Car insurance claim

[Donut]

Hi guys,

 

i got a situation about car insurance claim

 

A car got into accident. Towed to authorised workshop for repair. The damage looks bad. Front engine bay and undercarriage in bad shape. Middle and back of the car has no damage.

 

 

Now the loss adjuster for the insurance company gave 2 options:

 

1. Total loss. They will scrap the car and pay car owner $11k. The car only left with 2 years before 10 year COE finish. Still got outstanding loan with bank

 

2. They can repair. But they say the repair cost could be more than $11k, they want the car owner to cover any excess of the repair cost. The actual repair cost is not known yet.

 

 

My question is:

 

1. If go for scrap and take back $11k. Does the insurance company pay the outstanding loan amount or the car owner pay by himself? The car parf value is at least $6k+

 

2. Can i get a 2nd opinion of the repair cost from another workshop? I have the idea of getting another workshop to assess the damage and if the cost is lesser than authorised workshop, can i ask the insurance company to give $11k, and take the car to another workshop for repair?

 

 

Is there something wrong with the insurance company's offer?

[Knoobie]

Hi guys,

 

i got a situation about car insurance claim

 

A car got into accident. Towed to authorised workshop for repair. The damage looks bad. Front engine bay and undercarriage in bad shape. Middle and back of the car has no damage.

 

 

Now the loss adjuster for the insurance company gave 2 options:

 

1. Total loss. They will scrap the car and pay car owner $11k. The car only left with 2 years before 10 year COE finish. Still got outstanding loan with bank

 

2. They can repair. But they say the repair cost could be more than $11k, they want the car owner to cover any excess of the repair cost. The actual repair cost is not known yet.

 

 

My question is:

 

1. If go for scrap and take back $11k. Does the insurance company pay the outstanding loan amount or the car owner pay by himself? The car parf value is at least $6k+

 

2. Can i get a 2nd opinion of the repair cost from another workshop? I have the idea of getting another workshop to assess the damage and if the cost is lesser than authorised workshop, can i ask the insurance company to give $11k, and take the car to another workshop for repair?

 

 

Is there something wrong with the insurance company's offer?

wah, got like that one meh.. the insurance company can say only pay for the $11k of repairs one ar...

[Darryn]

Based on my understanding...(which may or may not be correct)

 

1. If you accept the $11k - the car now belongs to the insurance company. Any monies like PARF etc goes to them.

2. Insurance company won't pay outstanding loan - that is your job.

3. I can't think of any reason why you can't go to a different workshop.

4. With 2 years left to go, and current COE prices, the $11k seems low (but that's just a gut feel) - have you checked what similar year / model are currently selling for on Carmart?

 

 

Hi guys,

 

i got a situation about car insurance claim

 

A car got into accident. Towed to authorised workshop for repair. The damage looks bad. Front engine bay and undercarriage in bad shape. Middle and back of the car has no damage.

 

 

Now the loss adjuster for the insurance company gave 2 options:

 

1. Total loss. They will scrap the car and pay car owner $11k. The car only left with 2 years before 10 year COE finish. Still got outstanding loan with bank

 

2. They can repair. But they say the repair cost could be more than $11k, they want the car owner to cover any excess of the repair cost. The actual repair cost is not known yet.

 

 

My question is:

 

1. If go for scrap and take back $11k. Does the insurance company pay the outstanding loan amount or the car owner pay by himself? The car parf value is at least $6k+

 

2. Can i get a 2nd opinion of the repair cost from another workshop? I have the idea of getting another workshop to assess the damage and if the cost is lesser than authorised workshop, can i ask the insurance company to give $11k, and take the car to another workshop for repair?

 

 

Is there something wrong with the insurance company's offer?

 

wah, got like that one meh.. the insurance company can say only pay for the $11k of repairs one ar...

 

Yep - if the repair cost is beyond the current market value - why should they repair?

[Donut]

Based on my understanding...(which may or may not be correct)

 

1. If you accept the $11k - the car now belongs to the insurance company. Any monies like PARF etc goes to them.

2. Insurance company won't pay outstanding loan - that is your job.

3. I can't think of any reason why you can't go to a different workshop.

4. With 2 years left to go, and current COE prices, the $11k seems low (but that's just a gut feel) - have you checked what similar year / model are currently selling for on Carmart?

 

 

 

 

Yep - if the repair cost is beyond the current market value - why should they repair?

i just check sgcarmart.com. the market selling price is about $12k (before bargaining). So that's how the damm insurance company come out with the figure $11k.......

 

If i go to another workshop, will the insurance cover the repair?

[Darryn]

i just check sgcarmart.com. the market selling price is about $12k (before bargaining). So that's how the damm insurance company come out with the figure $11k.......

 

If i go to another workshop, will the insurance cover the repair?

 

Only to the "total loss" value they have told you.

 

While from your view this sucks - it seems to me to be a good idea - if you think about it, why should they pay more to have the car repaired than the "replacement cost" - which is what they are offering you.

[Othello]

yeah, std mkt practice.

 

repair cost not practical, they will advise total loss. You can try to ask other workshop for 2nd quote, but will your insurance co. entertain ??? They might even quote higher.

 

What you can do is nego with the compensation amt. Go sgcarmart get the prices for same car same year....

[Carnoob]

Depends on what your insurance cover, if stated as repair to be done with authorized workshop then your second opinion will still have to be a workshop registered with them.

 

If $12k under sgcarmart through car dealer, then the owner could have sold the car lower than $12k. So I think $11K is already very high.

[Othello]

i just check sgcarmart.com. the market selling price is about $12k (before bargaining). So that's how the damm insurance company come out with the figure $11k.......

 

If i go to another workshop, will the insurance cover the repair?

 

honestly, I think 11k is rather fair lah. You can try asking for $11,500 I also got total my car many years ago. I did ask NTUC (then) to give me more and they did

 

you go to another workshop, the ins will STILL only cover up to $11.000

[Ghostrider]

Dun think insurance company will pay you directly since its still under hire purchase. The bank owns the car legally.

 

So if you settle for lump sum disbursement, any outstanding loan will have to be borne by you. Insurance company will take ownership of the car and dispose of it...usually by scraping and recovery of the PARF from LTA. IMHO, if you want to take this option, go to SGcarmart, CATS ads to find a similar car in year and month and see if the market value is higher than 11K. You can fight for more since total lost is covered till market value. Go to www.onemotoring.com.sg and see how much is your scrap value. (ie your balance COE + PARF is worth) If its more than 11K, tell the insurance company go make love to spider.

 

Repair...u can talk to your insurance company and ask what is the total amount that they willing to fork out for repair...if you can find a workshop that does the repair within that budget, they might let you go to that workshop instead.

 

Insurance is damn b**tard...in your case, total lost is your lost...not their lost...cos they can recover quite a fair bit from gov from your COE and PARF.

 

Their excuse in this case is call...beyond economical repair.

[Othello]

 

If $12k under sgcarmart through car dealer, then the owner could have sold the car lower than $12k. So I think $11K is already very high.

 

agree. seriously I would accept the offer if it was me

[Carnoob]

 

honestly, I think 11k is rather fair lah. You can try asking for $11,500 I also got total my car many years ago. I did ask NTUC (then) to give me more and they did

 

you go to another workshop, the ins will STILL only cover up to $11.000

 

TS's hoping that another workshop will give him a repair cost below $11K

[Othello]

 

TS's hoping that another workshop will give him a repair cost below $11K

 

near impossible or hard to find. Insurer would have opened up this "case" to several of its workshops and got the lowest quote (I assume) so to find one outside workshop to do below 11K ? Either they cut corners or they salvage parts from scrapyard.

[Darryn]

 

near impossible or hard to find. Insurer would have opened up this "case" to several of its workshops and got the lowest quote (I assume) so to find one outside workshop to do below 11K ? Either they cut corners or they salvage parts from scrapyard.

Depending upon the part, there's nothing inherently wrong with something salvaged from a scrapyard.

 

Things like radiators, panels, etc etc can and do work perfectly fine, even if the car itself has been junked -

 

You'd want to be aware of which parts, and what sort of warranty - but if you are willing to go down that road, you may well get your car back, at a similar level of reliability (remember, it's not like you have a one week old, immaculate car right now)

[Carnoob]

Insurance is damn b------d...in your case, total lost is your lost...not their lost...cos they can recover quite a fair bit from gov from your COE and PARF.

 

Their excuse in this case is call...beyond economical repair.

 

I think from TS PARF is $6k+ give it $7K and average for COE 2005 is $16,551 give it $17,000 and assuming exactly 24 months left.

 

De-registration value is only

 

$7000 +((COE Premium Paid x remaining months) / 120 months) = $10,400

 

So how much should the insurance pay?

[inlinesix]

Since chassis out of shape, waste time waste $$$ to repair it. Take the $11k & ride taxi loh.

[Vhtfhwlego]

Hi guys,

 

i got a situation about car insurance claim

 

A car got into accident. Towed to authorised workshop for repair. The damage looks bad. Front engine bay and undercarriage in bad shape. Middle and back of the car has no damage.

 

 

Now the loss adjuster for the insurance company gave 2 options:

 

1. Total loss. They will scrap the car and pay car owner $11k. The car only left with 2 years before 10 year COE finish. Still got outstanding loan with bank

 

2. They can repair. But they say the repair cost could be more than $11k, they want the car owner to cover any excess of the repair cost. The actual repair cost is not known yet.

 

 

My question is:

 

1. If go for scrap and take back $11k. Does the insurance company pay the outstanding loan amount or the car owner pay by himself? The car parf value is at least $6k+

 

2. Can i get a 2nd opinion of the repair cost from another workshop? I have the idea of getting another workshop to assess the damage and if the cost is lesser than authorised workshop, can i ask the insurance company to give $11k, and take the car to another workshop for repair?

 

 

Is there something wrong with the insurance company's offer?

Your car is a COE car and claiming 3rd party to another driver?

Or you are claming first party from the insurance which doesnt make sense as I dont know of any insurance company that covers comprensive insurance for COE cars.

 

Take back $11K, bank loan X amount, need to top up?

[Othello]

 

I think from TS PARF is $6k+ give it $7K and average for COE 2005 is $16,551 give it $17,000 and assuming exactly 24 months left.

 

De-registration value is only

 

$7000 +((COE Premium Paid x remaining months) / 120 months) = $10,400

 

So how much should the insurance pay?

 

left 2 years car dealer only sell $1,600 above paper? unlikely, probably paper even lower

[Carnoob]

Depending upon the part, there's nothing inherently wrong with something salvaged from a scrapyard.

 

Things like radiators, panels, etc etc can and do work perfectly fine, even if the car itself has been junked -

 

You'd want to be aware of which parts, and what sort of warranty - but if you are willing to go down that road, you may well get your car back, at a similar level of reliability (remember, it's not like you have a one week old, immaculate car right now)

 

I think if TS still has outstanding loans then it would be beta with your suggestions... get parts from scrapyard and repair then last till 10yrs get back $6K. but your insurance premium will raise till you cry for the last 2 yrs