Quick insurance cover question

Quick insurance cover question

Author
Discussion

Dog Biscuit

Original Poster:

661 posts

9 months

Saturday 5th April
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My dad has an old bmw x3

It got bumped in a car park - other person admitted liability and claim is progressing.

It's worth little and it may be written off. Awaiting assessment from engineer.


He's found and bought a different car as he was clase to changing the X3 anyway.

Question!

Can he swap his new car onto his policy and leave/sell the X3 and the claim still be progressed or will he have to keep it insured and wait it out?

Many thanks


KungFuPanda

4,496 posts

182 months

Saturday 5th April
quotequote all
He doesn’t need to keep it insured if he gets a new car.

I’d advise against selling it before either party has inspected it though as it needs an inspection in order to place a valuation on the writeoff value or repair costs.

Rushjob

2,119 posts

270 months

Saturday 5th April
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KungFuPanda said:
He doesn’t need to keep it insured if he gets a new car.

I’d advise against selling it before either party has inspected it though as it needs an inspection in order to place a valuation on the writeoff value or repair costs.
Until he sells it or it's written off he must keep it insured or SORN it otherwise he can fall foul of the uninsured vehicle penalties........

KungFuPanda

4,496 posts

182 months

Saturday 5th April
quotequote all
Rushjob said:
KungFuPanda said:
He doesn’t need to keep it insured if he gets a new car.

I’d advise against selling it before either party has inspected it though as it needs an inspection in order to place a valuation on the writeoff value or repair costs.
Until he sells it or it's written off he must keep it insured or SORN it otherwise he can fall foul of the uninsured vehicle penalties........
Yep you’re correct. I was just discussing things in relation to the bump.

CanAm

10,731 posts

284 months

Saturday 5th April
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It only has to be insured at the time of the loss.

Dog Biscuit

Original Poster:

661 posts

9 months

Saturday 5th April
quotequote all
He's offered it to me FOC and Im tempted as an old smoker

If I insured it, would that still allow his claim to go though?

TwigtheWonderkid

45,658 posts

162 months

Saturday 5th April
quotequote all
Dog Biscuit said:
He's offered it to me FOC and Im tempted as an old smoker

If I insured it, would that still allow his claim to go though?
Yes, the insurance status after the claim doesn't matter. But the claim may be void as he no longer has a loss. He's not got the car. He would have to get a letter from you saying "because of the damage , I Dog Biscuit gave me car whereas undamaged, I would have paid £1000. Or whatever the figures are. Then he has suffered a £1000 loss and can use that as the basis of his claim.

Personally, I would get the claim settled before you take it.

Edited by TwigtheWonderkid on Saturday 5th April 13:32

Aretnap

1,804 posts

163 months

Saturday 5th April
quotequote all
TwigtheWonderkid said:
Yes, the insurance status after the claim doesn't matter. But the claim may be void as he no longer has a loss. He's not got the car. He would have to get a letter from you saying "because of the damage , I Dog Biscuit gave me car whereas undamaged, I would have paid £1000. Or whatever the figures are. Then he has suffered a £1000 loss and can use that as the basis of his claim.
If claiming from the third party he does have a loss. The loss is the drop in value caused to his car by the accident, which occurs immediately and is unaffected by anything which happens afterwards. See Coles v Hetherton 2013. If he subsequently gives the car away, or sells it for more or less than it's actual market value, or has it repaired on the cheap by a mechanic friend who owes him a favour, or whatever, it doesn't affect the amount he can claim from the third party. (In theory at any rate, as KungFuPanda says there might be practical difficulties if the car isn't available for the damage to be assessed.)

If claiming from his own policy things get a bit trickier. His insurer will want to settle the claim by either repairing the car, or writing it off and taking possession of the salvage - neither of which will be possible if he no longer has the car.

Edited by Aretnap on Saturday 5th April 14:03

TwigtheWonderkid

45,658 posts

162 months

Saturday 5th April
quotequote all
Aretnap said:
TwigtheWonderkid said:
Yes, the insurance status after the claim doesn't matter. But the claim may be void as he no longer has a loss. He's not got the car. He would have to get a letter from you saying "because of the damage , I Dog Biscuit gave me car whereas undamaged, I would have paid £1000. Or whatever the figures are. Then he has suffered a £1000 loss and can use that as the basis of his claim.
If claiming from the third party he does have a loss. The loss is the drop in value caused to his car by the accident, which occurs immediately and is unaffected by anything which happens afterwards. See Coles v Hetherton 2013. If he subsequently gives the car away, or sells it for more or less than it's actual market value, or has it repaired on the cheap by a mechanic friend who owes him a favour, or whatever, it doesn't affect the amount he can claim from the third party. (In theory at any rate, as KungFuPanda says there might be practical difficulties if the car isn't available for the damage to be assessed.)

If claiming from his own policy things get a bit trickier. His insurer will want to settle the claim by either repairing the car, or writing it off and taking possession of the salvage - neither of which will be possible if he no longer has the car.

Edited by Aretnap on Saturday 5th April 14:03
Interesting stuff

Dog Biscuit

Original Poster:

661 posts

9 months

Saturday 5th April
quotequote all
Thanks for all the comments and valuable information

All read and understood!


andburg

7,968 posts

181 months

Monday 7th April
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I think the simple answer is to SORN the car and park it up until he's either had an offer of repair or a write off value agreed that includes buying the vehicle back to repair himself.

Dog Biscuit

Original Poster:

661 posts

9 months

Saturday 12th April
quotequote all
Just to follow up on this

His X3 was written off and he got offered the chance to buy back - for £263.00!!

He's taking the payout and buying it back and giving it to us for an old family smoker

Thanks again to all for the help

E-bmw

10,653 posts

164 months

Wednesday
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TwigtheWonderkid said:
On a completely different note:

TWIG - Email sent for advice.

TwigtheWonderkid

45,658 posts

162 months

Wednesday
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Nothing received?

E-bmw

10,653 posts

164 months

Thursday
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OK, will try again, are you set up to receive emails?

Alternatively, I know I am set up for emails, can you send me one?

Edited by E-bmw on Thursday 17th April 08:43