Car insurance question

[Kenney_The_Blue]

Crashed my car a few weeks back, I'll spare you the details.

The question I have; if my cars a write off, which I hope it's not because I still have to pay my monthly installments, do I have to hand my car over to the insurance?

 

[inchy14]

no

 

[shadygiz]

if the insurance company write your car off, you have the right for a second opinion firstly, but any costs involved in transporting the car to the new inspection garage will have to be paid by you

secondly, if it is a write off, you can buy the car from the insurance company and get it fixed yourself

the problem you have is the installment payments......if you owe 10k on the car and the insurance only pay out 7.5k, you have to pay the shortfall of 2.5k to settle the account

 

[kinkladze10]

If you buy your car back, your insurer will cancel your insurance and you will have to transport your un roadworthy vehicle to where ever you decide.

 

[kinkladze10]

I don't know much about claims but car insurance as I understand is a policy of indemnity, which means to please you in the same financial position as you were in prior to the accident not to lose or gain. So if you settle for less and end up owing money, then surly car insurance is not a contract of indemnity.

Check to see if your insurance has an arbitration clause (claims disputes clause basically)

Or if your unhappy with your insurer go to the financial ombudsman. You will have had to have made a compliant with your insurer first though.

Hopefully though they can just repair it.

 

[Kenney_The_Blue]

Thanks!!

 

[johnmc]

Re: Re: Car insurance question

I don't know much about claims but car insurance as I understand is a policy of indemnity, which means to please you in the same financial position as you were in prior to the accident not to lose or gain. So if you settle for less and end up owing money, then surly car insurance is not a contract of indemnity.

Check to see if your insurance has an arbitration clause (claims disputes clause basically)

Or if your unhappy with your insurer go to the financial ombudsman. You will have had to have made a compliant with your insurer first though.

Hopefully though they can just repair it.

Yes and no. You are right about the indemnity principle however you can owe more on a car than it is worth. You buy a car for £8K over 4 years. That doesn't necessarily mean after 2 years your car is worth £4K. It could be worth more or less. Also if it happened after 47 months that doesn't mean your car is worthless either.

Depends on the value at the time of the incident.

 

[SWP's back]

Re: Re: Car insurance question

I don't know much about claims but car insurance as I understand is a policy of indemnity, which means to please you in the same financial position as you were in prior to the accident not to lose or gain. So if you settle for less and end up owing money, then surly car insurance is not a contract of indemnity.

Check to see if your insurance has an arbitration clause (claims disputes clause basically)

Or if your unhappy with your insurer go to the financial ombudsman. You will have had to have made a compliant with your insurer first though.

Hopefully though they can just repair it.

Yes and no. You are right about the indemnity principle however you can owe more on a car than it is worth. You buy a car for £8K over 4 years. That doesn't necessarily mean after 2 years your car is worth £4K. It could be worth more or less. Also if it happened after 47 months that doesn't mean your car is worthless either.

Depends on the value at the time of the incident.

^^^^
this