Third Party claim - Vehicle replacement

[antiestablishment]

I dont want to get into too much detail as I think this may end up in court, but I would like to hear from anybody who has had to secure a replacement vehicle from a third party insurer, and if this is a reasonable request.

 

In a nutshell, my 8 week old car was hit from behind late last year and has been declared a total loss. Aviva is the other insurance company and so far they have failed to contact me regarding this incident at all.

 

I have asked for the vehicle to be replaced with a like for like example (GAP insurance and such is not required and not suitable in this instance, and whats owed on the finance lease is way less than its pre accident condition valuation) and Aviva have declined this, although not in writing at this stage.

 

I have asked to put back to my pre accident condition; as I can no longer replace this vehicle at this price point and the only way to not suffer a financial loss is to have a direct replacement. Its easier to get the insurance company to replace the car as far as I am concerned, other wise I will then have to sue them to get back my losses and still end up without a car, and as its a credit product I cant reapply for another few months, and in any case there is no guarantee of being accepted again hence me wanting to avoid the settlement route.

 

The finance settlement plus losses comes to substantially more than the vat free price of a new vehicle, and I am of the opinion that its ludicrous of Aviva to go down this route. Its been well over 6 weeks and we have got nowhere.

 

Anyone have any similar experiences and what outcome can I realistically expect from this?

 

As an aside, Aviva customer service is truly, truly awful. The call centres are badly managed, the staff poorly trained and thoroughly unprofessional. Its no wonder why people go to Ambulance chasers and run up bills having to deal with such neolithic incompetence.

[letsmakeamark]

What have you done so far. Are you fully comp or third party ?

[Kiki1]

More importantly, what has your insurance company done to date ?

 

Whilst you may not have booked legal cover with them, they have a responsibilitiy to ensure you are not affected by the actions of another at the time.

 

If they are not liable for anything to do with your policy following the incident (cancelled immediately ?), they are liable for your insurance worthiness at the point of impact (sic).

[letsmakeamark]

Problem is that you need to chase them about unless there is something a miss.

[antiestablishment]

I have fully comprehensive insurance. I told my insurance company, who in turn contacted Aviva who admitted liability pretty much straight away (next day). I have legal cover and have only consulted them so far over loss of earnings and injury stuff, I wanted to get an idea of what I realistically could expect before launching into this with them, the finance lease company have excellent customer service (Daimler Benz) and they support my claim for a replacement vehicle owing to the fact that the original agreement had only been in place 8 weeks at the time of the incident.

 

My insurer said that as they (Aviva for the other party) had admitted liability it prevents them from taking action, and that I should wait for the process at Aviva to run through. The insurance is still in place, and my insurer has also had no contact with them other than the initial admission of liability. I am told this is now normal to try and limit the cost of additional legal work and fees.

 

I currently have a rental car, but this is from my own pocket, and my medical insurance is covering the chiropractic and other med bills for now, but naturally they will want the money back also at some point. I also have a loss of earnings claim which I feel is going to be complex, as I get a days paid holiday for everyday I work, so naturally a month off work means a months lost holiday and another months earnings lost, so its starting to get a bit costly already.

Edited January 13, 2013 by antiestablishment

[antiestablishment]

Problem is that you need to chase them about unless there is something a miss.

 

I had a feeling this would be the case. I am very surprised that after 6 weeks I have had absolutely no written correspondence. I wrote an email to Aviva two weeks and have yet to get a response. One would assume that when you admit liability you would want to get things dealt with swiftly to avoid incurring car rental costs and storage costs for my current car.

[Guest Aviva Support]

I dont want to get into too much detail as I think this may end up in court, but I would like to hear from anybody who has had to secure a replacement vehicle from a third party insurer, and if this is a reasonable request.

 

In a nutshell, my 8 week old car was hit from behind late last year and has been declared a total loss. Aviva is the other insurance company and so far they have failed to contact me regarding this incident at all.

 

I have asked for the vehicle to be replaced with a like for like example (GAP insurance and such is not required and not suitable in this instance, and whats owed on the finance lease is way less than its pre accident condition valuation) and Aviva have declined this, although not in writing at this stage.

 

I have asked to put back to my pre accident condition; as I can no longer replace this vehicle at this price point and the only way to not suffer a financial loss is to have a direct replacement. Its easier to get the insurance company to replace the car as far as I am concerned, other wise I will then have to sue them to get back my losses and still end up without a car, and as its a credit product I cant reapply for another few months, and in any case there is no guarantee of being accepted again hence me wanting to avoid the settlement route.

 

The finance settlement plus losses comes to substantially more than the vat free price of a new vehicle, and I am of the opinion that its ludicrous of Aviva to go down this route. Its been well over 6 weeks and we have got nowhere.

 

Anyone have any similar experiences and what outcome can I realistically expect from this?

 

As an aside, Aviva customer service is truly, truly awful. The call centres are badly managed, the staff poorly trained and thoroughly unprofessional. Its no wonder why people go to Ambulance chasers and run up bills having to deal with such neolithic incompetence.

 

Hi antiestablishment,

 

I'd like to look into your claim for you. If you're happy for me to do so can you please email me the following details to [email protected]

I'll need your:

 

• Full name
  
• Date of birth
  
• Postcode
  
• Car registration number
  
• Claim reference (if you have it)
  
• Our customer name and address (if you have it)
  

As soon as we have the details I'll liaise with our Claims team and request an update.

 

Kind regards,

 

Martin Banwell

Aviva UK Social Media Support

[antiestablishment]

As a follow up to this thread, I replied to Aviva Support by email and received confirmation that someone would look into.

 

However, once again I am still waiting around for information and a phone call, and the call centre is still telling me 'lots of people are calling right now, please email us' just as it has been for the last 10 days.

 

In further developments, I also learn that my car has been removed from the Accident Repair centre without my permission and much to the bemusement of the finance company. I have been advised to report this as theft....

[letsmakeamark]

Try this website http://www.saynoto0870.com to search for alternative numbers to 0845/0870/0844 etc.

[ericsbrother]

You have legal cover with your insurer, use it to start proceedings jointly against the person who hit you and Aviva for your FULL losses including interest. Also, do as suggested and report the theft of your motor vehicle, naming the recovery person individually if he presented documentation to the repair centre. Things will speed up then and people may start being nice to you and return your calls.

[antiestablishment]

Thanks for the replies. I have had some progress but alas its not as I had hoped.

 

I am certainly getting the 'Aviva deal'. Despite being contacted by customer services they are just employed merely to pay lip service and limit brand damage, they have no real power to settle any complaints. I have dealt with a few people who were reasonable, however most seem to want to remind of what the company policy is and go about case clean up as quick as possible.

 

After seeking help from the FSA regarding the conduct of the Aviva, I believe I have been victim of a new insurance company process called 'third party capture.' This involves admitting liability immediately to prevent the use of Ambulance chasers and help or credit hire companies providing replacement vehicles, and then in my case the vehicle was written off within 4 days of the accident WITHOUT the assessor even looking at the car. I have a statement from the body centre that the Aviva assessor simply called up and said if its going to be more than £7k then the vehicle will be written off. By admitting liability it prevents me from claiming under my policy, which also happens to be underwritten by Aviva.

 

From the FSA:

 

'Third-party capture or (third party assistance) is when an insurer deals directly with a person who has a potential claim against their policyholder, in order to investigate and settle the claim. Typically, an insurer offers a compensation payment to settle the claim directly to a third party, rather than settling through a legal representative for that party. This is mainly used for third-party motor claims. But sometimes it’s used in other types of insurance, such as employers’ liability.

Concerns have been raised by industry bodies and consumer groups that this practice could mean third parties do not receive fair and reasonable treatment and compensation.

 

The handling of all insurance claims by insurers – including third-party claims – is regulated under the Financial Services and Markets Act 2000. This means that an insurer’s conduct towards third parties must comply with our Principles for Businesses and, where relevant, the claims handling rules in chapter eight of our new Insurance Conduct of Business Sourcebook (ICOBS). Complying with our Principles for Businesses includes acting with integrity, due skill, care and diligence and observing proper standards of market conduct. The Principles are a general statement of the fundamental obligations of firms under our regulatory system. Breaching them makes a firm liable to disciplinary sanctions.'

 

It further states:

 

'Settlement offers made by insurers to third-party claimants should be fair and adequate and insurers should treat third-party claimants in an open and fair manner. Third-party claimants should be fully informed of their rights, including their right to independent legal advice and of the alternatives to settling directly with the insurer.'

 

I most certainly have not been treated in an open and fair manner, and I have never been adequately advised by the third party insurer, let alone received adequate communication. I have not received 'fair and reasonable' treatment. The losses claim has been submitted by my solicitor and I will be pursuing this to my satisfaction.

 

Further, when I tried to pursue the issue of vehicle replacement with my insurer, I was told that vehicle replacement is only possible if the vehicle is on straight finance or owned outright. Any form of deferred value contract or PCP is not covered by vehicle replacement, despite the policy not stating anything to the contrary, and the policy clearly stating that a replacement vehicle is available if your vehicle is written of in the first 12 months of ownership. I specifically asked this at the inception of the policy, only to find out it was not covered.

 

I was also rather annoyed to find out that RAC Legal Services, who contacted me on behalf of my insurer actually share and address with Aviva! Impartiality? I don't think so, it explains the reluctance of their legal team to actually do anything in my interest.

 

So regardless of what I can recover from the third party, I also intend to claim mis-selling against my Aviva underwritten insurers. The best bit is I have just ordered a new vehicle out of my own pocket, and when transferring the insurance policy I was told again that I would have the benefit of vehicle replacement cover in the event of it being written off in the first 12 months of ownership, despite the fact that I had just told the operator it was a lease purchase vehicle, which I now know is not covered under the policy. It still does not state that anywhere in the policy terms what is meant are included by this statement. Best of all, I have a recording of it.

 

To sum up, I still believe and have had no evidence to the contrary that Aviva are thoroughly disingenuous, condescending and unprofessional. This company is the epitome of what is wrong with the insurance industry, as my case is basically Aviva vs Aviva I was over a barrel right from the start.

 

I fully intend to have my day in court on each and every one of these issues, and I want to raise awareness of other forum users about this underhand conduct of the major insurers in the UK. Further to this, I have also received some interest from tabloid news papers regarding my insurance ordeal.

 

As an aside, despite Aviva stating this was a simple case it still took them nearly 3 months to settle the finance so I could actually get another car. I don't call that 'fair and just treatment' at all, and I am quite sure nobody else will.