Car written off by third party and Finance left remaining. HELP :)

clairebabes89

My car has been written off by a dangerous driver after a pretty nasty accident. I have a 4 year finance agreement with Blackhorse, with just over a year left to pay. The insurance companies are currently dealing with the claim, but I am worried that they wont pay out enough to cover the cost of the finance left remaining, and enough for me to be able to buy another car. I have GAP insurance on the car, but I am unsure of how this works.
I just want to know where I stand legally with this, and if I can demand more money from the insurance so I can buy another car of the same standard as the one I had, as I dont see why I should be stuck with an older, cheaper car due to someone elses fault!

Hintza

They should pay out to put you back in the position you were in before the accident. Probably too early to get worked up about it, let them do their job. You should have a hire car for the time being, be wary of accident management companies, talk to the other driver's insurer about getting you back on the road in the meantime.

clairebabes89

Thanks for your reply. I have a hire car at the other insurers expense. I'm just worried about not been able to afford a new car after this one has been paid off.

Road_Hog

clairebabes89 wrote: »

I just want to know where I stand legally with this, and if I can demand more money from the insurance so I can buy another car of the same standard as the one I had, as I dont see why I should be stuck with an older, cheaper car due to someone elses fault!

It's pretty straightforward. The insurance company makes you an offer, you either accept it or reject it, maybe a bit of haggling goes on and you get a final offer. At this stage you either accept it or reject it and start court proceedings - at that point it is a judgement call.

clairebabes89

Road_Hog wrote: »

It's pretty straightforward. The insurance company makes you an offer, you either accept it or reject it, maybe a bit of haggling goes on and you get a final offer. At this stage you either accept it or reject it and start court proceedings - at that point it is a judgement call.

I have just heard they have valued my car and its just about enough to pay off the existing amount I owe to the finance company. Which will leave me with no money to get a new car, how is this fair? What rights do I have to ask for more to be able to afford a decent new car.

Lum

They always try to lowball you on the first offer. Just call them up and tell them that their offer is rubbish.

It helps if you can back up your case however, so get on the autotrader website and search for cars of the same make/model/year as yours. Print a few out, request an offer that matches these.

System

clairebabes89 wrote: »

I have just heard they have valued my car and its just about enough to pay off the existing amount I owe to the finance company. Which will leave me with no money to get a new car, how is this fair? What rights do I have to ask for more to be able to afford a decent new car.

Looked at from another angle, they are offering enough money for you to buy another car and you carry on paying off the other one. In other words you are back in the same position - you have an x year old car and outstanding HP

Quentin

clairebabes89 wrote: »

What rights do I have to ask for more to be able to afford a decent new car.

You seem to be asking if you can get paid more than your car was worth becaise you owed money on it???

If so, then you have nil rights regarding getting "more" off the insurer.

You should be getting the car's value (pre crash), but no more extra to pay off your loan.

clairebabes89

!!!!!! wrote: »

Looked at from another angle, they are offering enough money for you to buy another car and you carry on paying off the other one. In other words you are back in the same position - you have an x year old car and outstanding HP

Is that allowed then, to carry on my monthly payments to the finance company? and use the payout money to purchase another car right out. I wasnt sure.

Thanks for your help!

mikey72

clairebabes89 wrote: »

Is that allowed then, to carry on my monthly payments to the finance company? and use the payout money to purchase another car right out. I wasnt sure.

Thanks for your help!

No.

the insurer may well pay directly to the finance company, you'll need to have new finance on the next car.