100k classic car claim, 15k settlement offer
Discussion
Hi all
My neighbours retired mate (60yrs old), out driving his classic car last summer (July),
Driving round a bend on a Country lane ,
gets hit by a on coming car, who cut the corner too much and crashed into his car.
No serous injuries, very lucky guy
His Car has heavy frontal damage and so did 3rd party's car
His insurance company has written the car off, after there engineer inspected it,
due to the damage and unavailability of parts, they are NLA from main dealer
3rd party sends there own engineer and in his report says total repair cost is 5k
Both insurance companies going back and forth for months
3rd party has accepted liability, made offer of 5k to settle claim in Nov
Now they have made a final offer of 15k, take it or leave it
His insurance company have told him, they will have to take 3rd party to court
He has agreed value policy for his car, for 100k
He's told his insurance, if 3rd party can't repair his car, and won't honour his 100k agreed value for the car,
He wishes to make a claim on his own policy and for his insurer to reclaim the funds back in court from 3rd party.
100k payment from. His own insurer, will allow him. To buy a like for like replacement vehicle and get back behind driving a classic car, ready for this summer car events
His insurance company, have not replied back to his idea and have just repeated again and again they will need to got to court to recover all costs
ALL. Opinions very much appreciated in advance
My neighbours retired mate (60yrs old), out driving his classic car last summer (July),
Driving round a bend on a Country lane ,
gets hit by a on coming car, who cut the corner too much and crashed into his car.
No serous injuries, very lucky guy
His Car has heavy frontal damage and so did 3rd party's car
His insurance company has written the car off, after there engineer inspected it,
due to the damage and unavailability of parts, they are NLA from main dealer
3rd party sends there own engineer and in his report says total repair cost is 5k
Both insurance companies going back and forth for months
3rd party has accepted liability, made offer of 5k to settle claim in Nov
Now they have made a final offer of 15k, take it or leave it
His insurance company have told him, they will have to take 3rd party to court
He has agreed value policy for his car, for 100k
He's told his insurance, if 3rd party can't repair his car, and won't honour his 100k agreed value for the car,
He wishes to make a claim on his own policy and for his insurer to reclaim the funds back in court from 3rd party.
100k payment from. His own insurer, will allow him. To buy a like for like replacement vehicle and get back behind driving a classic car, ready for this summer car events
His insurance company, have not replied back to his idea and have just repeated again and again they will need to got to court to recover all costs
ALL. Opinions very much appreciated in advance
Your neighbours contract is with his own insurer, not the third-party insurer.
He has an agreed value policy for £100k. If his insurer has written the car off, they should pay the agreed value under his policy. What the third party thinks the repair cost is, or what they’re willing to offer, is irrelevant to the neighbour.
Any recovery from the third party is between the insurers and shouldn’t delay settlement.
He has an agreed value policy for £100k. If his insurer has written the car off, they should pay the agreed value under his policy. What the third party thinks the repair cost is, or what they’re willing to offer, is irrelevant to the neighbour.
Any recovery from the third party is between the insurers and shouldn’t delay settlement.
If he's made a claim through his own insurer and his insurer has written his car off, then they should be paying him the agreed value of the car immediately (or at least, within a few days) and worrying about what they can recover from the third party insurer afterwards.
The agreed value is agreed between him and his own insurer - it is not in any way binding on the third party insurer. The third party insurer is required to pay whatever he can prove the market value was at the time of the accident, less the salvage value, which could be more or less than the value he agreed with his own insurer. But that's mainly a problem for his own insurer not for him personally - they should be paying him the agreed value, then recovering as much of that as they can from the third party.
The agreed value is agreed between him and his own insurer - it is not in any way binding on the third party insurer. The third party insurer is required to pay whatever he can prove the market value was at the time of the accident, less the salvage value, which could be more or less than the value he agreed with his own insurer. But that's mainly a problem for his own insurer not for him personally - they should be paying him the agreed value, then recovering as much of that as they can from the third party.
Yellowfez said:
Did he pursue a claim directly with the person who hit his cars insurance company or is he claiming through his own insurance policy, if he s using his own insurance than they need to pay him 100k and go to court with the other insurance company, that s between them
Exactly what I was thinking. 
If you have an agreed value policy it isn't worth trying to claim from the insurer of the other vehicle!
Go through your insurance company and leave them to claim from the third party and suck up the difference between the value they agreed and the money they can get from the third party's insurers.
As an aside, I'm curious as to what the car is where there's such a discrepancy between the agreed value and the third party insurer's offer. Even if it is a low ball offer, there's quite a gap.
As an aside, I'm curious as to what the car is where there's such a discrepancy between the agreed value and the third party insurer's offer. Even if it is a low ball offer, there's quite a gap.
I d like to know who the insurer is that s playing hard ball on the agreed valuation?
You never know just how good your policy is until something like this happens. I m sure there plenty of PH s me included that have agreed valuations on classic cars.
My experience with non car related claims is not a positive one either. It seems they are very good at taking your premiums for years and years but at the point you actually need them they will try even trick in the book to reduce and delay the settlement.
You never know just how good your policy is until something like this happens. I m sure there plenty of PH s me included that have agreed valuations on classic cars.
My experience with non car related claims is not a positive one either. It seems they are very good at taking your premiums for years and years but at the point you actually need them they will try even trick in the book to reduce and delay the settlement.
Edited by hmg on Sunday 11th January 23:20
Pandalada246 said:
His insurance company has written the car off, after there engineer inspected it,
Your neighbour's mate just needs to claim off his own insurance policy and get his agreed value payout. Ignore the 3rd party insurers as they do not have an agreed value or any contract with your neighbour's mate so no way they are ever paying your neighbour's mate an extra £85k.I honestly do not understand the myriad of posts on here of people faffing with 3rd party insurers. Claim off the company you pay money to and let them recover their losses from the 3rd party. It is what you pay them for. They might, in very rare cases, require you to attend court for them so just do it.
It's not like you can pretend the accident didn't happen when you renew (not legally anyway) if you settle with the 3rd party.
stemll said:
Pandalada246 said:
His insurance company has written the car off, after there engineer inspected it,
Your neighbour's mate just needs to claim off his own insurance policy and get his agreed value payout. Ignore the 3rd party insurers as they do not have an agreed value or any contract with your neighbour's mate so no way they are ever paying your neighbour's mate an extra £85k.I honestly do not understand the myriad of posts on here of people faffing with 3rd party insurers. Claim off the company you pay money to and let them recover their losses from the 3rd party. It is what you pay them for. They might, in very rare cases, require you to attend court for them so just do it.
It's not like you can pretend the accident didn't happen when you renew (not legally anyway) if you settle with the 3rd party.
Not at all clear but sounds like the neighbour claimed off the TP's policy and is now seeing pushback on value.
TP Insurer won't give a monkeys that the said car is insured on an agreed value basis because that's not their policy they have agreed to.
As usual would have been far simpler and easier for the Neighbour to just claim off off his own policy !
TP Insurer won't give a monkeys that the said car is insured on an agreed value basis because that's not their policy they have agreed to.
As usual would have been far simpler and easier for the Neighbour to just claim off off his own policy !
alscar said:
Not at all clear but sounds like the neighbour claimed off the TP's policy and is now seeing pushback on value.
It's not the neighbour, it's the neighbour's mate.I might take advice from the neighbour of a mate if they were an expert (motoring lawyer, etc.)
But I certainly wouldn't take advice from the neighbour of a mate who posted the question on a motoring forum.
It is pretty straight forward. Claiim off 'your own' insurance for the 100k agreed.
I wonder if there are value shenanigans going on. Offer of 15k from the TP suggest it's some old Ford which the owner has perhaps overestimated the value of
. An agreed value can't be for any number you want, it must be based on some evidence.
I wonder if there are value shenanigans going on. Offer of 15k from the TP suggest it's some old Ford which the owner has perhaps overestimated the value of
. An agreed value can't be for any number you want, it must be based on some evidence. If the insurance company accept the valuation, they can't then back out, unless it wasn't as described.
IME, if you have asked for what they consider high, they'll ask for evidence such as receipts, photographs and / or recognised owner club owner valuation. It's not the same as when you're asked for a value for what is 'normal' insurance, this is just used as a guide for the premium. Agreed value is just that, subject to an excess of course.
IME, if you have asked for what they consider high, they'll ask for evidence such as receipts, photographs and / or recognised owner club owner valuation. It's not the same as when you're asked for a value for what is 'normal' insurance, this is just used as a guide for the premium. Agreed value is just that, subject to an excess of course.
sixor8 said:
If the insurance company accept the valuation, they can't then back out, unless it wasn't as described.
IME, if you have asked for what they consider high, they'll ask for evidence such as receipts, photographs and / or recognised owner club owner valuation. It's not the same as when you're asked for a value for what is 'normal' insurance, this is just used as a guide for the premium. Agreed value is just that, subject to an excess of course.
Exactly. It can't be pie-in-the-sky, it need some supporting evidence.IME, if you have asked for what they consider high, they'll ask for evidence such as receipts, photographs and / or recognised owner club owner valuation. It's not the same as when you're asked for a value for what is 'normal' insurance, this is just used as a guide for the premium. Agreed value is just that, subject to an excess of course.
I'm exploring how something incredibly straightforward has become complicated and this is one possible explanation.... over insured and is hoping TP will pay out on it... (hint: they won't).
Gassing Station | Speed, Plod & the Law | Top of Page | What's New | My Stuff