Write-Off, can insurance company deduct scrap valu

hjg

Hi All, I'm hoping that somebody will be able to help me. My car has been written off and I am being offered a value by the insurers which they say they will deduct an amount from if I choose to have the physical car back (I was planning to try and get a bit more money by selling the car for scrap). The car replaced one that was also written off (how lucky am I?!) and I had that one back and re-registered it and continued to drive it for a little while longer. There was nothing deducted that time for me having the car back.

I am also disputing the amount and waiting to see whether it will rise. They are saying they will deduct 33% for giving the physical car back.

Is deducting a value now normal? (the other car was written off only 2 and a half years ago) May I also add that neither of these accidents were my fault!

waamo

Yes this is normal. The insurance company will wish to minimise their costs so will deduct the scrap value. The scrap man will, after all, be paying something for the car.

facade

When they write the car off, they pay you the value of the car, and it then belongs to them.
If you want it, you effectively buy it back off them for the scrap value that they put on it. Normally, they reduce their payout by their scrap value, and let you keep the car to make this process easier.
(Sometimes, they won't let you keep the car at all if they write it off and pay out the full value)

hjg

Thank you both, not the news I was hoping for. I'm not sure why I was allowed to keep the car last time?

tastyhog

33% seems pretty steep for scrap value, unless its relatively minor damage, if that is the figure they are giving i'd ask them to show proof that that is the value their contractor is going to pay for it.

I don't remember paying more than 10 or 15% in any claims i've made.

but I guess it depends on what they have in place with their contractors, but then I cant see any of them paying 33% of the cars value to get a car to break for parts or fix

waamo

Is it possible the scrap man didn't want it?

DoaM

Unlikely given that the OP (presumably legally) re-registered it and used it on the road.

hjg

Hi, to give a bit more info - the previous car had damage to the doors, so was road worthy, but old. It was valued at £850. This time there is damage estimated at £4374, some under the bonnet but the car still drives. I have managed to increase the figure offered from £4600 to £5000, but they are saying that they would deduct 33% - £1650 - if they give me the car back!

System

hjg wrote: »

This time there is damage estimated at £4374, some under the bonnet but the car still drives.

I would be very very very wary of putting that back on the road without fixing it properly. High chance that the crumple zone has been damaged and that there may be a bent chassis or subframe which will affect handling. I certainly wouldn't want to be in an accident in a car with any frontal impact that has damage that has gone back any further than the front bumper bar unless it was properly repaired which I doubt you're going to do.

DoaM

I guess it depends on what category write off it is?

loskie

I bought my written off Subaru back. the assesor told me the buy back value was 9% of the write off payout.
It was £155 IIRC, luckily damage was minor and the car driveable so i could drive it home. If yours isnt you will have to pay to get it home.
A used wing, headlamp and indicator from the breakers and it was back on the road for less than £500.