Insurance Claim Question
Discussion
I got knocked off my bike last week and the third party insurer has accepted liability.
The damage to my bike appears fairly superficial (about £1k worth of parts on a bike worth about £5k) so it's unlikely to be a write off.
However, I have a hire bike (provided by a claims management company) which I need to get to work and which will obviously be billed to the third party insurer.
Question: Will the cost of bike hire be factored into their decision as to whether to write my bike off? ie could it get written off purely due to the hire costs? Is that part of their considerations?
The damage to my bike appears fairly superficial (about £1k worth of parts on a bike worth about £5k) so it's unlikely to be a write off.
However, I have a hire bike (provided by a claims management company) which I need to get to work and which will obviously be billed to the third party insurer.
Question: Will the cost of bike hire be factored into their decision as to whether to write my bike off? ie could it get written off purely due to the hire costs? Is that part of their considerations?
Quite simply yes.
If the replacement is from an accident management company then it will very likely be credit hire and will be included in any calculations.
When I had an accident I went straight to the third party and they offered me a replacement bike. Their tariff list was between £30 and £50 a day.
I know rated are capped so this may be less than you are being charged through the accident management company who are obviously in it to make as much money per claim as possible.
DJP said:
Question: Will the cost of bike hire be factored into their decision as to whether to write my bike off? ie could it get written off purely due to the hire costs? Is that part of their considerations?
Yes.Once upon a time that was the Cat.D write-off - total repair costs including hire charges etc are > 60% (iirc) of the vehicle value. This has been re-jiggled to Cat N, but I'd be surprised if it isn't exactly the same criteria.
Sounds like it's all down to the lead-time on replacement bits, if it's short you'll likely get away with it.
I got knocked off my bike about five years back at walking pace. Only damage was a dented header and a few scratches, bike was worth £9k at the time and.... they wrote it off. It came back from assessment with things like fairing panels unclipped (which hadn't been touched in the accident) and then the quote said those panels needed to be replaced. Not even broken clips!
On the plus side, I bought it back for something like £1900 and used it for another 5 years and still have it today, so it owes me approximately zero now.
The assessor told me (I don't know whether this is correct) that they write off almost everything as it's less hassle than having people quibble about repairs or finding other things wrong in the future. At £5k I'd expect yours to be written off.
On the plus side, I bought it back for something like £1900 and used it for another 5 years and still have it today, so it owes me approximately zero now.
The assessor told me (I don't know whether this is correct) that they write off almost everything as it's less hassle than having people quibble about repairs or finding other things wrong in the future. At £5k I'd expect yours to be written off.
As others have said - Yes
It's also why I'll happily deal in Cat D / N bikes as they're written off over ridiculously small amounts of damage
I'll add that a car was damaged outside my house and I watched them load it onto an insurance provided truck a few days later.
There was a bike already on the truck and the driver just winched the car into the bike to pin it against the truck to save on straps
it looked undamaged but was definitely a write off afterwards
It's also why I'll happily deal in Cat D / N bikes as they're written off over ridiculously small amounts of damage
I'll add that a car was damaged outside my house and I watched them load it onto an insurance provided truck a few days later.
There was a bike already on the truck and the driver just winched the car into the bike to pin it against the truck to save on straps
it looked undamaged but was definitely a write off afterwardsEdited by KTMsm on Monday 18th October 14:13
Bloke reversed his hire car into me 2 years ago. Only damage to bike was broken front mudguard, & I somehow didn't fall off!
Recovery truck took it away & it took almost a month to assess, repair damage & return to me. However: I was hassled almost daily by two different outfits trying to persuade me to take on a hire bike. For the reasons mentioned by other posters, I didn't agree, as I was almost sure this would result in writing off a one year old bike with less than 10K miles on the clock. Value would have been around £6k at the time....
Recovery truck took it away & it took almost a month to assess, repair damage & return to me. However: I was hassled almost daily by two different outfits trying to persuade me to take on a hire bike. For the reasons mentioned by other posters, I didn't agree, as I was almost sure this would result in writing off a one year old bike with less than 10K miles on the clock. Value would have been around £6k at the time....
DJP said:
Thanks for all the input guys - it's pretty much as I suspected.
Sadly, it seems to be Catch 22 - if you don't take the hire bike then they've no incentive to get a move on with the claim (plus I genuinely need the hire bike for work).
Sadly, it seems to be Catch 22 - if you don't take the hire bike then they've no incentive to get a move on with the claim (plus I genuinely need the hire bike for work).
You’d think that wouldn’t you but…
The catch with that is an accident management company recommended by your insurance company has no incentive at all to hurry up the repair.
If you are genuinely the innocent party then any hire charges to you will be at the maximum rate possible and in turn charged to the third party’s insurance company.
The longer they drag it out the higher the charges and the greater their profit.
So you take the hire bike and the accident management company drag their heels. Or you don't take the hire bike and the third party insurer drag their heels.
And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
DJP said:
So you take the hire bike and the accident management company drag their heels. Or you don't take the hire bike and the third party insurer drag their heels.
And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
Can you imagine having an issue with the hire bike, like dropping it?? The mind boggles as to the potential financial implications....And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
I know it’s being wise after the event but if (and only if) you had been sure that the third party wouldn’t try and wriggle out of their responsibility you should have gone directly to their insurance company.
I’ve done that twice and they will fall over themselves to get the claim sorted as soon as possible as it’s only them on the hook for costs.
Drawweight said:
I know it’s being wise after the event but if (and only if) you had been sure that the third party wouldn’t try and wriggle out of their responsibility you should have gone directly to their insurance company.
I’ve done that twice and they will fall over themselves to get the claim sorted as soon as possible as it’s only them on the hook for costs.
That's how I've always done it, but I haven't needed a hire car / bike - I doubt any will admit responsibility and start paying out before they have at least had the form submitted by their insuredI’ve done that twice and they will fall over themselves to get the claim sorted as soon as possible as it’s only them on the hook for costs.
I had a short period where people kept hitting my car - fastest payout was 7 days, longest was a month but they were all simple sub £1k claims
DJP said:
So you take the hire bike and the accident management company drag their heels. Or you don't take the hire bike and the third party insurer drag their heels.
And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
Its not in the Accident Management companies interest to drag their heels, they have to justify everything to the third party insurers, and if they do drag their heels, then the third party insurers just wont pay the excessive hire charges.And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
The ABI GTA sets out all of the rules around hire vehicles, what is acceptable, and if the Accident Management company drag their heels, then they will lose out on the hire charges, its really not a scam when it comes to it.
If your bike is unroadworthy, they will collect asap and provide you with a hire vehicle, you would also be entitled to a small car if you are injured and cant ride a motorbike, and have a car licence, but alternatively, if you have a car but decide not to use it and take the hire bike, then you may be liable for the hire costs as technically you wouldnt need a hire vehicle.
If your bike is still roadworthy, then the likelihood is that they will send an engineer out to inspect to get an idea of cost, and then get your bike in for repairs as soon as the repairer can make a start on it.
As for damaging the hire bike, you will either be insured through them, or it will be covered on your own insurers, so if the bike was damaged, you would just pay the excess or the repair cost, whichever is lower.
Smurfsarepeopletoo said:
DJP said:
So you take the hire bike and the accident management company drag their heels. Or you don't take the hire bike and the third party insurer drag their heels.
And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
Its not in the Accident Management companies interest to drag their heels, they have to justify everything to the third party insurers, and if they do drag their heels, then the third party insurers just wont pay the excessive hire charges.And in the middle is me, an innocent party who does not want and could not avoid any of this.
No wonder people hate insurance companies!
The ABI GTA sets out all of the rules around hire vehicles, what is acceptable, and if the Accident Management company drag their heels, then they will lose out on the hire charges, its really not a scam when it comes to it.
If your bike is unroadworthy, they will collect asap and provide you with a hire vehicle, you would also be entitled to a small car if you are injured and cant ride a motorbike, and have a car licence, but alternatively, if you have a car but decide not to use it and take the hire bike, then you may be liable for the hire costs as technically you wouldnt need a hire vehicle.
If your bike is still roadworthy, then the likelihood is that they will send an engineer out to inspect to get an idea of cost, and then get your bike in for repairs as soon as the repairer can make a start on it.
As for damaging the hire bike, you will either be insured through them, or it will be covered on your own insurers, so if the bike was damaged, you would just pay the excess or the repair cost, whichever is lower.
Ed. said:
I know procedures will vary between companies but my bike was taken a hundred miles away to copart to be assessed.
In that case, either you have sent them some images of the damage, and they believe it to be a write off, or the damage you have described makes them believe it will be written off.An assessment will be done there, and the decision made on whether it is repairable or not, but if its gone there straight away, expect it to be written off.
Biker 1 said:
Can you imagine having an issue with the hire bike, like dropping it?? The mind boggles as to the potential financial implications....
It's a £50 excess if I do that, £500 if it gets nicked.I have it in writing that I will never be charged hire fees for the hire bike.
The bike claim, including bike hire, is being handled in house by 4th Dimension.
The personal injury aspect has been handed to Bike Assist, on a "No win, no fee" basis.
Given that the third party insurer has already accepted liability, it now becomes an argument over costs.
But it's still a ball ache.
Smurfsarepeopletoo said:
Its not in the Accident Management companies interest to drag their heels, they have to justify everything to the third party insurers, and if they do drag their heels, then the third party insurers just wont pay the excessive hire charges.
The ABI GTA sets out all of the rules around hire vehicles, what is acceptable, and if the Accident Management company drag their heels, then they will lose out on the hire charges, its really not a scam when it comes to it.
If your bike is unroadworthy, they will collect asap and provide you with a hire vehicle, you would also be entitled to a small car if you are injured and cant ride a motorbike, and have a car licence, but alternatively, if you have a car but decide not to use it and take the hire bike, then you may be liable for the hire costs as technically you wouldnt need a hire vehicle.
If your bike is still roadworthy, then the likelihood is that they will send an engineer out to inspect to get an idea of cost, and then get your bike in for repairs as soon as the repairer can make a start on it.
As for damaging the hire bike, you will either be insured through them, or it will be covered on your own insurers, so if the bike was damaged, you would just pay the excess or the repair cost, whichever is lower.
Good to know, thanks. The ABI GTA sets out all of the rules around hire vehicles, what is acceptable, and if the Accident Management company drag their heels, then they will lose out on the hire charges, its really not a scam when it comes to it.
If your bike is unroadworthy, they will collect asap and provide you with a hire vehicle, you would also be entitled to a small car if you are injured and cant ride a motorbike, and have a car licence, but alternatively, if you have a car but decide not to use it and take the hire bike, then you may be liable for the hire costs as technically you wouldnt need a hire vehicle.
If your bike is still roadworthy, then the likelihood is that they will send an engineer out to inspect to get an idea of cost, and then get your bike in for repairs as soon as the repairer can make a start on it.
As for damaging the hire bike, you will either be insured through them, or it will be covered on your own insurers, so if the bike was damaged, you would just pay the excess or the repair cost, whichever is lower.
Drawweight said:
I know it’s being wise after the event but if (and only if) you had been sure that the third party wouldn’t try and wriggle out of their responsibility you should have gone directly to their insurance company.
Trouble is, how do you know that?I've been down that road before when my parked car was hit and you wouldn't believe how much bulls
t was flung about by the third party and their insurer. It dragged on for months and in the end, I had to small claims them jointly to get any action started.So these days my policy is to go through my own insurance but making it clear that I want them to pursue the third party.
Gassing Station | Biker Banter | Top of Page | What's New | My Stuff