Is this unfair insurance terms?

motorguy

bigdave2015 wrote: »

I had a non-injury accident on black ice two days ago where my financed BMW met with a high kerb. End result is approximately £12k worth of suspension, steering and wheel/tyre damage.

My insurer, eSure, indicated on the phone that I am required to pay the following excess charges:

+ voluntary excess (£150)
+ compulsory excess (£200)
+ electing my own repairer excess (£200)

This was all despite the vehicle being owned by BMW (i'm financing it through them), therefore requiring the full warranty to be preserved, and also, based on the damage, it will require diagnostic and programming from BMW HQ in Germany which I am led to believe that only a main dealer can perform.

Is this a fair term that I am basically forced to pay extra to use the main BMW dealer which I am required to use (and frankly, only feel confident using them too) ?

It does feature in their Policy Handbook which is available online (google search for ... ) es_motor_booklet_may_2011.pdf :

"If you decide not to use our recommended repairer then an additional excess of £200 will be applied. This
excess will be in addition to any other excesses shown on your policy schedule." [page 21]

As has already been said, those terms were in place when you bought the insurance.

Personally, to get it done by BMW, i'd be cheerfully paying the £200.

daveyjp

Its not yet been deemed unfair, but its a sharp practice which has entered the market in the last few years. Aviva also impose such a charge, but its not as gouging as e-sure.

DUTR

bigdave2015 wrote: »

I had a non-injury accident on black ice two days ago where my financed BMW met with a high kerb. End result is approximately £12k worth of suspension, steering and wheel/tyre damage.

My insurer, eSure, indicated on the phone that I am required to pay the following excess charges:

+ voluntary excess (£150)
+ compulsory excess (£200)
+ electing my own repairer excess (£200)

This was all despite the vehicle being owned by BMW (i'm financing it through them), therefore requiring the full warranty to be preserved, and also, based on the damage, it will require diagnostic and programming from BMW HQ in Germany which I am led to believe that only a main dealer can perform.

Is this a fair term that I am basically forced to pay extra to use the main BMW dealer which I am required to use (and frankly, only feel confident using them too) ?

It does feature in their Policy Handbook which is available online (google search for ... ) es_motor_booklet_may_2011.pdf :

"If you decide not to use our recommended repairer then an additional excess of £200 will be applied. This
excess will be in addition to any other excesses shown on your policy schedule." [page 21]

You should have opted for the excess waiver at the time of taking out the policy, it's about £30.

maninthestreet

£12k - just how high was that kerb??

System

bigdave2015 wrote: »

The terms of the finance agreement through BMW stipulate that it has to be BMW who repairs the vehicle to uphold the warranty of all affected components (and secondary affected components).

That is probably more an unfair contract term than the insurance terms.

arcon5

Don't see how it's unfair the insurer wanting to mitigate their costs, especially since it won't impact the quality.

It's not their problem you have an completely separate agreement - which YOU agreed to - ie the BMW agreement - which you agreed to have repair work done with them.
You are responsible for the performance of that agreement, not the insurer. In fact for you to now basically say you want to choose the repairing garage despite agreeing otherwise at policy inception is you wanting to retrospectively change the terms of the agreement... which would be unfair them.

George_Michael

maninthestreet wrote: »

£12k - just how high was that kerb??

It doesn't have to be too high to do a great deal of damage.


I used to know someone who wrote off a 2 year old Mazda 323 (Okay, not as strong or as well built as a BMW), by going too fast around a bend and slid the car sideways into the kerb.
Both nearside wheels took the impact and these totally folded up and it resulted in major damage including suspension being written off, gearbox and axels knackered and a deformed chassis.

patman99

Certain things BMW will do in-house, others they out-source.
For instance, if you have a BMW purchased from a main dealer in Essex or Suffolk and it suffers from body damage, the main dealer will book it in, then arrange for Belgores to collect it and carry-out the repairs.

Clwydd

Terms seem clearly to be absurd, but that's not unusual. You do not usually have a choice about either service's terms, which insurers don't necessarily stick with in any case!!! .. and always too late once the problem arises as I know to my cost from recent air /hotel bookings.
I strongly suggest another insurer - look at Which's top ones. NFU is always at the top and good to deal with - not the cheapest but worth it. Frizzell and RIAS are worth a try. I've been with NFU for years with only minor claims. Going with price only is always a risk. You will need to work out how to argue the toss with eSure ... I had a real hassle with Churchill/ UKI over a House Fire claim.