Car Got Rear-Ended (in Perth). Both Have Comprehensive Insurance. Best Options to Take?

Lurker on 27/07/2024 - 09:59
Last edited 03/08/2024 - 15:12 by 1 other user

Hello helpful souls,

I have been told of 2 different options:

  1. I claim my own insurance company and let them deal with it. This runs the risks of my car insurance company refusing to repair and write off my car and return my insured amount to me.

  2. I get the at fault party to make a claim on their insurance and get their claim number to get my car fixed/replaced.

No idea which option is best.

I love this car and do not want it written off.

Please advise.

Thanks a million.

……….P.S.

There is a '3rd' option in Perth:

I just talked to a local panel beater.

He said I could have told my insurance company to not write off my car and let me keep the car and licence plate.

The insurance company would have returned the insured amount (e.g. $8,000) minus the written off value (e.g. $1,000 aka auction value) = about $7,000

This way, I get to keep the car, keep the licence plate, and save a bit of money. Get the car fixed up and drive again.

Automotive Car Honda Insurance

Comments

  • pegaxs on 27/07/2024 - 10:01
    +25

    Make a claim with your own insurance and let them deal with it.

    • Lurker on 27/07/2024 - 10:02

      thanks

      • pegaxs on 27/07/2024 - 10:04
        +5

        Basically, the other party could drag their heels, not put in a claim, stall out, stop responding, etc… You don’t want to deal with all that shit, just hand it over to your insurance company and let them deal with it, because, at the end of the day, that’s why you pay them, to do all your legwork.

        • Lurker on 27/07/2024 - 10:04

          thanks

    • HeWhoKnows on 27/07/2024 - 10:49
      +1

      OP can always offer to buy the car back from insurance company in a write off.
      They would sell it at auction anyway

      • Lurker on 27/07/2024 - 11:00

        Thanks

      • JDMcarfan on 27/07/2024 - 13:02
        +1

        Can always offer, but many insurer's don't have the provisions to do so (their internal policy requires wrecks to be sold at auction).
        OP the one thing I'd add to this, if it's a cheaper car (i.e. anything <10k) in the current situation with high inflation/supply issues, cars are being economically written off for minor damage as they cannot be repaired in a timely manner. Be prepared for this.

        I would advise option 2 if you do not want to lose your car. Inform your insurer but mention that you do not want formalise a claim as you are currently seeking damages directly from the other party. If they don't drag their heels, hopefully you can get paid market value and keep the wreck for you to fix/part out

        • JDMcarfan on 27/07/2024 - 13:03

          Some insight on the car might help this decision.

        • Lurker on 27/07/2024 - 13:16

          Thanks

  • oscargamer on 27/07/2024 - 10:35

    Claim on your policy

    If the damage is expensive enough, it'll get written off regardless of which policy pays

    You can then buy the car back and repair it yourself

    • Lurker on 27/07/2024 - 10:48

      Thanks.

    • Nugs on 27/07/2024 - 17:53

      "If the damage is expensive enough, it'll get written off regardless of which policy pays"
      Things might have changed but 3 years ago we received a two option offer, one amount to take car, another to keep it. We kept it and kept driving until replacement car found.
      At faults insurer was Allianz
      .

      • Lurker on 27/07/2024 - 19:14

        I would say things have changed quite a bit since 3 years ago, for at least the following reasons:

        1. Earlier this year, I can no longer insure this car at a price named by me. I have to accept the insurance company's "market" value.

        2. The insurance premium has gone up much much faster than wage growth and inflation rate.

        • mattmel96 on 28/07/2024 - 14:45

          Totally normal, as cars age many insurance companies will push you towards 'market value' by either simply not offering an 'Agreed value' option, or just load the premium so much that it is uneconomical for you to choose that option.

          With respect to premium increases, they are not tied to either wages growth or the inflation rate, but to what the probability of a claim and value of that claim. With cars having more and more sophistication and the ongoing issues with global supply chains, even a minor accident can make a vehicle a economic write-off.

  • Euphemistic on 27/07/2024 - 10:35
    +2

    I recently claimed through other party's insurance from a mild rear end collision. Damage was minor and I knew I could fix it, especially after having an assessor look at it.

    Was much better for my pocket with a cash settlement and a DIY repair to good as new. Damage wasnt bad, limited to the aftermarket rear bar. Ended up with labour costs in my pocket plus sold the old bar for good money - basically cosmetic damage. Was probably 2hr of repair but 4-5hr of my time sorting it out

    It did require some hassle from my end though. Multiple phone calls, visiting their assesor at their time - fortunately on a day off. If id claimed my insurance would have been less hassle, but same end result for the ute without cash for other upgrades.

    Ultimately, your insurance could help you chase the other party, but talk to them about options for retaining your car before you proceed with your claim. You may be able to insist on a repair for not at fault.

    • Lurker on 27/07/2024 - 10:49

      Thanks.

      • Euphemistic on 27/07/2024 - 10:55

        Is it driveable? Go get a quote before you start the claim process. Even a rough guess from a panel beater will give you an idea on the next steps.

        • Lurker on 27/07/2024 - 11:00

          It is drivable.

          Thanks.

          • Euphemistic on 27/07/2024 - 11:07

            @Lurker: If you do decide to use their insurance, dont let them muck you around too much.
            If there is any reluctance to do what you want then use your own insurance.

  • sumyungguy on 27/07/2024 - 11:45
    -1

    Been through this recently with a friend. Body repairer quote was high enough to write off but owner wanted to keep the car (low km, mechanically sound). Owner got alternative quotes, assessor then agreed to repair and not write off. Purchasing the repairable write-off then going through the repair & inspection process would have taken some months. The only wrinkle was the owner should have explained to the alternative repairers they were quoting for an insurer when he requested cheaper customer-to-pay quotes.

    BTW, each party has insured their own property and needs to claim through their own insurer.

    • Lurker on 27/07/2024 - 12:14

      Thanks.

  • JIMB0 on 27/07/2024 - 11:48
    +2

    Knock me over with a feather. You both have insurance?

    • Lurker on 27/07/2024 - 12:16

      I have. But I cannot vouch for the at fault party.

      • pegaxs on 27/07/2024 - 16:55
        +1

        Then all the more reason to make the claim through yours.

      • MS Paint on 27/07/2024 - 18:16
        +1

        Yet the title suggests that you both have insurance. I'm confused.

        Both Have Comprehensive Insurance.

        • Lurker on 27/07/2024 - 19:11
          +1

          Sorry for the confusion.

          I simply made a good faith statement, based on what the at fault party told me.

          They told me they have comprehensive insurance, I simply repeated what they said.

          But of course I cannot vouch for them, yet.

  • soan papdi on 27/07/2024 - 11:50
    +2

    TLDR: Use your insurer and pass on driver details but don't pay excess if it was not your fault. They have lawyers, you don't.

    I was in a similar situation 2 years back. I simply gave the other driver's details to my insurer (AAMI, no excess as not my fault) who organised a repair and gave a hire car meanwhile. My car was out for repairs for 3 weeks, so not cheap at all. I had zero interaction with the other insurer (Allianz).

    After the hire car was returned, AAMI's lawyers wrote to me saying they're having difficulties recovering the rental expense from the other party but I had nothing to do, was an FYI letter. I'm glad I went through my insurer. imagine the fuss if I was chasing Allianz as a non-policy holder. They would not care.

    • Lurker on 27/07/2024 - 12:17

      Thanks

  • TALL1one on 27/07/2024 - 12:02
    +1

    If you have comprehensive insurance, I'd say make a claim with your own insurance.
    People can say they have comprehensive insurance but have none at all or no intention to ever make a claim and just try to string you along.

    • Lurker on 27/07/2024 - 12:13

      Thanks.

    • freefall101 on 27/07/2024 - 13:24
      +2

      I went through that once, someone reversed out of a park, ran into me. They apologised, said they had insurance, we exchanged details and they said they'd sort it out with their insurance.

      Next day they called me up saying it was my fault, that if I blew the horn they would have stopped and that meant my horn wasn't working, they weren't going to pay, etc. Immediately hung up on them and called insurance, who sorted it all out for me. Just ignored any future calls from them.

      There's little downside to bringing in the insurance company when you're not at fault but a lot of upside.

      • Lurker on 27/07/2024 - 13:38

        Thanks.

  • geekcohen on 27/07/2024 - 13:50

    I love this car and do not want it written off.

    What sort of car?

    • Lurker on 27/07/2024 - 14:40

      Honda Civic.

      It is now worth $2,000 (if undamaged) more on the market than what I paid for it back in 2021.

      Planned to drive it for another 10 years or until I find an Electric Vehicle worth the trouble.

      This accident has made me a more careful driver because I hate losing a vehicle I planned to grow old with.

      • geekcohen on 27/07/2024 - 16:47

        Yeah a bugger.

        I get the at fault party to make a claim on their insurance and get their claim number to get my car fixed/replaced.

        The other insurer could also write your car off.

        • Lurker on 27/07/2024 - 19:15

          Thanks.

  • ol mate on 27/07/2024 - 23:37

    The way I would see it is:

    Question: How much are the cost of repairs, and are the (cost of repairs + salvage value + insurer's provision for warranty costs and unexpected damage) likely to exceed the agreed/market value of the car?

    No: claim on your insurance, and get the lifetime warranty for repairs (hopefully by a reputable repairer of your choice).

    Yes: is your agreed value greater than market value?

    If yes: claim on own insurance
    If no: claim on other insurance

    • Lurker on 28/07/2024 - 03:28

      Thanks

  • Bumblegrum on 01/08/2024 - 10:54

    Use your own insurance, they work for you not the other guy.

  • FocusRider on 02/08/2024 - 13:48

    Thanks

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