Claims management company

PunkRoquefort

So, today someone reversed into my new Mazda, which I have only had since Christmas.

I had the complimentary 7 day insurance through Mazda, but now am with Admiral, fully comp.

My Mazda Dealer, on me collecting my car, advised me to call Mazda First if ever I am involved in an accident.

Today, I phoned him for his advice and he asked how serious the damage is. The front of my bonnet is badly scraped, but no serious dent.

He today advised me to call Mazda First, instead of my insurers, saying the benefit is that all the worry will be taken from me and dealt with.

On asking if it will cost me anything he said no.

I did so.

On phoning, Mazda First they told me they are a claims management company and I told them the details, apart from the policy number of driver who hit me, as at the time, he did not know his policy number. The driver has since given me his policy details.

Mazda First say they will call my insurer's on Monday, then me to move things on.

Should I call Mazda First back and tell them I am going to deal directly with my insurers instead? I am now worried I may be otherwise caught up in a credit hire car rip-off, although Mazda First said they will provide a 'courtesy car'.

I got caught out with a credit hire car scam about 20 years ago and had to fight to avoid paying several hundred pounds for a so called courtesy car, a small Citroën, for 3 or 4 days.

Advice please?

cw8825

This will be a credit hire vehicle
if they haven’t given you a car or done anything yet. You can withdraw. 

PunkRoquefort

As I suspected.

Thank you.

So, I need to phone Admiral up today and make the claim myself, then phone Mazda First up when they open tomorrow and ask them to go no further?

DullGreyGuy

PunkRoquefort said:

As I suspected.

Thank you.

So, I need to phone Admiral up today and make the claim myself, then phone Mazda First up when they open tomorrow and ask them to go no further?

Be aware that Admiral are very well known for pushing their own customers to an accident management firm called Auxillis (previously known as HelpHire) who will equally be giving you a credit hire car. You can insist that Admiral deal with it themselves but they will do a big sales job on Auxillis

PunkRoquefort

I chatted with Admiral and expresses my concerns about a pricey credit hire/courtesy car.

The chap I chatted to offered me both options, explaining all the ins-and-outs, dealing with them or Auxillis and hinted that given my concerns I was best not using Auxillis.

I feel happier now.

Desmond_Hume

What are the pros and cons? Pros - Admiral get more money and so do the management company they use? Con - we, the paying public get shafted with higher premiums due to this excess cost which adds zero value to the process? 

DullGreyGuy

Desmond_Hume said:

What are the pros and cons? Pros - Admiral get more money and so do the management company they use? Con - we, the paying public get shafted with higher premiums due to this excess cost which adds zero value to the process? 

Pros:

• You dont have to pay your excess and wait for months to get it back
• You get a like for like replacement vehicle for the duration of the repair or for a few days after total loss settlement rather than either having no car at all or having to make do with a 3 door Corsa which is only available if the car is repairable
• Doesn't count as a fault claim if your policy renews before the claim is settled
• Doesn't count as a fault claim if it turns out the person gave you fake details etc after the repairs have already been done etc
• Enables those without Comp cover to proceed in the interim
• Dont have to pay an extra premium for a higher courtesy car and still get an appropriate vehicle.
• Admiral - receive a referral fee 
• Admiral - dont incur unallocated claims handling costs that cannot be recovered beyond FNOL

Cons:

• Likely to increase costs, though some insurers have setup intermediary entities that add their own 10% to repair costs anyway
• Having to assist the company recover their outlay if its disputed, typically more burdensome than supporting your insurers doing the same
• Only applies to non-fault accidents so extra premium for a hire car may still be necessary.