Settling car claim with 3rd Party's insurer - Problem!

mazziee

Hi All,

I'm just after some advice, hopefully someone will be able to help.

I had an accident last year, which I admitted liability to and there was little damage to my car, but because the car I hit was old, it was written off.

I decided rather than loose my NCB and have a claim on my file, I'd settle directly with the 3rd party's insurer (third party was not willing to do it privately). I informed my own insurance I'd be doing this and off I went.

Now I have had a letter from 3rd party's insurers asking for a cheque for £200 (total loss settlement cheque) plus an amount of £434.25 for what they are calling salvage.

They have also asked me to forward another separate cheque made out directly to the third party for £100 for their client's policy exess?

This is all in addition to £300 odd pounds I have already shelled out for a threatening letter to cover hire car costs, so actually wish I hadn't done it privately after all!

I'm confused about what this salvage amount is and also making a cheque payable directly to third party. Surely their costs should include this?

Can anyone shed any light?

Many thanks y'all.

Oscar_The_Grouch

Hi there

From what you've said in your post, you are the unlucky recipient of someone who doesn't know what they are doing at the insurance company. Phone them and say that their letter does not make sense and you want a full, documented breakdown of what they have actually paid out and whether it's subject to any form of financial agreement between them and another party (sometimes they have agreed rates for things that aren't the best in the market).

Hopefully, the costs should go down.

stator

Change your mind and tell em to go through your insurance

Quentin

mazziee wrote: »

They have also asked me to forward another separate cheque made out directly to the third party for £100 for their client's policy exess?........I'm confused about ...... making a cheque payable directly to third party. Surely their costs should include this?

Can anyone shed any light?

This will be correct.

The £100 will be the third party's excess which he will have had deducted from his payout from his insurer.

That wouldn't have been covered by his insurance, and under normal circs he would have pursued you for this separately.

In this case his insurer is saving him the bother and doing the pursuing for him. That explains why they want you to make out your cheque in favour of the third party (rather than the insurer), and they will be passing it on to him.

As previously advised, from the total sum involved you would be better off reneging on paying this yourself and ask them to deal with your own insurance.