Why has the third party sent me a cheaue BEFORE liability has been decided?

theknights10

Got my settlement today, to my surprise I find this paragraph. " I enclose your cheque today received from the third party insurer in respect of your pre accident value. Please note that this cheque is being forwarded to you on a without prejudice basis. This means that liability is still in dispute and if this matter gets resolved on any other basis than 100% liability in your favour then Royal & Sun Alliance are entitled to ask for part of the payment back."


Why have they paid out before I can confidently replace my vehicle? As I've received a settlement I have lost my hire bike so I need to buy asap but feel they might try something on. My insurers have already canceled my policy as they believed the other party had no case so was confident I could.


should I cash it?


cheers all.

Quentin

Yes cash it.

In the unlikely event they change their mind them cross that bridge when it arrives