What is this 30%?

[MIKE3000]

What is the meaning of the following phrase:

Less Salvage based on 30%: R 20 000,00 (Excl VAT)

It is in terms of a motor vehicle accident and the law firm payout to be on behalf of their client ( the person that caused the accident).

 

[Stonemason]

Insurance companies have an agreement with junkyards to buy cars that are written off. This agreement is usually in the range of 15 to 20 % of its book value. In this case they are trying to tell you that you should be able to sell your car that was written off for 30% of its book value and they will therefore only pay 70% of the book value to compensate you for your loss.

You should refuse the offer unless they can point you to a buyer that will buy the written off car for 30% of its book value.