Severe Hail Damage - Will the trade in after repairs be affected?

[Murlin]

Hi All

I am hoping someone can answer me this as I think the insurance is trying to pull a fast one over me. They are discussing this at the moment as I think I have hit the nail on the head with my argument.

My car was in a hail storm in PMB. The two quotes which have been assessed by three different assessors is 62% and 64% of the total worth of the car. The quotes are in the region of R84000 + - . The car is a Toyota Etios 2014 with 6050kms on the clock, 10 months old.

The write off according to the insurer is 70% of the cars value. I am wanting the car written off simply because the car will never be the same again.

Every metal panel needs work. In short they want to cut the roof out, replace the bonnet and cut the right gutter beam out from the back light to the front mirror. The front right fender is bent beyond repair and the left fender is 50/50 they say.

My question is, after all this repairing at a Toyota approved panel shop, will my trade value be affected? Has anyone been in the position before? How do I find out the salvage value?

I have called two dealerships who have said, the trade will be affected or they will be in a position to use it against me (strong arm me). I want the car written off and I have the policy of 1yr or 30000km write off they must put me back in a similar position or better.

Thanks

 

[Ancalagon]

I would strongly push for a write off. I didn't think the write off threshold was as high as 70%?

Think about it - imagine you were buying your own hail damaged car. Would you pay as much for it as a non hail damaged car?

When they put a new roof on, will they do it as well as Toyota's engineers did? Will there be rattles? Leaks?

 

[Wall]

I would strongly push for a write off. I didn't think the write off threshold was as high as 70%?

Think about it - imagine you were buying your own hail damaged car. Would you pay as much for it as a non hail damaged car?

When they put a new roof on, will they do it as well as Toyota's engineers did? Will there be rattles? Leaks?

It is, my brother had an accident and the repair was around 65% and they refused to write off.

 

[Rouxenator]

I don't think those repairs will leave the car in a state any worse than when it was driven off the showroom floor. This is an Etios after all.

 

[ToxicBunny]

Hi All

I am hoping someone can answer me this as I think the insurance is trying to pull a fast one over me. They are discussing this at the moment as I think I have hit the nail on the head with my argument.

My car was in a hail storm in PMB. The two quotes which have been assessed by three different assessors is 62% and 64% of the total worth of the car. The quotes are in the region of R84000 + - . The car is a Toyota Etios 2014 with 6050kms on the clock, 10 months old.

The write off according to the insurer is 70% of the cars value. I am wanting the car written off simply because the car will never be the same again.

Every metal panel needs work. In short they want to cut the roof out, replace the bonnet and cut the right gutter beam out from the back light to the front mirror. The front right fender is bent beyond repair and the left fender is 50/50 they say.

My question is, after all this repairing at a Toyota approved panel shop, will my trade value be affected? Has anyone been in the position before? How do I find out the salvage value?

I have called two dealerships who have said, the trade will be affected or they will be in a position to use it against me (strong arm me). I want the car written off and I have the policy of 1yr or 30000km write off they must put me back in a similar position or better.

Thanks

They are not legally obliged to write the vehicle off, so you can push as much as you want, if they don't want to they don't have to.

Yes, you will be worse off in terms of tradein, but you bought an Etios, so thats already a bad start from a trade-in perspective.

 

[Pho3nix]

but you bought an Etios, so thats already a bad start from a trade-in perspective.

 

[tRoN]

Hi All

I am hoping someone can answer me this as I think the insurance is trying to pull a fast one over me. They are discussing this at the moment as I think I have hit the nail on the head with my argument.

My car was in a hail storm in PMB. The two quotes which have been assessed by three different assessors is 62% and 64% of the total worth of the car. The quotes are in the region of R84000 + - . The car is a Toyota Etios 2014 with 6050kms on the clock, 10 months old.

The write off according to the insurer is 70% of the cars value. I am wanting the car written off simply because the car will never be the same again.

Every metal panel needs work. In short they want to cut the roof out, replace the bonnet and cut the right gutter beam out from the back light to the front mirror. The front right fender is bent beyond repair and the left fender is 50/50 they say.

My question is, after all this repairing at a Toyota approved panel shop, will my trade value be affected? Has anyone been in the position before? How do I find out the salvage value?

I have called two dealerships who have said, the trade will be affected or they will be in a position to use it against me (strong arm me). I want the car written off and I have the policy of 1yr or 30000km write off they must put me back in a similar position or better.

Thanks

I wouldn't keep a car with that damage.
Get your broker to assist to get it written off.

 

[Kix]

I don't think those repairs will leave the car in a state any worse than when it was driven off the showroom floor. This is an Etios after all.

Coffee out the nose and all over the keyboard!

 

[The_MAC]

Coffee out the nose and all over the keyboard!

Is there literally coffee all over your keyboard and in your nose?

 

[Pitbull]

Hi All

I am hoping someone can answer me this as I think the insurance is trying to pull a fast one over me. They are discussing this at the moment as I think I have hit the nail on the head with my argument.

My car was in a hail storm in PMB. The two quotes which have been assessed by three different assessors is 62% and 64% of the total worth of the car. The quotes are in the region of R84000 + - . The car is a Toyota Etios 2014 with 6050kms on the clock, 10 months old.

The write off according to the insurer is 70% of the cars value. I am wanting the car written off simply because the car will never be the same again.

Every metal panel needs work. In short they want to cut the roof out, replace the bonnet and cut the right gutter beam out from the back light to the front mirror. The front right fender is bent beyond repair and the left fender is 50/50 they say.

My question is, after all this repairing at a Toyota approved panel shop, will my trade value be affected? Has anyone been in the position before? How do I find out the salvage value?

I have called two dealerships who have said, the trade will be affected or they will be in a position to use it against me (strong arm me). I want the car written off and I have the policy of 1yr or 30000km write off they must put me back in a similar position or better.

Thanks

Think about it logically.

They have a choice to either pay 64% or roughly R 84000 as per your post. So the value of the car by a quick calc is R 114 240. Let's assume you have been paying R 1k a month premium. for let's say 8 months. You gave them R 8k and expect them to pay you out 36% more than the damage of the vehicle?

I think that is a bit of a stretch by any form of imagination.

Yes your trade will take a slight knock, but the insurance is suppose to put you back into the same situation you were in before the hail storm. If you vehicle is dent free and driving they did just that. They are not there to replace your vehicle with a new one. Yes they can and in most cases they do. I just think the expectation of this is a bit unwarranted. They didn't park the car out in the hail did they ?

 

[essop1@gp]

I would go to the ombudsman if i were you. Your argument firstly is that the vehicles damages are nearly at their write-off quota of 70% and to back that up the repairers want to cut the car up and repair it, personally i think that should be illegal, they are actually damaging the car more than the hail. That is your safety at risk aswell as others on the road.
The repairers guarantee the work but what if you meet up in an accident and the work was sub-standard, can they guarantee your life?

Vehicles less than a year with less than a certain mileage, that are written off or stolen are replaced with a new vehicle, that is almost a standard in the industry. I come from an insurance background and the companies i worked for did this.

I work certainly not entertainment that fact that my car be cut up because they can't pull the dents out. My friend had a Golf 6R with bad hail damage, the repairer pulled every single dent out, vehicle got traded in at a vw dealer for just under R400k.

 

[Fazda]

I don't think those repairs will leave the car in a state any worse than when it was driven off the showroom floor. This is an Etios after all.

I couldn't agree more!!

That being said - HPI is going to reflect that R 84 000, and it is going to be picked up by the Dealer where you trade it in, and oh boy, will you take a knock at that point!

Either insist on them writing it of or have it miraculously end up in Durban harbour after the hand brake fails.

 

[Ancalagon]

Think about it logically.

They have a choice to either pay 64% or roughly R 84000 as per your post. So the value of the car by a quick calc is R 114 240. Let's assume you have been paying R 1k a month premium. for let's say 8 months. You gave them R 8k and expect them to pay you out 36% more than the damage of the vehicle?

I think that is a bit of a stretch by any form of imagination.

Yes your trade will take a slight knock, but the insurance is suppose to put you back into the same situation you were in before the hail storm. If you vehicle is dent free and driving they did just that. They are not there to replace your vehicle with a new one. Yes they can and in most cases they do. I just think the expectation of this is a bit unwarranted. They didn't park the car out in the hail did they ?

It is a bit more complicated than that.

If you buy a new car and get hijacked while driving it out of the showroom, they have to buy you a new car. No matter how much money they lose. This is what insurance is - a numbers game. This is what actuaries do - they calculate the odds of you having your car stolen or crashed, and then produce nice little tables that allow the insurer to decide what your premium should be.

For every person that writes a car off in 8 months, thousands will own theirs without any problems for years. So just because he only paid R8k, does not mean he is not entitled to a new car.

Yes, they should get him back to where he was before the hail. What was his trade in value before the hail and what is the trade in value afterwards?

 

[Hemi300c]

A few facts:-
1) Every Insurer has a different cut off for write-off. Can vary between 50% and 75% depending on the damage. Your damage is cosmetic and not structural therefore to fix without comebacks is easier and therefore the % could be higher.
2) It is the insurers prerogative as contracted in your policy to fix, indemnify or replace with the same as you had just before the loss.
3) You will need to sign a release form before acceptance, if you not reasonably happy with the repairs don't sign it and take it from there.
4) The resale/retail value is of no concern to the insurer as you had the loss you cannot blame them for you having to take a knock because you had hail damage as with any other claim on the vehicle. (I would suggest keeping all documentation and pics so when the time comes to sell you can prove the "only cosmetic" damage.

Important not to OP, USE A BROKER. They are there to fight the fight, advise and get the best possible deal for their insureds.

 

[spiderz]

pix of car/damage?

 

[tRoN]

Btw. Who is the insurer and broker?

 

[Pitbull]

It is a bit more complicated than that.

If you buy a new car and get hijacked while driving it out of the showroom, they have to buy you a new car. No matter how much money they lose. This is what insurance is - a numbers game. This is what actuaries do - they calculate the odds of you having your car stolen or crashed, and then produce nice little tables that allow the insurer to decide what your premium should be.

For every person that writes a car off in 8 months, thousands will own theirs without any problems for years. So just because he only paid R8k, does not mean he is not entitled to a new car.

Yes, they should get him back to where he was before the hail. What was his trade in value before the hail and what is the trade in value afterwards?

This is not a theft though is it?

The vehicle can be repaired for 36% less than buying a new one. The Insurance in this case has a choice to save 36% if that makes sense.

 

[Murlin]

This is not a theft though is it?

The vehicle can be repaired for 36% less than buying a new one. The Insurance in this case has a choice to save 36% if that makes sense.

Still waiting on the Insurance letter proving that my trade wont be affected.

Remember the insurance takes you car and sells for salvage so they don't "loose" that 36%. An Etios salvage online in a way worse case than mine is going for R55k + -.

The car new/insured for is R133500

 

[ToxicBunny]

The insurance company actually doesn't give two shytes about your trade-in value... that is not what they are insuring.

They are insuring that your vehicle is in the same condition...

 

[Pitbull]

Still waiting on the Insurance letter proving that my trade wont be affected.

Remember the insurance takes you car and sells for salvage so they don't "loose" that 36%. An Etios salvage online in a way worse case than mine is going for R55k + -.

The car new/insured for is R133500

They still lose if they don't repair.

Simple maths:
They pay you R 133 500. Which puts them at - R 133 500. They salvage the vehicle without repairing it on auction, let's say they get the exact price minus damage caused or what ever. So lets say they get a salvage price on auction of R 50 000. They still out of pocket -R 83 500. Which is more than they would have paid on your repair.

Hope it makes sense.

Remember they auction the salvage off to the highest bidder. No guarantee they will even get most of the amount back. The 70% is more or less the tipping scale when it comes to salvaging. Thus the 70% write off amount.