New Car Writeoff Value By Auto Insurance Company?
My car insurance company has decided to write off my brandnew 2008 model car driven for less than 2000 KM. Black book is giving value for models till 2007 only.
Can I expect 100% of new car value from them? WIll it be negotiable? Do I need to hire a lawer if they offer less as only reason I am buying a new car is accident ( due other party’s fault and accepted by them too).
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February 3rd, 2010 at 8:22 am
If you have a problem with this claim – do what I did.
You tell them nicely but firmly that their offer is generous but not acceptable – then you tell them (not ask, TELL) them to replace the car with exactly the same model, same colour, same condition and same mileage. Then send them forecourt prices obtained from the dealer showing REPLACEMENT value ON THE FORECOURT. That is the replacement value – I did this and got FULL value
This is the minimum you will accept.
In fairness, for a car this new – you shouldn’t get a problem.
February 3rd, 2010 at 10:00 am
As I presume you’re in the UK you will not get 100% of the new car value. Car insurance doesn’t operate on a “new for old” basis.
You can insist that they replace it with a car of the same model, condition and mileage as the one you had. You will need to do some research to get the current price.
I know this is too late but if you ever buy another brand new car get GAP insurance.
February 3rd, 2010 at 12:42 pm
If you were to drive a brand new car, off the forecourt into the path of a bus and write it off, expect only about 2/3 of the value back from the insurance company. They are notorious for this….
If the third party is to blame, you could try suing them for the short-fall…
February 3rd, 2010 at 3:34 pm
take out GAP insurance next time.
This covers 100% for 3 years if written off.
February 3rd, 2010 at 9:22 pm
no lawyer will help you with property damage.. sorry. Lawyers only want cases in which they can earn money- they know they cant with property damage. And you do realize that youd lose more money by paying them then you would get originally without one right?
No, you are not going to get the original value of your car. You ahve driven 2000 KM since you bought it- why should you get the full value of a car with 0 KM on it?
You will likely get the value of your car LESS depreciation for miles.. thats what my company does anyways. We get that bill of sale… and pay that value.. less miles.
No lawyer, or amount of pleading and begging is goign to change the fact that the second you car leaves the lot it loses value.
February 3rd, 2010 at 11:47 pm
Depening on your agency and policy, you’ll probably get the depreciated book and not 100%
February 4th, 2010 at 6:44 am
It all depends on which company you are insured with as mentioned earlier. On a whole though if the car is under 12 months old (which I am presuming yours is) then most companys will replace the written off model with the same model. If however you have lost faith in said brand you may be able to negotiate that rather than getting a like for like swap over you can have the montery value.
February 4th, 2010 at 9:13 am
If you made a replacement policy you will get 100%
February 4th, 2010 at 12:56 pm
TRY TO NEGEOTIATE WITH THEM WHEN THEY OFFER YOU A CLAIM SETTLED PRICE
February 4th, 2010 at 2:20 pm
The general ruel is as soon as you driove the car off the lot the value drops $5000
BUT
in Ontario canada the is somthing know as the OPCF 43
which is basically a waver of depreciation meaning you get 100% back
but i dont think hte state has anything liek that
February 4th, 2010 at 8:21 pm
In the UK, if your car was bought brand new then you will get a replacement vehicle of the same make and model.
There are one or two companies that don’t do this (MMA I think are one) but that is the exception rather than the rule.
(An addendum – the vehicle must have been bought by you brand new and with no previous owners – sometimes garages register cars to meet monthly quotas and then sell them as ‘virtually new’ – in these cases the vehicle would NOT count as a new car).
February 20th, 2010 at 10:42 pm
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