Accident write off.

Honest John Back Room » Motoring discussion
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Tue 22 Apr 2003 10:13
Accident write off. - peteH
Assuming:

1)
The insuers arranges collection to a garage who then quotes for repair. The insurers write the car off, and the car is collected from the garage (not know where taken)
The insurers make an offer

2) The car is still owned by you.

3) If you turn down the offer (below reasonable market value), who is reponsible for the storage fees - the
insurer or the policyholder, whilst an settlement is agreed?

3) Can the insurer deduct "storage" from the payout? Would they be required to nofify that they would no longer cover storage charges from a certaindate (particulary if Storage is not mentioned in the policy, or any subsequent correspondance)
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Tue 22 Apr 2003 11:05
Accident write off. - DavidHM
AFAIK the purpose of insurance is to put you back in the position you would have been in had the accident not happened (subject of course to excesses and premium loading in the future).

The contract for storage of the car is presumably between the insurance company and the storage company. I therefore can't see how they can charge you for storage unless they explicitly say so in the policy, although they wouldn't have to set an amount if they did.

Also, if you don't mind my asking, what is the make/model, age, mileage and condition of the car? Insurance should pay out enough for you to buy one from a dealer, with a bit of haggling and shopping around, and allowing for some wear and tear on components like tyres that would be replaced as a matter of course.
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Tue 22 Apr 2003 11:25
Accident write off. - Mark (RLBS)
You have a duty to minimise your losses.

However, you insurance company need to satisfy the storage charges.

Until they make their offer, then the storage charges are all their responsiblity. Unless, especially when dealing with a TP Insurer, they advise you that the car may now be disposed of. At that point, give or take a bit for reasonableness, they will stop paying the storage.

If they make an offer to you, you refuse it and then they increase the offer, the storage is still down to them.

If they make you an offer, you refuse it, they don't increase it, and then you accept it anyway, its a bit more difficult.

Will you keep the car ? If not, send them a letter stating that you accept it is a write-off, that you do not accept their offer, but you assume that they are responsible for the disposal of the car.
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