Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - Paul O'Neill

Just had a minor accident this morning. Which wasn't my fault. Other driver gave details and owned up straight away.

My insurer referred me on to a "Credit Hire Company" who'll give me a temporary car, pay for the repair and chase other guys insurance company (Tesco insurance) for payment.

I just received a call from Tesco insurance saying they'd like to pay the garage directly - essentially cutting out the middleman?

So from everyone's experience what's the best thing to do. I've read the long page here about Credit Hire Companies. Middlemen generally always a bad idea but I've never done this before so it could be all just fuss over nothing...

anyone any advice?

Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - concrete

Hello Paul, go for the simple option provided by your insurer. I say this for several reasons. One being, the person who owned up to the accident sometimes change their mind on reflection and give a different version of events to their insurer, who will then contest your claim and make it difficult to recover car hire costs. This makes you liable for those costs, not your insurer. If you accept the loan car from the repairer or your own insurer you are protected from all that possible agravation. Let Tesco deal with it all and you will be able to rest easy in the knowledge that you will be safe going through their process instead of going off piste. It is tempting to accept a brand new car from a credit hire company, especially as they nearly always offer a larger car with a better spec than your own. They don't do this because they are nice people, they make money at it. If it seems too good to be true, then it probably is!!! Steer clear.

Cheers Concrete

Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - gordonbennet

I presume Tesco is the insurer of the third party and he has admitted liability to them, hence why they have been quick off the mark getting in touch with you, is that right?

I too would let the third party insurer provice you with a courtesy car and get your car repaired and returned to you.

As Concrete says, by doing it this way you won't be in the frame for any inflated hire car charges should the accident 'management' (yeah right) mob somehow manage to delay things to ramp up the hire charges, and the third party insurer then refuses to pay them.

Your insurer is taking a referral fee, i prefer the word bung, to recommend this management mob, they might even be part of the same group, and these sharks do none of us any favours and very satisfying to put a spanner in their plans.

Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - Paul O'Neill

Thanks both for your input.

You've confirmed my intuitions. I'll cancel the Auxilis, the Credit Hire Company and talk straight to Tesco Insurance.

Interestingly, when talking to my insurer the rep booked in a repair an assessment at a garage 5km away. She said I'd be passed on to a solicitor straight after my call to confirm legal stuff. She dismissively said you can sort out any details about a replacement car with them too. Thought nothing of it at the time, but now realise why she was so vague - I asked a few times will I be charged for a replacement car.

The soliciter (i.e. Auxilisis) immediately launched in to the full package and overrided the booking my insurer had referred on to them. When I said I've already got an assesment booked she said "that's not on the system".

5 mins of reading out contractual jargon... I interupted a couple of time to check that I don't have to pay anything today and can pullout at any time. I've got statutory 14 days to do a no-strings cancel.

What a faff! I hate that these people have you over a barrel. My insurance company uses these sneaky middlemen "Credit hire companies". Why can't they just do all this admin themselves?

Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - Manatee

Auxilis IIRC is owned by Admiral. They.exist mainly to provide expensive credit hire cars the cost of which are charged to the third party insurers, in this case Tesco. They will also pursue personal injury claims as part of the service. It seems inherently wrong to me that insurers try to make money out of each other this way. At best it's a zero sum game for policyholders, in reality just add to everybody's premiums.

Tesco would far rather deal with you direct as it will cost them a lot less. My wife recently had a non fault accident which the other party admitted. The third party insurer was Direct Line. They accepted our choice of repairer and paid for a hire car from Enterprise. They paid direct and the cost to them was £16 per day for the Hyundai i20. When my son's car (insured by Admiral) was written off in a non-fault accident last November, the credit hire Aygo that Auxilis provided was charged at £60 per day, which was paid by the third party insurer. It's a racket.

Edited by Manatee on 27/04/2017 at 08:19

Vauxhall Meriva - Accident - Credit Hire Co. v direct w/3rd party - NGR

Had bad experience with credit hire company, dragged things out 3 years ended up going to court because they failed to arrange a settlement with the other party who admitted causing the accident but could not agree on payout, 2 complaints to finicial obmusban, stupid blantent lieing (against what was said in court), second visit to court where hire company was dragged across the ashes and had to pay their own 3 years of car hire fees for proven delay tactics. I sued the hire company for inconvience and time lost as a result of their incompetance, I received a payout under NDA before a third visit to court.
I personally would avoid third parties and go direct where possible.


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