Car potential write off, due to be traded in

CSSE09

Hi guys, I'm hoping someone here might know what happens with the situation I'm in.

Basically my car was parked up and a truck from a large business crashed in to it doing a lot of damage. They admitted liability to their insurer so at least that's one less headache but after it was brought to the mechanics they seem to think it's going to be an economic write off, they're doing the report up for the insurer at the moment.

My question is, I signed an order for a new car a few weeks back and the now damaged car was the trade in on that deal. Assuming it is a write off would I be right in thinking since the car obviously can't be given to the dealer the insurer would be liable for the value of the car written on the order form which the dealer will now expect in its place. What has me worried is if they come back and say well our price is X for the write off we won't pay the value on the order.

Just to add in the damaged car is with the dealer where the new car was ordered from.

Anyone have any idea what happens in this case? Thanks for any replies in advance, getting a little stressed over it I've never put a claim in before.

Henry Ford III

CSSE09 wrote: »

Hi guys, I'm hoping someone here might know what happens with the situation I'm in.

Basically my car was parked up and a truck from a large business crashed in to it doing a lot of damage. They admitted liability to their insurer so at least that's one less headache but after it was brought to the mechanics they seem to think it's going to be an economic write off, they're doing the report up for the insurer at the moment.

My question is, I signed an order for a new car a few weeks back and the now damaged car was the trade in on that deal. Assuming it is a write off would I be right in thinking since the car obviously can't be given to the dealer the insurer would be liable for the value of the car written on the order form which the dealer will now expect in its place. What has me worried is if they come back and say well our price is X for the write off we won't pay the value on the order.

Anyone have any idea what happens in this case? Thanks for any replies in advance, getting a little stressed over it I've never put a claim in before.

Truck's insurer will pay the agreed value of your claim if the car is a w/o. They'll offer a value and it's up to you to accept or decline it.

You'll need to contact the dealer providing the new car and explain the position to them.

CSSE09

Henry Ford III wrote: »

Truck's insurer will pay the agreed value of your claim if the car is a w/o. They'll offer a value and it's up to you to accept or decline it.

You'll need to contact the dealer providing the new car and explain the position to them.

I'll edit the OP now to add in the car was brought to the dealer who I ordered the new car from, I figured it would simplify things rather than add another person in to the mix.

Del2005

A coworker wrote off their car a few days before they were due to trade in against a brand new motor. Called the dealer and got a bigger discount for paying cash instead of trading.

bazz26

If the car is a write off then negotiate an acceptable value with the other insurer (their first offer will be a low one). Then renegotiate a reduced straight deal price (no trade-in discount) with the dealer on the new car you were buying. If the new car is not a factory order then shop around different dealers of the same brand so that you know your getting the best discount for buying without a trade-in.

If the car is not a write off then it's trade-in value once repaired, will be less than before the accident. You have to decide then if you want to proceed with the new cost to change price.

MaceFace

When is your new car due for delivery?

CSSE09

bazz26 wrote: »

If the car is a write off then negotiate an acceptable value with the other insurer (their first offer will be a low one). Then renegotiate a reduced straight deal price (no trade-in discount) with the dealer on the new car you were buying. If the new car is not a factory order then shop around different dealers of the same brand so that you know your getting the best discount for buying without a trade-in.

If the car is not a write off then it's trade-in value once repaired, will be less than before the accident. You have to decide then if you want to proceed with the new cost to change price.

It's very much a factory order, thanks for the advice on that though.
As for the loss in value should they decide it is repairable would that loss in value be claimable?

MaceFace wrote: »

When is your new car due for delivery?

When I was ordering I was told end of July (I expect this might have been optimistic though so could be waiting until sometime in August), waiting to hear back on that date at the moment.

bazz26

CSSE09 wrote: »

It's very much a factory order, thanks for the advice on that though.
As for the loss in value should they decide it is repairable would that loss in value be claimable?

I think you can claim for a percentage in loss in depreciation but I think insurance companies have restrictions on this around age of the vehicle, etc. Maybe get armed with some facts around this before the insurance company's assessor arrives.

_Kaiser_

The way I'd approach it (and I've done it before) is like this..

You should not be out of pocket AT ALL because of the actions of their client (which they have agreed lability for). Whether the car is repaired, or scrapped is irrelevant. You are entitled to be in the same financial position as you were before the incident.. and if that means they write you an additional/bigger cheque to ensure your trade-in can go ahead as agreed, that's what they do.

They'll resist of course but just keep beating them with the same mantra and be sure to escalate to the next level when they start digging in (it's not out of stubbornness, the person just doesn't have the authority to agree) and you should get sorted.

I had an accident years ago where the other party was similarly at fault and by the time I was done I got enough out of them to be able to step into an equivalent spec/year replacement.

R.O.R

This happened to my sister a few years ago, and the insurance settlement came through higher than agreed trade in value, so she actually made a bit of money off it.

Hopefully you will get a decent settlement from the insurer, and it's worth contacting the dealer to see if there's any further discount as you are now a cash buyer and they won't have to dispose of your trade in.

If you stick up the make/model/year/mileage of the current car I should be able to give an idea of the settlement value to aim for, if it's a recent enough car.

CSSE09

Thanks R.O.R sent you a pm.