Insurers Criteria for a potential 'write-off' decision. (2 Viewers)

[Two Sticks]

Some help needed, please, by a former but lapsed Member of MH Fun.

Q1. Do Motor Home Insurers have a "Repair Cost vs Value Percentage Rule Of Thumb" when deciding between write-off or repair?

My reason for asking is that I have a professional body shop estimate for repairs of £6.2k for my Motorhome which was badly damaged by a 3rd party. [Long Story: Parked ATT, no-one injured but a nasty rear-end shunt, covered by my fully comp insurance]. Once I have completed a little more homework such as this I shall be providing my Insurers with the full details required for my claim within the next few days,

The current value of my 2001 Swift Ducato [2.8 tdi, 6 berth, <40k miles] MH is ‘uncertain’:

The original Trader ‘telephone-valued’ at £10k three months ago when I was thinking of selling it, therefore my repair estimate indicates 62% of that Trader’s book valuation.

Private sales adverts asking prices, seen during the last 12m, appear to range between £14.5k & a fiver short of £20k for similar models to mine. At those prices the Repair estimate would range from 51% to 43% of the potential private sale value.

This begs a couple of supplementary questions, please -
Q2. When assessing the value of a Vehicle written-off, how do Insurers reach and decide that valuation?

Q3. My situation shows a range of £10K between a Traders valuation and the top price of circa £20k asked for by private sellers - So does an Owner have any/much negotiation space with an Insurers valuation?

Many Thanks in advance!

 

[sedge]

Sorry dunno - never dealt with vehicle claims, to be let into the secrets!

 

[Vanman]

Never worked in that part of the trade, but from what I've seen -

1. The Insurers will do whatever works out cheapest for them. If it's cheaper to repair, they will, if it's cheaper to pay out, they will.

2. Insurers often get a 'friendly' dealer to give them a price to work with.

3. If they are writing it off they then usually make you an offer. If you feel it's not enough you can then argue - show evidence of other recent sales of similar vehicles. You can go to the Ombudsman if all else fails.

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[Spidey]

i thought it was always market value. when i had a car written off in an accident, they said a price and I then argued I coukd not get a car the same for that price. i researched and sent them adverts of cars for sale. they upped their offer to the price I found.

 

[mustaphapint]

When I was knocked off my bike a couple of years ago my insurance company wanted to write it off. I argued as the other party had admitted liability and I didn't see why I should have to lose a bike I'd had since new. They told me it was policy to write off if the repairs exceed 80% of the estimated value before the damage. I eventually came to an agreement and compromised on some of the bits they had quoted to replace or repaint to get the cost down.

 

[vwalan]

its usually about 60%of the market value . if over then writ off .
heavily damaged vehicles are not worth the repair costs after wards .
its all on the insurance lists .
many cant get insurance after a serious repair without full engineers reports ,even then insurers hate insuring them.

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[Wildbill]

Re joined the forum you know it makes sense
You all reddy had £15 worth of advice
Bill

 

[Puddleduck]

i thought it was always market value. when i had a car written off in an accident, they said a price and I then argued I coukd not get a car the same for that price. i researched and sent them adverts of cars for sale. they upped their offer to the price I found.

That's what I did as well. They countered with another advert but i pointed out the garage was in Cornwall and I live in Scotland so by the time I had trained down to see it, overnight in a B&B etc etc it was a lot more. They paid up.

 

[donnkim]

Good luck dealing with insurance companies.
Similar situation to you back in 2014 - accident not my fault moho Hymer twice your value. Took Admiral 12 months to sort something out. Didn't receive any compensation for delay n had me running around for figures and repair costs.
Would not want to go through that again.
Accident claim company totally useless - only interested in getting their final fees

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[pappajohn]

As a rule of thumb 60% of market value unless you have an 'agreed/approved value' policy in which case they will pay out the agreed price.
Usually only available on rare/exceptional vehicles where the true value far exceeds the market value.

 

[gus-lopez]

Just tell them " Put me back in the position I was in immediately before the accident, in a vehicle identical with same mileage & in the same condition." Additionally as it is a 3rd party claim also ask for all the days spent on it + calls ,emails etc:
Your company isn't paying the other is but what they all do is collude to scam the paying customer. Sort of You scratch my back etc.

 

[androidGB]

Another option is to take the write off value and buy the vehicle from the insurance company and pay for the repairs.

This could work out well, as you know the history of the vehicle and if you have a first class vehicle repairer

Andrew

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[vwalan]

Another option is to take the write off value and buy the vehicle from the insurance company and pay for the repairs.

This could work out well, as you know the history of the vehicle and if you have a first class vehicle repairer

Andrew

you may find it will require an engineers report to go back on the road and it will be listed on the hpi insurance lists and insurers dont like insuring them.
you may be lucky.

 

[androidGB]

you may find it will require an engineers report to go back on the road and it will be listed on the hpi insurance lists and insurers dont like insuring them.
you may be lucky.

Fair points, but this is why I said if you have a 1st class repairer.

Also I don't suppose you'd go to the trouble of repairing a vehicle unless you were very happy with condition of the vehicle pre accident

Andrew

 

[vwalan]

Fair points, but this is why I said if you have a 1st class repairer.

Also I don't suppose you'd go to the trouble of repairing a vehicle unless you were very happy with condition of the vehicle pre accident

Andrew

i ran my own garage and was an insurance list approved repairer .
i have had salvage vehicles and bought insurance writ offs .
wouldnt want folk to get in a financial difficulty after spending good money just to find insurance difficult to get.

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[bobandjanie]

They start with a very low offer, many years ago we had a out the factory dual fuel petrol / lpg Citroen Xantia really nice comfortable fast economic car, and someone rear ended us they tried to write it off, but we refused the stupid offer because they were like hens teeth and the offer was for a petrol so they put a bit more on to have a conversion done.
Refused and told them repair find me one or carry on storing it.
We got another duel fuel car, and after 4 odd months they repaired it.

Then someone else hit it, after a short discussions with the insurance company it was repaired straight away.

It's always worse when it's not your fault, and your the one loosing out. Bob.

 

[jollyrodger]

Had to go through the claim situation back in July 2018
Damage to plastic skirts and wheel arch after an incident to avoid a pile up others involved, but as I had avoided hitting them delt as a fault claim.

They deemed it uneconomical to repair. (LHD Challenger. Built in France same builders as rapido, and others.
Yet it drove perfectly. In fact we drove it back from Gloucester.
Lost adjuster couldn't find one to compare on Autotader ect.
Pointed him in the direction of.
Mobile.De where I had purchased from.
No problem from axxa paying out full and a good offer. All within a 3wks period from memory. Start to finish.

I was told by the L/A to take all my possessions out and any extras fitted. It was picked up and ended up at Westbury salvage auctions, selling on the third attempt for peanuts.

I had already replaced it with a hymer and on hols when sold

Yep I know an old thread and the date