Advice needed on car insurance claim: write-off plus stereo

gulch

I had my car broken into a few weeks ago and the stero nicked. The thieves also very thoughtfully crowbarred half the dashboard off and snapped it in two, as well as some other minor damage.

I've just heard from the insurance company that they believe the car is a write-off, and they've offered to pay me the market value of the car.

They won't give me anything towards the stereo though, even though it is worth nearly half as much again, and is covered on the insurance policy. Their stance is "when you buy a car, it comes with a stereo, therefore the stereo is part of the market value of the car".

My stance is "this was no ordinary stereo, and were it still in the car then the market value would be a lot higher".

I've been through the relevant parts of the insurance document, and I reckon you could argue the toss either way.

Does anyone have any idea whether I have a leg to stand on? Or, if they won't pay up for the stereo, could I potentially claim on my home insurance for it as something "stolen from out of the car"?

Any advice gratefully received.

mara

If it was a particularly good stereo, its possible it would increase the market value of the car and you could ask them to increase the offer. They will probably ask you to prove the value of the stereo, such as by providing a copy of the operating manual or the facia.

Its unlikely you could claim from your home insurers as the stereo was in the car at the time, it is likely to be excluded as a motor accessory. Worth checking your policy wording though just in case.

blue_haddock

Also remember if it wasn't a standard fit item you should of informed the insurance company as it could make it more of a target for thieves (like has happened). They may of decided to make you pay an additional premium to cover this.

Sk8lly

They could make you pay more or make your policy void, I know this to have happened with one major insurer recently, i work in a large bodyshop and they are cracking down on people not informing them off cosmetic upgrades, so beware

telly-addict

Agree with all the previous posts.

You are entitled to the market value of your car, which will presumably have been enhanced by the improved audio equipment. This is not the market value of the standard car, plus the cost of the stereo. It is a vlue adjusted to take account of the stereo. The following link to the Financial Ombudsman Service website may assist - 11th paragraph refers:
http://www.financial-ombudsman.org.uk/publications/ombudsman-news/22/issue-22-motorinsurance.htm

But if the audio equipment is that expensive and has made the car a greater theft risk, you should indeed have advised your insurers. This is an ongoing duty at each renewal (and in some policies throughout the year). From your initial discussions with your insurer, it doesn't sound like they wish to take the point (or have even considered it!!).

Some policies also have a limit that they will pay for audio equipment unless specified.

As always, it will depend upon your own policy wording.

Good luck with your claim.

gulch

blue_haddock wrote:

Also remember if it wasn't a standard fit item you should of informed the insurance company as it could make it more of a target for thieves (like has happened). They may of decided to make you pay an additional premium to cover this.

I did inform them, which is why I'm even more angry that they're now refusing to pay for it.

And the stereo limit in the policy is £500. This one cost me about £400.

telly-addict

gulch wrote:

I did inform them, which is why I'm even more angry that they're now refusing to pay for it.

And the stereo limit in the policy is £500. This one cost me about £400.

In that cases, I would stick to your guns and ask them to revalue. They should be making some allowance for the audio equipemnt, as per the article in the FOS journal. Good luck.

Barnei

I work for a large direct insurer and we would compensate you if you had proof of purchase/ownership of the stereo or we would arrange for you to have this stereo (if have proof you had it) fitted to your new car.