Quick insurance cover question
Discussion
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
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 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........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 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........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.
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. If I insured it, would that still allow his claim to go though?
Personally, I would get the claim settled before you take it.
Edited by TwigtheWonderkid on Saturday 5th April 13:32
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
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
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