Car written off, on finance, no insurance payout

miffedmk

A member of my family has written off his car and the insurance will not payout. What are the options?

miffedmk

I forgot, probably through stress, the car is still on finance. I understand the car will be the property of the finance company.

TheSpectator

The finance company still need paying, I assume there is a valid reason insurance will not pay out?

CliveOfIndia

Do you mean that the insurance will not pay your family member?  If that's the case, are they paying the finance company directly?

Or do you mean the insurance company are refusing to pay out at all?  In that case, what reason have they given?

Debbie9009

If it’s because they are paying of the finance company and the full amount of the payout is needed to pay of the finance then yes this would be correct.  

Something to be aware of, is sometimes the payout doesn’t cover the full amount of the finance outstanding, so the rest will still need to paid, if your relative has gap insurance they should be able to claim on this, if they don’t then they will still need to pay the outstanding finance.