Insurance Question

[onedsla]

hi - after a recent accident, I'm claiming on my insurance for repairs to my brand new Lotus. It's likely to take at least 6 weeks to repair as the lead time from Lotus for one of the parts is 4 weeks.

In my policy, I paid an extra £10 or so for 'temporary car replacement' and a 0.0001 litre corsa has turned up. My question is, after the 14 days of having this car are up, I'll be in the position of paying £150 a month (although I paid up front) for a policy on a car I don't even get to see for another month.

Any ideas if I can put the policy on hold or something over this period?

Also, despite only being 1 year / 17k miles old, the Corsa appears to be having clutch, gearbox and noisy suspension problems - who should I report this to - my insurance or the company who supplied it?

cheers if anyone can help

[angusfaldo]

I'm sure you can put the policy on hold (depending on insurer) but that would mean the car is uninsured. So, if something happens to it at the repair garage (say they have a flood or a fire or something) your limited to getting your loss back from the garage.

I recall a TVR owbner who's car was damaged by water when the garage servicing it flooded. His only recourse was to claim on his own insurance.

I'm a bit scant with details here but sounds to me like it would be a big mistake to suspend insurance just because the car is not under your direct control on your premises etc. Don't assume the garage's insurance will be sufficient, even if it is a maindealer etc.

[joust]

Few things...

Who's fault was the accident? If it was a 3rd party, then just claim for "out of pocket expenses" from the 3rd party - if you've paid the extra for a "hire car" you've probably paid for legal expenses.

Either way - use the "Nick insurance shouting [tm]" approach. Now you have the car - just tell them "sorry - it's your responsibility to get my car fixed, no, you don't understand, you can't have the car back, no, did I make myself clear, you either get me another car, persuade the repairers to give me a car. Sorry..... No, I have the car, and you are oblidged to provide me with "indemnity" - oh - don't know what that means, well, I suggest you go and ask your manager, and at that point get him to ring me back to get the car back before my car is fixed"

Suffice to say he had the car for 4 weeks before the wrote it off, and 2 weeks after that before he bought a replacement.

Always remember that insurance companies try anything to put one over you - simple fact is that insurance is based on the legal basis of "indemnity" - namely that they are liable to ensure you are in exactly the same financial position after the accident as you were before. If not having a car would make you incur additional expenditure - then that is there problem to fix.

Unfortunatly to that end these "extras" (like gap insurance, replacement car insurance etc.) are all a scam. Ultimatly if you've got the car - what are they going to do if you just don't hand it back until you get your's back?????????

[Normal disclaimer about me not being a lawer - just a person that knows a fair number of actuaries....]

J

[TheLemming]

joust said:Ultimatly if you've got the car - what are they going to do if you just don't hand it back until you get your's back?????????
J

Back when working for Ford we encountered customers refusing to return courtesy cars on several occasions.

If its a dealer courtesy car then you have no right to retain it. Your financial relationship in this matter is with the insurance company, not the repairer.

On a couple of occasions that Im aware of a dealer has taken the step of reporting a car stolen and cancelling the insurance where a customer has refused to return it.

Its very much a last resort, however it can and does happen.

[kevinday]

TheLemming said:
On a couple of occasions that Im aware of a dealer has taken the step of reporting a car stolen and cancelling the insurance where a customer has refused to return it.

Its very much a last resort, however it can and does happen.

It may be reported as stolen but IMHO in law it has not been stolen, because the user intends to return it at some point and is not intending to 'permanently deprive' the owner of it.

Similarly it is not even 'taking without consent' because the owner gave consent for it to be taken in the first place. If the user returns to the garage in it and then drives off in it again after being refused permission then it would be TWC.