Insurance write off question
Discussion
bigmadjohn said:
Was anyone else involved in his accident, ie-will your insurance company be liable for any 3rd party claim? Were police/other emergency services involved? Have you informed the insurance company? If all 3 are a no, I would be tempted to weigh the car in for scrap, and not claim. At the moment your £2300-£700excess-£1400insurance costs= will leave you £300 up by claiming, if you take into account the extra cost of renewing, loss of NCB, plus the £150-200 for scrap you would get, you might even be able to transfer the remainder of the policy to another car if you dont claim. I would definately look into the potential costs before putting a claim in, however, if any of the above 3 things have happened you might not be able to take this route.
If he doesn't claim he still has to pay the £1400 premium, albeit over the rest of the year, so you can't really include that in your calculations. If he claims they'll deduct the £1400 from his settlement, but for the rest of the year on the replacement car he'll be £120 a month, give or take, better off, as he'll have no insurance instalments to pay.TwigtheWonderkid said:
If he doesn't claim he still has to pay the £1400 premium, albeit over the rest of the year, so you can't really include that in your calculations. If he claims they'll deduct the £1400 from his settlement, but for the rest of the year on the replacement car he'll be £120 a month, give or take, better off, as he'll have no insurance instalments to pay.
If he claims he will get the grand sum of £200 paid to him £2300-£700xs-£1400insurance. If he doesnt claim ( assuming no third party/police interest), he will be able to transfer the remainder of the policy to another vehicle, even declaring the accident with no claim, his insurance will rise, but not as much as a fault claim for a young male. IME-in the 2 fault total loss claims Ive had, the policy ends as soon as the cheque arrives, it may have changed but was definitely this way in 2009 with a major insurer.For £200 loss for a young man to avoid a fault claim, I would jump at it at a young age. However if theres a third party claiming, you might as well claim aswell.
bigmadjohn said:
If he claims he will get the grand sum of £200 paid to him £2300-£700xs-£1400insurance. If he doesnt claim ( assuming no third party/police interest), he will be able to transfer the remainder of the policy to another vehicle, even declaring the accident with no claim, his insurance will rise, but not as much as a fault claim for a young male. IME-in the 2 fault total loss claims Ive had, the policy ends as soon as the cheque arrives, it may have changed but was definitely this way in 2009 with a major insurer.
For £200 loss for a young man to avoid a fault claim, I would jump at it at a young age. However if theres a third party claiming, you might as well claim as well.
But the £1400 they will deduct from his settlement he would have to pay anyway. So the £200 he gets from his insurers, he could add to it the £120/month he would have had to pay each month for insurance that is now paid, to bring his total settlement to £1600. In effect his insurers are saying we'll give you £200 for your car instead of £1600, and we'll let you off the balance of the premium. It's the same thing.For £200 loss for a young man to avoid a fault claim, I would jump at it at a young age. However if theres a third party claiming, you might as well claim as well.
Not claiming may be the sensible option, but you cannot take the £1400 into account.
Sorry for the delay, got on plane for week in Lanzagrotty after posting. Not what I was planning the day before departure. So here we go with short story long:
Original runabout was bought in 2003 when I had job move into a rough neck off the woods and did not want to use my nice but not mint 205 GTi. 3 weeks later whilst parked up outside work it was collected from both ends in a 4 vehicle incident. Would have written the 205 off. Car the caused that mess had 4 asylum seekers in it, 200 miles from RK's home address and clearly none of them were him. My insurers notified about the crash and told to chase him for repair bills and car hire costs. Kept my NCB.
Later runabout1 saw service with our eldest learning to drive, then added as named when she passed. Quickly clear that getting her own runabout would be good idea if I wanted to keep runabout1 on the road. Funded by me, insured by her. Not so long later woken in wee small hours by BIB: her runabout trashed in street in alcohol/weed/crowbar mashup by 2 lads she was knocking about with. "restorative justice" funded it's replacement. Nice little car at nice price so a few quid back to me too. Alas bumped twice in quick succesion so she decided she would give up driving "for a while".
Runabout1 still doing sterling service for us several years later, including short term loan to eldest and her OH when theirs was indisposed. Plan was it would see son & heir through his test and away to Uni (not with the car but with some NCB under his belt) and then call it quits. Often used by me for many futile "please let this be the E46M3 I've been waiting for" trips. All good.
Until about this time last year when SWMBO bumped it into the NSR quarter of a Picasso and into a ditch. At this time her as RK but only TPF&T as not worth much. Insurer aware as whiplish claim from the Picasso. I would not have claimed for 2nd hand wing, light, spray can and cable ties to fix anyway. SWMBO but her marker down saying she will never even go in runabout again EVER. Unless pished and alternative is walking.
So son & heir turns 17 and added as learner to remaining 3 months of policy (for a monkey or so). Come renewal quote is £2500+ because of open whiplash claim so go to specialist learner insurer. Their deal is car must be registered to son & heir with him as policyholder and me as named driver. If it takes him more than 12 months to pass test they will give NCD on renewal. Remember SWMBO not joining in the fun of teaching him to drive
Then runabout1 starts having clutch problems and just when I think that is sorted without too big a bill, stutters to a halt with failed ECU. Just after Xmas. At which point I need a cold beer to blank out the squeals from my girls in the pool. Tbc
Original runabout was bought in 2003 when I had job move into a rough neck off the woods and did not want to use my nice but not mint 205 GTi. 3 weeks later whilst parked up outside work it was collected from both ends in a 4 vehicle incident. Would have written the 205 off. Car the caused that mess had 4 asylum seekers in it, 200 miles from RK's home address and clearly none of them were him. My insurers notified about the crash and told to chase him for repair bills and car hire costs. Kept my NCB.
Later runabout1 saw service with our eldest learning to drive, then added as named when she passed. Quickly clear that getting her own runabout would be good idea if I wanted to keep runabout1 on the road. Funded by me, insured by her. Not so long later woken in wee small hours by BIB: her runabout trashed in street in alcohol/weed/crowbar mashup by 2 lads she was knocking about with. "restorative justice" funded it's replacement. Nice little car at nice price so a few quid back to me too. Alas bumped twice in quick succesion so she decided she would give up driving "for a while".
Runabout1 still doing sterling service for us several years later, including short term loan to eldest and her OH when theirs was indisposed. Plan was it would see son & heir through his test and away to Uni (not with the car but with some NCB under his belt) and then call it quits. Often used by me for many futile "please let this be the E46M3 I've been waiting for" trips. All good.
Until about this time last year when SWMBO bumped it into the NSR quarter of a Picasso and into a ditch. At this time her as RK but only TPF&T as not worth much. Insurer aware as whiplish claim from the Picasso. I would not have claimed for 2nd hand wing, light, spray can and cable ties to fix anyway. SWMBO but her marker down saying she will never even go in runabout again EVER. Unless pished and alternative is walking.
So son & heir turns 17 and added as learner to remaining 3 months of policy (for a monkey or so). Come renewal quote is £2500+ because of open whiplash claim so go to specialist learner insurer. Their deal is car must be registered to son & heir with him as policyholder and me as named driver. If it takes him more than 12 months to pass test they will give NCD on renewal. Remember SWMBO not joining in the fun of teaching him to drive
Then runabout1 starts having clutch problems and just when I think that is sorted without too big a bill, stutters to a halt with failed ECU. Just after Xmas. At which point I need a cold beer to blank out the squeals from my girls in the pool. Tbc
So I start looking for runabout2. Too many days off and weekends in the wettest winter ever (I do appreciate not like being marooned in the Somerset levels) instead of spannering my winter project. As SWMBO has washed her hands of the affair and aware that S&H might just do something daft I thought I might try Shed-or-thereabouts budget. Nothing doing. 18 months before I had found a good little car for eldest & fiance for £1700 so surely that was enough? Still nothing doing. Blame the scrappage scheme. Even at double Shed level most cars had obvious faults. Finally track one down just a few miles from work and strike a deal at £2300. Reasoning that SWMBO could not pull face at this and with luck would run nicely until middle daughter ready to learn
Specialist learner insurer happy to insure on same basis: S&H must be RK and policy holder. All good. About 5 weeks after picking up runabout2 passes test. Specialist learner insurers best offer is £2800. Go back to original insurers (longstanding customers, both dailies with them, runabout1 been through them for years). Long phone calls to explain how/why of it all. Don't like S&H as RK, so agree to change paperwork. Agree I paid for car and will be paying for tax/fuel/service etc as he has no money. Will still be going to school on bus (which I also pay for). Genuinely not fronting
Day before incident I would have used runabout2 for 170 mile transpennine round trip to look for "that" M3, but he "needed" it for short local hop with no public transport. So who is main user?
Day of incident fine and dry. NSL road but not one he knows. Sharp bend. Understeers into outside kerb, crosses to opposite steep tall verge/bank. Angle of attack provides gentle roll onto nose/bonnet/windscreen header rail. Eyewitness says speed not excessive (except for talent/experience). Police guestimate 40 mph and agree no action post breathalyser. No other vehicle or third party/property damage. Roof not "crushed" as SWMBO states but doubt cost effective repair
So if insurers accept not fronting seems like 2 options. Claim and end up a few quid up but bad claim history and no runabout. Brace for painful renewal. Or not claim, fund cost of runabout3 myself and continue policy. Make clear to S&H his plums are on the line. Still brace for painful renewal.
He's got more time for revising now anyway
Specialist learner insurer happy to insure on same basis: S&H must be RK and policy holder. All good. About 5 weeks after picking up runabout2 passes test. Specialist learner insurers best offer is £2800. Go back to original insurers (longstanding customers, both dailies with them, runabout1 been through them for years). Long phone calls to explain how/why of it all. Don't like S&H as RK, so agree to change paperwork. Agree I paid for car and will be paying for tax/fuel/service etc as he has no money. Will still be going to school on bus (which I also pay for). Genuinely not fronting
Day before incident I would have used runabout2 for 170 mile transpennine round trip to look for "that" M3, but he "needed" it for short local hop with no public transport. So who is main user?
Day of incident fine and dry. NSL road but not one he knows. Sharp bend. Understeers into outside kerb, crosses to opposite steep tall verge/bank. Angle of attack provides gentle roll onto nose/bonnet/windscreen header rail. Eyewitness says speed not excessive (except for talent/experience). Police guestimate 40 mph and agree no action post breathalyser. No other vehicle or third party/property damage. Roof not "crushed" as SWMBO states but doubt cost effective repair
So if insurers accept not fronting seems like 2 options. Claim and end up a few quid up but bad claim history and no runabout. Brace for painful renewal. Or not claim, fund cost of runabout3 myself and continue policy. Make clear to S&H his plums are on the line. Still brace for painful renewal.
He's got more time for revising now anyway
So I start looking for runabout2. Too many days off and weekends in the wettest winter ever (I do appreciate not like being marooned in the Somerset levels) instead of spannering my winter project. As SWMBO has washed her hands of the affair and aware that S&H might just do something daft I thought I might try Shed-or-thereabouts budget. Nothing doing. 18 months before I had found a good little car for eldest & fiance for £1700 so surely that was enough? Still nothing doing. Blame the scrappage scheme. Even at double Shed level most cars had obvious faults. Finally track one down just a few miles from work and strike a deal at £2300. Reasoning that SWMBO could not pull face at this and with luck would run nicely until middle daughter ready to learn
Specialist learner insurer happy to insure on same basis: S&H must be RK and policy holder. All good. About 5 weeks after picking up runabout2 passes test. Specialist learner insurers best offer is £2800. Go back to original insurers (longstanding customers, both dailies with them, runabout1 been through them for years). Long phone calls to explain how/why of it all. Don't like S&H as RK, so agree to change paperwork. Agree I paid for car and will be paying for tax/fuel/service etc as he has no money. Will still be going to school on bus (which I also pay for). Genuinely not fronting
Day before incident I would have used runabout2 for 170 mile transpennine round trip to look for "that" M3, but he "needed" it for short local hop with no public transport. So who is main user?
Day of incident fine and dry. NSL road but not one he knows. Sharp bend. Understeers into outside kerb, crosses to opposite steep tall verge/bank. Angle of attack provides gentle roll onto nose/bonnet/windscreen header rail. Eyewitness says speed not excessive (except for talent/experience). Police guestimate 40 mph and agree no action post breathalyser. No other vehicle or third party/property damage. Roof not "crushed" as SWMBO states but doubt cost effective repair
So if insurers accept not fronting seems like 2 options. Claim and end up a few quid up but bad claim history and no runabout. Brace for painful renewal. Or not claim, fund cost of runabout3 myself and continue policy. Make clear to S&H his plums are on the line. Still brace for painful renewal.
He's got more time for revising now anyway
Specialist learner insurer happy to insure on same basis: S&H must be RK and policy holder. All good. About 5 weeks after picking up runabout2 passes test. Specialist learner insurers best offer is £2800. Go back to original insurers (longstanding customers, both dailies with them, runabout1 been through them for years). Long phone calls to explain how/why of it all. Don't like S&H as RK, so agree to change paperwork. Agree I paid for car and will be paying for tax/fuel/service etc as he has no money. Will still be going to school on bus (which I also pay for). Genuinely not fronting
Day before incident I would have used runabout2 for 170 mile transpennine round trip to look for "that" M3, but he "needed" it for short local hop with no public transport. So who is main user?
Day of incident fine and dry. NSL road but not one he knows. Sharp bend. Understeers into outside kerb, crosses to opposite steep tall verge/bank. Angle of attack provides gentle roll onto nose/bonnet/windscreen header rail. Eyewitness says speed not excessive (except for talent/experience). Police guestimate 40 mph and agree no action post breathalyser. No other vehicle or third party/property damage. Roof not "crushed" as SWMBO states but doubt cost effective repair
So if insurers accept not fronting seems like 2 options. Claim and end up a few quid up but bad claim history and no runabout. Brace for painful renewal. Or not claim, fund cost of runabout3 myself and continue policy. Make clear to S&H his plums are on the line. Still brace for painful renewal.
He's got more time for revising now anyway
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