Hi folks, had a weird accident Xmas eve, coming off a roundabout went to accelerate and boom the car spun round a few times to an embankment went onto roof slid down then smashed windscreen at bottom, this was with my mum too in passenger seat, both basically ok but spent Xmas morning in hospital, the insurance people recon the manufacturer options fitted count as mods !!! God I’m gutted and feel lost
My treasure has gone
Sticky1098
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I would hope you would do better than that. But it's hard to guess without knowing your PCP terms and how much you originally paid and when (I know you put 10k in).
Even then it's a bit of a "what if" game.
In simple terms you will end up with a cash sum equivalent to:-
10k deposit plus total monthly payments made less interest paid (the gap is paying the depreciation).
That should leave you in a decent position for buying a replacement.
(A curiosity is that the longer you have had the vehicle the bigger the gap payment. Ie if you bought it last month the gap payment will be less than if you bought it say 3 years ago).
Even then it's a bit of a "what if" game.
In simple terms you will end up with a cash sum equivalent to:-
10k deposit plus total monthly payments made less interest paid (the gap is paying the depreciation).
That should leave you in a decent position for buying a replacement.
(A curiosity is that the longer you have had the vehicle the bigger the gap payment. Ie if you bought it last month the gap payment will be less than if you bought it say 3 years ago).
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Yeh the settlement is £33500 and original price was 44000
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Never accept their first offer. They will try the basic book price first, and most people accept it. But, they HAVE to give you "Market value" (that's not book price, it's what they're actually priced at on the forecourts, within a reasonable distance from you) for a closely similar specification, mileage and condition.
I've been through all this before, and was lucky enough to know someone who works in the insurance industry and guide me towards getting a fair payout.
I've been through all this before, and was lucky enough to know someone who works in the insurance industry and guide me towards getting a fair payout.
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I’ve seen them for around £39000 with that mileage but there’s such a wide scope, mine had the plus and comfort pack insurance says it was a mod !!! Lol
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Wow. That's nearer OG M2 money than M2C!
An insurers obligations aren't that simple. They don't have to do anything as such. Part of how they progress depends upon the basis of the claim.
Where there is a fault claim against another party there is settled law that says you should be put back in the position you were previously in.
Where there is an own fault claim then it is a "simple" matter of contract. The terms can be somewhat wooly. Especially when it comes to options. They usually make mention of it in the boring documents.
I don't agree that forecourt price is necessarily a correct or reasonable remedy. This is only because that is generally improving the position. It should be something close though.
As an example the forecourt price includes a yeats warranty, new ish tyres, current new service these sorts of things which allowance needs to be made for in accordance with condition of the accident vehicle. But these aren't huge. Perhaps 1000-1500 below forecourt.
In the main here it's largely irrelevant. Gap co will make it up to 44,000. If they are prepared to accept the low sounding 33,500 then there is no real point trying to get it to 37,000. Let the Gap co do that. It's their money.
(I have seen similar sounding M2C around 37 on the forecourt. Allowing a bit of haggle and warranty/service I am not convinced that 33,500 in unreasonably low).
Where there is a fault claim against another party there is settled law that says you should be put back in the position you were previously in.
Where there is an own fault claim then it is a "simple" matter of contract. The terms can be somewhat wooly. Especially when it comes to options. They usually make mention of it in the boring documents.
I don't agree that forecourt price is necessarily a correct or reasonable remedy. This is only because that is generally improving the position. It should be something close though.
As an example the forecourt price includes a yeats warranty, new ish tyres, current new service these sorts of things which allowance needs to be made for in accordance with condition of the accident vehicle. But these aren't huge. Perhaps 1000-1500 below forecourt.
In the main here it's largely irrelevant. Gap co will make it up to 44,000. If they are prepared to accept the low sounding 33,500 then there is no real point trying to get it to 37,000. Let the Gap co do that. It's their money.
(I have seen similar sounding M2C around 37 on the forecourt. Allowing a bit of haggle and warranty/service I am not convinced that 33,500 in unreasonably low).
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All I want is a reasonable deposit to get another car, it’s not on PCP the insurance even noted down my no claims bonus will be affected even though I’ve said I have it protected, it had only done 24,000 miles and in excellent condition I don’t want less than £35000 but who knows what I will get
TLDR; To answer your question "who knows what I will get". The answer is simple. "You already do, 44,000".
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How was it financed if not PCP ? (The remaining choices being a personal loan or some form of secured loan). Either of these will have a settlement figure of 44,000 less 10,000 less your payments and plus interest
You said you had gap insurance - and that it was return to invoice and it was 44,000 you paid.
The current offer (reasonable or otherwise) is 33,500. The gap payment will be 10,500. So you will receive 44,000 (ie the original RTI gap agreed value).
If you negotiate your settlement to say 36,000 you will receive 36,000 and a gap payment of 8,000. Still 44,000.
In effect, if you have bought RTI gap that gives you an agreed insurance value.
Now, if your finance is simply a personal loan it's all fine. The loan just continues as before, you go find something to 44k and buy it with the combined settlement from Swift and GapCo remembering your insurance costs will increase (irrespective of whether your NCD was protected and a 35k odd fault claim is going to impact your base premium).
If your finance is a secured loan that will need to be paid off. The balance will be returned to you.
Without knowing the terms of the loan I cannot estimate that.
Ultimately you should be able to spend 44k on a replacement and end up with a loan on the same remaining terms as what you currently have.
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How was it financed if not PCP ? (The remaining choices being a personal loan or some form of secured loan). Either of these will have a settlement figure of 44,000 less 10,000 less your payments and plus interest
You said you had gap insurance - and that it was return to invoice and it was 44,000 you paid.
The current offer (reasonable or otherwise) is 33,500. The gap payment will be 10,500. So you will receive 44,000 (ie the original RTI gap agreed value).
If you negotiate your settlement to say 36,000 you will receive 36,000 and a gap payment of 8,000. Still 44,000.
In effect, if you have bought RTI gap that gives you an agreed insurance value.
Now, if your finance is simply a personal loan it's all fine. The loan just continues as before, you go find something to 44k and buy it with the combined settlement from Swift and GapCo remembering your insurance costs will increase (irrespective of whether your NCD was protected and a 35k odd fault claim is going to impact your base premium).
If your finance is a secured loan that will need to be paid off. The balance will be returned to you.
Without knowing the terms of the loan I cannot estimate that.
Ultimately you should be able to spend 44k on a replacement and end up with a loan on the same remaining terms as what you currently have.
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No the car is on a normal finance plan so has to be paid off, the settlement for finance is £33500 and I bought the car originally at £44500, but will have to find more info on gap, to see if it’s to invoice price as that will be a good deposit down for another one
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More or less 3 mths, my third payment came out this Month, but the finance settlement I got yesterday was £33500 if the gap takes me to £45000 for what I would have paid then I’d be happy
Hopefully that is the final outcome. If you are inclined to dig out the gap policy and post it (anonymised as far as you wish) that would help.
Though I would have expected them to explain things from a simple call, just to make sure you are doing whatever is expected of you by gap co.
I don't expect the Gap wil cover your excess so you will be out that amount, also any non vehicle items on the invoice - eg coatings, warranties that sort of thing.
You were fortunately physically reasonably unscathed, the gap should leave you financially reasonably unscathed.
Though I would have expected them to explain things from a simple call, just to make sure you are doing whatever is expected of you by gap co.
I don't expect the Gap wil cover your excess so you will be out that amount, also any non vehicle items on the invoice - eg coatings, warranties that sort of thing.
You were fortunately physically reasonably unscathed, the gap should leave you financially reasonably unscathed.
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Yeh I keep trying to think I’m lucky but don’t work, in the policy both the wordings are in to invoice price and paying cars worth
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Here is my Gap policy
[pics deleted]
[pics deleted]
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I've just nuked those pics because the policy ID was visible. You probably don't want that online
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Ahh oops 😬
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It even mentions the policy is transferable if it’s the same car and spec so hope I find one when the offers over
Famous last words you will be fine.
A minor worry might be the 110% of glass clause (I think yours was at the expensive end of the market due to spec and benefit is limited to 110% of Glass but probably ok).
You have the choice of vehicle replacement or a return to invoice payment which is handy.
Also slightly curious, anybody would surely just go for whichever gave them the bigger payment (there may perhaps be different limits in the schedule).
I hope the claims all go smoothly for you and you find a replacement without too much difficulty.
A minor worry might be the 110% of glass clause (I think yours was at the expensive end of the market due to spec and benefit is limited to 110% of Glass but probably ok).
You have the choice of vehicle replacement or a return to invoice payment which is handy.
Also slightly curious, anybody would surely just go for whichever gave them the bigger payment (there may perhaps be different limits in the schedule).
I hope the claims all go smoothly for you and you find a replacement without too much difficulty.
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Thanks to you guys for all the info and advice
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