Repairing versus writing off a bike after non-fault accident
Discussion
I've been fortunate enough to ride bikes and drive cars for some 20 years plus without ever having to go through any kind accident or insurance claim. But unfortunately, I was involved in a non-fault accident a couple of weeks ago and am seeking some clarification on something.
Brief details are:-
Knocked off my bike on a roundabout by someone entering the roundabout without looking/seeing me.
Driver admitted responsibility at roadside and also to his company and their insurance company (he was driving a company vehicle)
The bike is a 2017 BMW S1000R Sport, 5 weeks old and with 1700 miles on the clock. purchased (Rented for the PH pedants) on a PCP deal over 3 years.
The bike was recovered from roadside to BMW repair center.
Damage estimated at 6K +
Estimate submitted to drivers insurance company, who initially wanted to inspect the vehicle themselves (on Wed next week) But have since contacted the repair centre today to authorise the repairs without them actually inspecting the bike themselves.
Now the questions I have are....
As the bike is on a PCP deal it has a GFV at the end of those 3 years.
Given that the bike will now be technically damage repaired, it must affect that GFV no?
So when I sell / trade in the bike it will be worth way less than it would have, had it not been in an accident, and will be way below the GFV should I trade it in after 3 years. Ultimately that is going to leave me out of pocket for something that wasn't my fault.
Is that true? Or is the fact that it will be repaired by BMW to their standards, mean that the value will not be affected?
If the value will be affected, am I within my rights to ask for the bike to be written off and then supplied with a new one?
As I said, I haven't had to go through any kind of insurance procedure before, So I am a bit naive to it all.
I'm not wanting to benefit from this accident in any way, I just want to be back where I was before the accident and not have to suffer financially for it in the future.
Thanks
Brief details are:-
Knocked off my bike on a roundabout by someone entering the roundabout without looking/seeing me.
Driver admitted responsibility at roadside and also to his company and their insurance company (he was driving a company vehicle)
The bike is a 2017 BMW S1000R Sport, 5 weeks old and with 1700 miles on the clock. purchased (Rented for the PH pedants) on a PCP deal over 3 years.
The bike was recovered from roadside to BMW repair center.
Damage estimated at 6K +
Estimate submitted to drivers insurance company, who initially wanted to inspect the vehicle themselves (on Wed next week) But have since contacted the repair centre today to authorise the repairs without them actually inspecting the bike themselves.
Now the questions I have are....
As the bike is on a PCP deal it has a GFV at the end of those 3 years.
Given that the bike will now be technically damage repaired, it must affect that GFV no?
So when I sell / trade in the bike it will be worth way less than it would have, had it not been in an accident, and will be way below the GFV should I trade it in after 3 years. Ultimately that is going to leave me out of pocket for something that wasn't my fault.
Is that true? Or is the fact that it will be repaired by BMW to their standards, mean that the value will not be affected?
If the value will be affected, am I within my rights to ask for the bike to be written off and then supplied with a new one?
As I said, I haven't had to go through any kind of insurance procedure before, So I am a bit naive to it all.
I'm not wanting to benefit from this accident in any way, I just want to be back where I was before the accident and not have to suffer financially for it in the future.
Thanks
3rd Party insurers tried to write off my daughters car as they did want to spend out on the expensive repairs.
They had admitted liability (hard not to when they drove on to the back of her whilst stationary and pushed her into the car ahead).
I gave them two options after they low balled on the pay out. (Damage was all bodywork and no mechanical apparently)
Either, clear the rest of the PCP agreement, or repair the car.
They repaired the car.
They had admitted liability (hard not to when they drove on to the back of her whilst stationary and pushed her into the car ahead).
I gave them two options after they low balled on the pay out. (Damage was all bodywork and no mechanical apparently)
Either, clear the rest of the PCP agreement, or repair the car.
They repaired the car.
First thing to note is that it's not you who makes the decision to write it off or not - that's the insurer/underwriter. Even if they do write it off, they may not pay what you consider a fair value...so I hope you've got RTI/gap insurance to cover any shortfall.
Your bike will be repaired to pre-accident condition, and as far as the insurer is concerned, that's all there is to it.
Until you physically sell/return the bike, you'll have no evidence of any loss of value.
Your bike will be repaired to pre-accident condition, and as far as the insurer is concerned, that's all there is to it.
Until you physically sell/return the bike, you'll have no evidence of any loss of value.
His own insurance might have a clause providing for a new for old, if the bike is quite new. But it sounds as if he's going the non fault route - . So he's only going to get "indemnity" ie back to where he was prior to the accident, with a repaired bike, or if the costs are uneconomic, a payment for the value at the time of the accident. Nothing he can do about any shortfall in value. Having said, he might if it's repaired, have a claim for "diminution" of the vehicle, ie if two identical machines were for sale on the forecourt of a dealer, is one worth less having been extensively repaired? Usually (but not always) the answer is yes, and he might claim anywhere between 5 and 20% of the value.
But the decision to total loss/repair is entirely the prerogative of the paying party.
But the decision to total loss/repair is entirely the prerogative of the paying party.
Alucidnation said:
I gave them two options after they low balled on the pay out. (Damage was all bodywork and no mechanical apparently)
Either, clear the rest of the PCP agreement, or repair the car.
They repaired the car.
They were under no obligation to do either if both options were in excess of the market value. All they were obligated in law to do was pay out the market value. If they repaired the car in excess of the market value, that was a nice gesture, not a legal precedent. Either, clear the rest of the PCP agreement, or repair the car.
They repaired the car.
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