Guidance please on Car?

mother_hen_2

I have a car that I use to go to work (it's recorded in my IVA)- it's not worth much when I went into IVA about £1,000 however due to depreciation/dents etc..
I've just had a car accident - the garage next week is going to collect it and take it to be repaired - I am worried that the cost of repair will out weight the value of the car and the insurance company will 'write it off'. I do not want it to be written of as I am unable to afford another and I do commute 100 miles a day to work so I need it.

Does anyone know where I stand if this car is 'written off' in terms of my IVA - the little I suspect I would get for it would not cover a new car - I'm worried.

Any help would be appreciated thankyou.

UpToMyNeckInIt

Firstly, I hope you are OK after the accident.

I think the only thing you can do in these circumstances is request a payment break or two from your IVA firm, and use that money to get yourself another runaround.

You have stated a reasonable case, and I would hope your IP agrees.

Good luck.

mother_hen_2

Thankyou for your reply..

FiatFan_2

How have you insured the car? Will your insurance not cover the cost of a like for like car? If the insurance estimate it as a write off, I highly doubt you could afford the repairs on an iva budget.

We've just had a quote done to repair some minor scratching to front of our car and another tyre, £1450 we've been quoted so unless your car is drivable in the damaged condition I'd imagine it'll either sort out insurance money or as UpToMyNeckInIt suggests request a payment holiday for another car.
Either way, speak to your IP because insurance money could be classed as a windfall and you'd sooner have them exclude it than come chasing it.

headstuckinsand

FiatFan wrote: »

How have you insured the car? Will your insurance not cover the cost of a like for like car?

If the insurer writes it off they will usually offer the book (industry) value for the car. This is not the same as the value you may have claimed the car is worth to the insurer. You can get an idea of the value from Parkers or Glass's guide websites but don't be overly excited.

When the insurer pays out they will also deduct your excess and if you pay monthly they will deduct any remaining premium left for the year.

Just worth bearing these in mind for when you discuss with your IP.

FiatFan_2

oh I've had the misfortune of writing a car off and the wrangling with insurance over cost.

I wondered more had the op insured their car fully comp or 3rd party. At least fully comp they could get 3 prices of similar spec'd local cars and haggle a payout based on that (as I done when I wrote mine off).

I recall the excess was deducted from the payout but didn't have to pay the remainder of the policy.

Either way, keep your IP in the loop, if you go for an insurance payout it would be classed as a windfall that could be made exempt for the purchase of a new car.