What happens (insurance value) after an accident?

[sunbeam alpine]

A friend's car has unfortunately just been hit by a learner driver. He was 100% not at fault - his car was stationary - waiting to turn at a junction. When I saw the car (I recovered it for him), I feared that the car would be written off.

Police attended, the learner driver admitted fault (noted by the police), the car has been recovered to a marque specialist, who has pretty much confirmed that the car is beyond economic repair.

What happens now? The state of the classic car market is such that his car was worth more than 3 times what he paid for it less than a year ago, and what he wants is to get into the same/similar model, but we don't know how insurance companies work in this situation.

There are currently fewer than 10 examples for sale across Europe, and the cheapest model (at more than double what he paid for his car) needs quite a bit of work.

Grateful to hear anyones comments/experiences.

ETA: He had a valuation done on the car just 14 days ago (!) and would be happy if he got close to that value from insurance.

Edited by sunbeam alpine on Friday 20th May 16:30

[sunbeam alpine]

TooMany2cvs said:

Is he on an agreed value policy?
What did he declare the value to his insurers as?

He's currently dealing directly with the insurers of the guy who hit him.

[sunbeam alpine]

Kinkell said:

Please divulge the manufacturer and model of this car that has tripled in value over the last twelve months, sounds amazing.

It's an early 70's Alfa Romeo. On re-reading my OP I may have given slightly the wrong impression. Models like his have certainly doubled in price over the last year, however he bought VERY well - a good bit under where the market was at the time.

To get into the same quality/condition as he had, he/the insurance will need to spend a fair bit more money. Will they do this?

This was really the point of my question - insurance valuation of a modern car seems quite easy - trade guides, adjustments for milage/condition etc. A classic car may be more difficult. Since I made my OP I've been googling for online price guides, and eveything I find confirms the high prices.

BTW, Kinkell, do you have anything helpful to add?

[sunbeam alpine]

RichardM5 said:

If it's a no fault accident then the terms of his insurance are not relevant. Simply find an equivalent vehicle that's for sale, if there is one, and tell them to either provide funds to buy it or repair his. You are entitled to be restored to the position you were in before the accident.

Thanks. This is what we are hoping will happen!

[sunbeam alpine]

skeeterm5 said:

sunbeam alpine said:

Thanks. This is what we are hoping will happen!

So do all of us. Can you let us know how it turns out.

The (other party's) insurance company specialist is coming on Monday afternoon to view the car. I guess we will have a bit more of an idea then.

My friend is hoping that the insurance will work out along the lines that RichardM5 suggests. He has already printed off every for-sale advert he can find - from Denmark to Spain (and all countries in-between) and the cheapest is just under 2.5 times what he paid last year!

This is what is worrying me - if the insurance company quantify his loss as what he paid, he can't replace his car.

I don't think this will be easy !

Edited by sunbeam alpine on Saturday 21st May 10:07

[sunbeam alpine]

Just to close this thread, my friend got very close to what he wanted for his car (nearly double what he paid), reflecting the way the market has moved. His insurance were very helpful all the way through, although their first offer was quite low.

Thanks to all who replied.

[sunbeam alpine]

sim16v said:

Good news!

But he should have still tried to retain the salvage, as someone could repair it properly a lot cheaper than a bodyshop insurance quote for repair.

Even if he didn't want to repair it, someone would.

He did retain the salvage - cost him €1000. It genuinely wasn't repairable, so we've stripped it for parts.

He's already up on the deal.