

Hi there

Check your policy wording for details on how "total loss" claims are settled. In some they now limit the cover to the value you place on it or the "market value", whichever is the lower. "Market value" is the amount you would pay to replace the car on the open market with one of the same make, model, mileage and condition.

If your insurers do have the limitation, you can claim directly off the other persons insurance. You can also use a third party firm, such as Albany Assistance or HelpHire, but I'd recommend sticking with your own insurers for now to see what happens.

As to why your car may be written off, it may be that the accident has damaged the chasis. This is expensive to fix and on an older car will usually result in a write off.

Hope this helps.

oysterpearl

Oscar_The_Grouch wrote: »

Hi there

Check your policy wording for details on how "total loss" claims are settled. In some they now limit the cover to the value you place on it or the "market value", whichever is the lower. "Market value" is the amount you would pay to replace the car on the open market with one of the same make, model, mileage and condition.

If your insurers do have the limitation, you can claim directly off the other persons insurance. You can also use a third party firm, such as Albany Assistance or HelpHire, but I'd recommend sticking with your own insurers for now to see what happens.

As to why your car may be written off, it may be that the accident has damaged the chasis. This is expensive to fix and on an older car will usually result in a write off.

Hope this helps.

Thanks for the reply.

We have 3rd party fire & theft insurance, so we are using our insurance to claim from the other party's insurance. The terms and conditions don't really mention about the market value, only saying they'll pay no more than the market value. However, this seems to be about fully comprehensive insurance, where as we are claiming from another party?

Our aim is to not have the car written off. Assuming we could get the repairs done for less than £500 would they agree to that or do we have to write it off just because they say so?

Also, if the cost of repairs exceeded the value of the car, would we be entitled to have the cost of these repairs met by the other insurance company or would they have the right to force us into accepting the market value?

We aren't looking to make anything out of this situation, we'd just like to have the car we had prior to the accident.

Oscar_The_Grouch

If you're claiming direct off the other side, then I suggest you check the value of your car with Glass's Guide. It will cost you £3.50, but it is the guide that insurers use for calculating the "market value" for cars.

I'm suggesting this because the third party insurer are interested in offering you a value that will give them the best chance of settling the claim quickly, but not necessarily the full value - it's up to you to know whether what they offer is the best deal.

What you then do is go to your local garage (or phone your own insurers and say "If I were making a claim, where would my nearest approved repairer be?") and get them to quote for the repairs. You also ask them for a value for the scrap (ie, how much they would take the car off your hands for in its damaged state).

Take the Glass's value for the car and subtract the scrap value. If this is less than the repair cost, you should be in a good position to fight to get the car repaired (and the third party will probably agree to this). Otherwise, ask the third party insurers for the Glass's Guide value for the car less the scrap value and sell the car to the garage.

oysterpearl

Thanks for your replies.

The assesor rang us up and gave us a very good financial offer to keep the car and have it as a Cat C. We'd like to accept this and put it back on the road.

In the accident, the car sustained a broken indicator lens (we've taped up the remains so it's still usable) and it's bent the bumper and front ring, plus some scratches. We've been hearing some funny sounds from somewhere underneath the car, but the car still drives and steers fine. In this state, is it fit for a VIC check? I understand the check is mainly for car cloning but it does mention about the vehicle being road worthy and obviously I'd like to get the car back on the road legally asap without having failing a VIC test on the way.

PNPSUKNET

even if its written off, you are aware you can buy it for next to nothing from the insurance company. Just ask them how much, example my 03 punto was written off in 2005, they paid out 6k, I could buy back for £800

adamc260

Providing there's no structural damage, ask if the third parties insurance company can Cash in Lieu the value of the vehicle so that you can get the repairs done