insurance advice after accident

djbrendan said:
To start from scratch with debt again ?

I see what you mean but i mean,already year or two in it and now you have to start over again,where she had R20000 for her first deposit she now has only a few thousand ?
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Umm, but that's because a car is a depreciating asset? You really expect insurance to cover what the car cost when you first bought it?
 
Splinter said:
Umm, but that's because a car is a depreciating asset? You really expect insurance to cover what the car cost when you first bought it?
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OP never owned the car. The bank should be stressing about what they can recover.
OP is lucky the insured value is more than what he owes on it.
 
tRoN said:
OP never owned the car. The bank should be stressing about what they can recover.
OP is lucky the insured value is more than what he owes on it.
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True that, especially with higher end German cars I've heard of people that have their cars written off 3yrs after purchase and after the insurance payout still owe the bank another R50-100k. That's why you need that extra cover that covers the shortfall if your car is written off.
 
Splinter said:
Umm, but that's because a car is a depreciating asset? You really expect insurance to cover what the car cost when you first bought it?
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Yes, it is, but if you are going to put more money into your car and you don't want it to be a complete dead loss in case of a write-off it is best to insure the car at a higher value.
 
Rouxenator said:
Yes, it is, but if you are going to put more money into your car and you don't want it to be a complete dead loss in case of a write-off it is best to insure the car at a higher value.
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That being retail value, is there anyway to insure for higher than retail?
 
Rouxenator said:
I always used to insure on book value, but my last purchase I insured on retail value. Seeing as I spent the difference between what it cost and retail value on repairs I won't loose out should the car get totaled.
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Yep! Always best.

I insured for Retail, and wheny car was written off in May I was able to get the exact same car again, with even less mileage than the one I had an accident in had when I bought it.

My insurance was great, they settled with my bank, took the excess out the pay out and then paid me, so I had a sizeable deposit for my new car.

All settled within a month even with the guy I bumped was sorted in less than a month.



WRT paying excess upfront, I think I know which insurance that is, sounds like King-you-know-what.
 
Friend's immaculate and fully restored 2000 Toyota Camry was written off while parked when a truck-trailer cut a corner and the trailer drove over the car. The perp's ins co paid R10000 to the Toyota owner and resisted any attempts to increase it. He ignored any further attempts to communicate, so he got his lawyer to issue summons for R150000 as proper compensation.

Perps lawyer tried 3 times to have case postponed and outside the court on the 4th appearance, offered R20000 and no expenses (by then R18000). In court, perps lawyer told magistrate that he had tried to negotiate in good faith with the suing party and told the magistrate that he had in fact offered R90k. Lawyer played back the recording just made outside where you can hear the perp's lawyer saying R20k and not one cent more. Magistrate said that he was thus awarding the claim and costs. Outside the court, perps lawyer was still shouting that they would not receive one cent of the claim and they could see him in hell first

At this juncture (2 years on) friend's lawyer has just received an order of court to seize assets of perp which takes place on 10th July

So, it can be done, you need a bit of patience
 
genetic said:
Unless its investment insurance, no.
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Insurance is a contract, they will cover you for whatever you both can enter into a contract about, so there might very well be polices that cover newest model of said vehicle, you'd just have to pay for it, that added risk.
 
supersunbird said:
Insurance is a contract, they will cover you for whatever you both can enter into a contract about, so there might very well be polices that cover newest model of said vehicle, you'd just have to pay for it, that added risk.
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I think it unlikely that you can take insurance that will put you in a better position than you are. Especially in SA, that would just tempt people to commit insurance fraud.
 
supersunbird said:
Insurance is a contract, they will cover you for whatever you both can enter into a contract about, so there might very well be polices that cover newest model of said vehicle, you'd just have to pay for it, that added risk.
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As per previous reply, investment only, ie bona fide vintage or exotic car etc not your immaculate 20yr old Toyota with a retail value of only R18k but market value of R80k. That situation is unique to vehicles though, insurers expect you to cover for replacement value on other goods and will pay out as per the replacement value as well.
Kerrits said:
I think it unlikely that you can take insurance that will put you in a better position than you are. Especially in SA, that would just tempt people to commit insurance fraud.
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That's pretty much the reason.
 
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airborne said:
That being retail value, is there anyway to insure for higher than retail?
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I suppose if you make an arrangement with your insurance company and you can justify the higher cost then you can.

My Astra is on trade-in value because apart form the purchase price and annual service it does not cost me anything. So I am not putting more money into the car. The 407 on the other hand did cost me quite a bit to restore and I don't want to loose that expenditure if it gets written-off, so that one is on retail.

The same applies to my mountain bike, if I upgrade something I always keep the invoice and up the insured value.
 
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