How strict are insurance companies on paying out?

[Byard]

Just curious as I've never had to claim before but I always wondered if they would pay out if say for example you had lowered suspension or a different gear knob undeclared?

[U T]

Lowered suspension - maybe not.
Different gear knob wont be an issue.

[Vocal Minority]

I was always under the impression if they could find a reason not to, they wouldn't.

[Original Poster]

I'm not speaking from experience however I'd imagine they will do most things in their power to not pay out.

[Byard]

Vocal Minority said:

I was always under the impression if they could find a reason not to, they wouldn't.

Well to be fair, something like spraying your center console a different color kinda gives them a reason not to as it is 'modified'?

[jimxms]

Chances are that unless you run over a pedestrian or cause a ridiculous amount of costly damage, they probably wouldn't notice if you had two bottles of NOS in the boot, suspension lowered to the ground and a 10ft spoiler on the back.

All the insurance assessors I've seen come and view the damage, the mileage of the car, its general condition and then tell the insurance co whet they expect the repairs to cost.

They don't check, nor have the extensive knowledge to notice most modifications to the car.

If the part you've smashed up is non-standard and its not declared on your policy, you will just get a standard part in return.

• this is not avocation to commit insurance fraud**

[U T]

Original Poster said:

I'm not speaking from experience however I'd imagine they will do most things in their power to not pay out.

I think the opposite is true. I know someone who had his claim kicked out, and it transpired that he had, by his own admission, deliberatey lied to them to get a lower premium.

That's when they don't pay claims, when they think they have been deliberately misled.

Believe it or not, not paying out claims is bad for business. An insurance company with a reputation for not paying claims won't be in business for long. If you want to build a long term sustainable and profitable insurance company, the key is to pay out claims, and still make a profit by charging the right premiums.