Scrap Value Deducted

Apocalypse

Hi all

My BMW was written off a few weeks back after a guy went into the side of me.
I agreed a price of €2200 with the insurance company for the value of the car.
A week of two after I received a letter stating the scrap value at €380 of so.
So when I got the cheque it was for €1820 , the €2200 minus the €380.
Just confused , they auction the car off to a breaker and take the €380 is it ?

Thanks

George Dalton

Usually what happens is the salvage guys pay you the €380.

mickdw

Did you agree to keep the car by any chance?

barneygumble99

Having just gone through the same situation, I was given the opportunity to buy the car back before claim settlement. In your case, the car should belong to you and whatever you can get for it now is yours.

mgbgt1978

The car does belong to you.
However the Insurance company have put it out to tender and the best offer they got from a Breaker was €380. They should have explained this to you and given you the contact details of the Breaker.
It's then up to you if you want to sell to him or keep the car yourself.
Contact your Insurer and find out who is offering the €380 for your car.

They can't just pluck this figure out of their ar$e and deduct it from the final settlement. It has to be a figure that they were offered for the car.

edburg

When dads car was written off, RSA gave the value's etc and when it was agreed they took car and got a cheque from breakers and then sent that on with there cheque.

coylemj

Apocalypse wrote: »

I agreed a price of €2200 with the insurance company for the value of the car.

Did you ask to keep the damaged car?

In the case of a write-off, the insurance company pays you the agreed value of the car and legally they then own what's left of it. If you ask to keep the car then they are entitled to deduct the scrap value from the settlement.

mgbgt1978

Not with Liberty. They will get quotes for the scrap value and deduct this from their settlement figure.
They will then leave it up to the owner to contact the Scrap Dealer/ Breaker and get paid directly by the Breaker.

They will only pay for the car's value less the scrap value.

This was the case with both my son and my brother within the past 8 months.
In my brother's case he asked if they could pay the full value and sort out the damaged vehicle themselves. They replied that they don't do it this way anymore as they felt it kept costs down if they didn't get involved with storing the damaged car, etc.
In my son's case it suited him to keep the car going for a few weeks (it was only an economic write-off, with no structural damage) which gave him more time to find the car he wanted.

mickdw

mgbgt1978 wrote: »

Not with Liberty. They will get quotes for the scrap value and deduct this from their settlement figure.
They will then leave it up to the owner to contact the Scrap Dealer/ Breaker and get paid directly by the Breaker.

They will only pay for the car's value less the scrap value.

This was the case with both my son and my brother within the past 8 months.
In my brother's case he asked if they could pay the full value and sort out the damaged vehicle themselves. They replied that they don't do it this way anymore as they felt it kept costs down if they didn't get involved with storing the damaged car, etc.
In my son's case it suited him to keep the car going for a few weeks (it was only an economic write-off, with no structural damage) which gave him more time to find the car he wanted.

Thats disgraceful carryon by liberty.
Fair enough if they want to offload car directly but to expect the car owner to have to deal with this is not acceptable imo. The most the owner should have to do is tick a box which says they want to keep car and accept payment less scrap value
Or
They want to dispose of car. In that case, full value should be sent out in one cheque or 2 but certainly the owner shouldn't have to deal with trade.

edburg

mickdw wrote: »

Thats disgraceful carryon by liberty.
Fair enough if they want to offload car directly but to expect the car owner to have to deal with this is not acceptable imo. The most the owner should have to do is tick a box which says they want to keep car and accept payment less scrap value
Or
They want to dispose of car. In that case, full value should be sent out in one cheque or 2 but certainly the owner shouldn't have to deal with trade.

There be nothing stopping breakers changing there value surely if the punter has to deal with it.

R.O.R

When the wife's car was written off, we got a cheque from RSA for the (eventually) agreed pre accident value (less the excess, less the salvage value), and got a cheque from the salvage company (Gannons) when we took the VLC and spare key in to Gannons.

Not ideal, but was fine in the end.

mgbgt1978

edburg wrote: »

There be nothing stopping breakers changing there value surely if the punter has to deal with it.

In this case it was a certain value that Liberty had agreed with a particular Breaker. They apparently have a website (or possibly a 3rd party site) where write-offs are offered and the highest bidder gets it.
I'd imagine it wouldn't be in the Breaker's interest to p!ss off any of the Insurance Companies as they would probably find themselves blacklisted from bidding on future cars.

In fairness it was just a case of making a phone call and the Breaker would collect the car (and VLC) at an agreed time. It also means that the Breaker will give you the End-of-Life cert if you want to claim back motor Tax.....rather than chasing an Insurance company for it.

For Forks Sake

R.O.R wrote: »

When the wife's car was written off, we got a cheque from RSA for the (eventually) agreed pre accident value (less the excess, less the salvage value), and got a cheque from the salvage company (Gannons) when we took the VLC and spare key in to Gannons.

Not ideal, but was fine in the end.

That's nearly identical to the procedure we had when herself wrote off her car except it was a different salvage co. Credit where it's due to RSA, they were very efficient at getting everything sorted.