Is this the value I will get for my settlement and what does this mean? 5 March at 4:38AM edited 5 March at 9:16AM in Insurance & life assurance 9 replies 284 views

Greg89

I received a email:

"

 We have assessed your vehicle and placed a pre accidental value of £2156.50 on this.

 

Please see the breakdown below to detail the deductions from this valuation:

 

Pre accidental Value: 2156.50

Excess: 0

Direct Debits: 1,131.81

Finance:

 

Final settlement amount : £1024.69

 

Once you have agreed a settlement, we can pay this into your bank account, this will take 3-5 working days. Once we have made the payment you will have 30 days left of your policy until it is automatically cancelled. In order to avoid this you can complete a change of vehicle within the 30 day time period"

I'll get this final value which is if I agree to a settlement (that value) and does this mean 

To cancel I will have to purchase a vehicle? So I'll get the final value however I'll still continue to pay monthly DD unless I'll get another vehicle?

MorningcoffeeIV

Greg89 said:

To cancel I will have to purchase a vehicle? So I'll get the final value however I'll still continue to pay monthly DD unless I'll get another vehicle?

No. To CONTINUE your policy, you need to buy another vehicle.  Then you would get the pre accident value and continue to pay for the policy.

If you don't, then you get the final settlement amount.

tacpot12

The email looks messed up. They say the pre accident value is £1956.50 and then say it is £2156.50 (£200 difference). 

They haven't listed any excess, which would be expected unless you have received a sum already from them that deducted the excess. (If your excess is £200 then it should be shown on the email). 

I think by "Direct Debits" they mean all the Direct Debits that you are still due to pay for your policy. I would assume that they would not take any further direct debits if you accept the settlement offer, but I think you have to consider when the next DD is due to see if there is time for them to cancel the next DD if you accept the offer on Monday (after you have spoken to them to get an explanation). Once you accept the settlement offer, they will pay you the figure at the end of the settlment offer which effectively means you have then paid ALL the DDs you need to to buy the policy. (The DDs are the amount you owe them for the policy, and they are deducting this off what they owe you for the vehicle.)

Are you aware that you have to pay for the policy in full and that it is normal that the policy is cancelled when the vehicle is written off? 

It's not clear whether if you complete a change of vehicle within 30 days whether you have to pay anything for this. If the only payment due is just their admin fee for changing the vehicle but no further payments are due for the rest of orinal policy term, then this looks to be good value. (You get the value of the written-off vehicle, plus part of a year's insurance on a new vehicle.) I would check this with them on Monday, but if you are going to have to buy a new car (e.g. because you need it to get to work), then this looks to be a good deal. 

   

Greg89

Thanks 

Can I pay the DD monthly and get the valuation at the same time 

Or will they give me the valuation offer to allow me to purchase a car and continue with the policy 

Greg89

I've spoke to my friends and they stated the final value of the car is the £2.1k, minus the remaining DD so I'll get the final settlement value.

Greg89

I've contacted them and I'll this final settlement value within 5-7 working days.

DullGreyGuy

Greg89 said:

Thanks 

Can I pay the DD monthly and get the valuation at the same time 

Or will they give me the valuation offer to allow me to purchase a car and continue with the policy 

Customers have a nasty habit of not paying their DDs when they no longer have a vehicle insured, Insurers normally deal with the risk of customers defaulting by having the threat to terminate their policy but thats massively depowered when there is no vehicle on cover.

You will get the final settlement amount; if you buy a car within a reasonable timeframe your insurers should let you transfer the remainder of the policy onto the new vehicle with you just paying any adjustments in the premium 

Greg89

Been waiting 3 working days and not come in yet. They say 3-5 working days.

I've given the right acc and sc num and my bank details are clearly on the website to pay DD.

I do think it will come in however she cut the phone off when I wanted her to confirm if she got the right details 

Greg89

Tomorrow the five days will be up, for the Lloyds switching offer I comitted a mistake, for this I clearly told them the right and they have the bank details on the system.

Am I just enduring bad luck 

48 hour processing period plus five working days 

Greg89

Two weeks ago today I phoned and they said 48 hours to process and then wait up to five working days.

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Last week I phoned which they said I did not accept on a text message after the call, although I agreed to the final settlement amount on the phone, they should've said I'd get a text message after, I never got a text message.

The gentleman on the phone accepted and I said I agree, accept the offer and that is it and he said and I got an email later my payment will be two three working days and before payment I'll get a text message. He said on the phone nothing else to do and it should be three working days.

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Now I phoned again third time today, which the lady on the phone stated it has gone through, however then she said no one has authorised to go through and they'll forward this to be the case handling team and my value has gone down to £14.