Motor Insurance Claim - This can't be right !!!

SAVNICOTRA

I'm so sure this is a game that car insurance companies play all the time but this time I've been the victim. 

Back in 2024 , I reversed into a parked car. It was a gentle knock and nothing more than that . I took photos of the car and there was literally no damage , just a scratch , a bit of T cut would have sorted it and probably not even necessary. 

I then received a letter from my insurance company advising that a claim had been made against me and that I had admitted liability , which I hadn't , but anyway.  I made it VERY clear that there was no damage to the other vehicle and sent date and timed photos as evidence, which the insurer agreed that it was difficult to see any damage. I was relieved to hear  "Don't worry , we see this sort of thing all the time , you won't be hearing from us any more" ..   

Sure enough , nothing more had been received from my insurers and I honestly thought that was the end of the matter and that my insurers had dismissed the claim , as they should have done. 

I tried to renew my insurance this morning , to receive a shock that the claim had been settled against me and that the cost of repairs were £6,067 !!!  Unbelievable to say the very least!!

Called my insurance company who advised that yes they had settled the claim and apologised that I was not notified of the outcome. I was incensed to hear that this was all agreed between insurance companies without my involvement , and all at my expense.  They did offer an apology which tells me that this should not have happened .  I explained clearly that had I been informed of the amount of the repair costs I would have immediately disputed the damage and considered this Fraud on behalf of the insurers. 

I did received several apologies , but the insurer's only response is that they will simply raise a complaint , but not sure what good that is going to do.. 

How is this all possible and why is this ok ?  Anyone know what else I can do as I'm very sure I'm not the only victim of this type of allowable fraud ? 

MyRealNameToo

SAVNICOTRA said:

I'm so sure this is a game that car insurance companies play all the time but this time I've been the victim. 

Back in 2024 , I reversed into a parked car. It was a gentle knock and nothing more than that . I took photos of the car and there was literally no damage , just a scratch , a bit of T cut would have sorted it and probably not even necessary. 

I then received a letter from my insurance company advising that a claim had been made against me and that I had admitted liability , which I hadn't , but anyway.  I made it VERY clear that there was no damage to the other vehicle and sent date and timed photos as evidence, which the insurer agreed that it was difficult to see any damage. I was relieved to hear  "Don't worry , we see this sort of thing all the time , you won't be hearing from us any more" ..   

Sure enough , nothing more had been received from my insurers and I honestly thought that was the end of the matter and that my insurers had dismissed the claim , as they should have done. 

I tried to renew my insurance this morning , to receive a shock that the claim had been settled against me and that the cost of repairs were £6,067 !!!  Unbelievable to say the very least!!

Called my insurance company who advised that yes they had settled the claim and apologised that I was not notified of the outcome. I was incensed to hear that this was all agreed between insurance companies without my involvement , and all at my expense.  They did offer an apology which tells me that this should not have happened .  I explained clearly that had I been informed of the amount of the repair costs I would have immediately disputed the damage and considered this Fraud on behalf of the insurers. 

I did received several apologies , but the insurer's only response is that they will simply raise a complaint , but not sure what good that is going to do.. 

How is this all possible and why is this ok ?  Anyone know what else I can do as I'm very sure I'm not the only victim of this type of allowable fraud ? 

So you hit a stationary object? 

As such you would be liable for any claim made against you and your insurers have a legal right to settle the claim as they see fit. It's very possible for one car to have almost no damage and the other vehicle have substantially more damage. 

Most insurers won't give updates to policyholders as claims progress because most people dont care, they just want their insurers to deal with it all for them. Sounds like thats what they told you would be the case when you registered the claim. The fact they have apologised for doing what they said they would isnt a sign of them having done anything wrong but its just easier to apologise than to argue with a customer and point out that they did what they said they would. 

It could be fraud, you wouldnt be the first, but odds are likelihood is that it isnt and when the vehicle was inspected damage was found - the bumper after all is designed to take damage easily to protect those inside the car. 

Ultimately their insurers felt that the damage was consistent with the circumstances as they were told them, they arent going to payout for nothing, just read all the threads on here how insurers weasel out of everything that they can. Your insurers will have vetted what was sent to them and were happy that the figures looked reasonable or the cost of disputing them would exceed the cost of paying them. Insurers pay for top end repairs, parts are replaced, paint is blended in etc. No idea what the average claim is these days but over a decade ago it was about £6k for own vehicle damage so inflation adjust that and it is a relatively minor repair cost. 

flaneurs_lobster

The claim wasn't at your expense, the insurance company paid out. Don't think you have to admit liability to be liable when you hit a stationary parked car.

Any accident where you are at fault (and even when you are not) may well result in an increased premium quote, which I guess you are actually complaining about?

The amount of the paid claim is a matter for the insurance companies, not you.

paul_c123

Is it possible the plastic outer of the bumper sprung back to its more/less exact shape, but the crash bar and other metalwork/fittings behind were damaged and needed replacing? Add in a bit of poor parts availability, some prestige credit hire car, and a queue for the paint shop and it becomes £6000.

born_again

While there may not have been much surface damage. Modern bumpers have crash structure built in to minimise impact to anyone in car. You will not see that, but it is not a cheap repair if damaged.  

Lorian

And the cost of a hire car while it's being repaired soon tots up.

SAVNICOTRA

Really do appreciate the responses , thank you.  However, I know for a fact that it was just a small knock and really no damage at all . I understand the bumper situation and also hidden damage , but in this case there really wasn't any.  What I don't understand is why I was not informed of the conclusion which has ended with my premium increasing by 100% and losing a NCB. I would have immediately disputed the repair costs and also if this is all correct management and repairs are £6k on average for a scratch on a car , should his not be looked into as Car Insurance overall is becoming deliberately expensive ... is there really no recourse for this type of behaviour ?  

flaneurs_lobster

SAVNICOTRA said:

  What I don't understand is why I was not informed of the conclusion which has ended with my premium increasing by 100% and losing a NCB. I would have immediately disputed the repair costs and also if this is all correct management and repairs are £6k on average for a scratch on a car , should his not be looked into as Car Insurance overall is becoming deliberately expensive ... is there really no recourse for this type of behaviour ?  

Not your concern, the insurers are responsible for settling this between themselves. The effect on your renewal is likely to have been the same if the repair had cost £600. 

Did you report the "accident" to your insurer at the time?

Whether there is a cosy cartel of insurance companies and car repairers driving up the costs that are ultimately passed on to policyholders is, of course, another worthy discussion. 

SAVNICOTRA

"Whether there is a cosy cartel of insurance companies and car repairers driving up the costs that are ultimately passed on to policyholders is, of course, another worthy discussion. "  --  This is the exact point I'm trying to make ..  where does one start ? 

Baldytyke88

SAVNICOTRA said:

I'm so sure this is a game that car insurance companies play all the time but this time I've been the victim. 

Back in 2024 , I reversed into a parked car. It was a gentle knock and nothing more than that . I took photos of the car and there was literally no damage , just a scratch , a bit of T cut would have sorted it and probably not even necessary. 

I then received a letter from my insurance company advising that a claim had been made against me and that I had admitted liability , which I hadn't , but anyway.  I made it VERY clear that there was no damage to the other vehicle and sent date and timed photos as evidence, which the insurer agreed that it was difficult to see any damage. I was relieved to hear  "Don't worry , we see this sort of thing all the time , you won't be hearing from us any more" ..   

So you didn't inform your insurance company about the accident?

That could be why your premium increased so much.

SAVNICOTRA

"So you didn't inform your insurance company about the accident?

That could be why your premium increased so much."

You're missing the point -  how can a scratch cost £6k .  If you're happy for this to keep happening good luck , but I think there is a fight to be had , but I suppose you need to be brave , which seems most people are happy just to accept !!  Why isn't this questioned !!  Ever !!