Insurance Claim for Mobile Phone Destroyed in a Car Vs Bike Accident

porschy on 27/09/2016 - 16:50
Last edited 27/09/2016 - 16:52

hi all

Hoping to seek your opinions on an insurance claim. I was knocked off my bike by a car recently and the driver was found liable for the accident.

My mobile phone was in my pocket and got crushed, and the mobile repair shop advised it's not fixable. The driver's insurance company say they are prepared to pay 2/3 of the current replacement cost for the same model, as the phone was somewhere between one and two years old so they are paying a depreciated amount. They explained this would be the cost to buy a used phone, and was the usual practice with insurance claims like this one.

Just seeking a reasonable-person check whether this is a good outcome or not? The choices are to buy a secondhand phone, buy a cheaper model or pay the difference for a new phone of the same model.

thanks

Financial

Comments

  • hell0 on 27/09/2016 - 17:00
    +4

    You are entitled to be put back into the same position as you were in before the accident.. ie. Working phone. This will cost you more than just the phone but hours of restoring and configuring the new phone. I think you should write that this is unacceptable and you will be writing to the ombudsman for a resolution if they can't replace with a new phone as yours was working fine…

  • nrg2010 on 27/09/2016 - 17:00
    +2

    ..thus spoke NRG2010…

    what sounds fair is that the insurance company pay for a new phone, you can't guarantee how a second hand product has been treated. Buy your new phone and send them the bill.

    • porschy on 27/09/2016 - 17:33
      +1

      thanks hell0 and nrg - I hadn't considered that

  • Hellfire on 27/09/2016 - 17:09
    +1

    2/3 of the original price of a 1/2 year old phone is pretty good and should mean you can buy brand new same model phone.

    • porschy on 27/09/2016 - 17:34
      +1

      thanks Hellfire - they are proposing to cover 2/3 of the current replacement price, not the original price. i'd need to stump up for the difference.

      • altomic on 27/09/2016 - 20:55
        +4

        send them the 3 most expensive quotes for a replacement.

      • zambuck on 28/09/2016 - 09:18
        +2

        Are they suggesting you were 1/3rd at fault in the accident? If the accident was the other party's fault, I would certainly expect to be returned to at least a comparable state. A handful of cash that won't buy a comparable phone doesn't sound right to me. If they were repairing a car, would they offer to repair just 2/3rds of it? You might want to clarify with them whether they mean 2/3rds of the original phone price, which a year later may actually buy you the same new phone, or something else. Of course you could always go buy one of those tempting Yota phones for $187 and pocket the remaining cash, if you want to avoid the hassles.

  • mrtin on 27/09/2016 - 17:35
    +2

    I was involved in a similar situation. If you can buy the same phone (new) from the amt paid out, then that is fair. If not, then where are they suggeating you buy the 2nd hand phone from? A non Authorised seller e.g. ebay /gumtree with no warranty no history etc? Who do u contact of that phone you bought had a problem? What protection do you have?
    You should get a new phone. Pm me if you want more points

    • porschy on 27/09/2016 - 17:41
      +2

      thanks mrtin. they mentioned ebay/gumtree to me when they quoted their figure. i'll pm you as i'd appreciate any pointers - cheers

  • Janko on 27/09/2016 - 19:16
    +5

    I feel it's a typical insurance low-ball offer and unfair. Ask them if it's also their usual practice to also repair their members' cars with parts from wreckers.

    I had a manhole cover cave in once as I was passing over and I went down, smashing my phone and laptop. The company responsible didn't even hesitate to pay the new replacement quotes I submitted. They were more scared I was hurt physically and would sue big time. I'm surprised this insurer isn't concerned about your health and isn't trying to close this case quickly.

    • whooah1979 on 27/09/2016 - 19:28
      +1

      I'm surprised this insurer isn't concerned about your health and isn't trying to close this case quickly.

      the insurer doesn't need to worry about a op suing their client over a damaged phone. ctp/greenslip covers personal injuries. tppd covers property damage. one has nothing to do with the other.

      • Janko on 28/09/2016 - 08:43
        +1

        Apart from it being very common that both policies are held with the same insurer due to convenience and financial incentives.

  • whooah1979 on 27/09/2016 - 19:28

    dp

  • oscargamer on 27/09/2016 - 19:34
    +1

    just ask them to provide you an identical replacement phone……….

  • blitz on 27/09/2016 - 20:02
    +1

    This sounds like a dud offer to me, OP.

  • [Deactivated] on 28/09/2016 - 08:27
    +1

    Tell em their dreaming!

  • Seraphin7 on 28/09/2016 - 09:04

    How much are we talking about here?

  • backpaqer on 28/09/2016 - 09:24
    +1

    If you claimed via your household insurance, they would replace your phone as new-for-old and you would not have to pay the excess as they will recover from the driver. Put it to them that way.

  • backpaqer on 28/09/2016 - 09:25
    +2

    Also…post a comment on the "CYCLE" group in Facebook…they will look after you.

  • porschy on 28/09/2016 - 14:23
    +5

    hi everyone, thanks so much for your thoughts on this. I've read through a few times, then went away and found a price on Officeworks and called the insurer with this. They said while they stand by their process, they were basically willing to meet the officeworks price to make me go away.

    Huge thanks to this community for your help - I was very much guided by what was posted here. have a great day!

    • hell0 on 28/09/2016 - 16:12

      Oh that is really awesome news! I am glad that they came through and now you get your NEW phone :)

  • mrtin on 28/09/2016 - 18:55

    They seem to make a low offer, hoping that x% will just take it.

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