Is this a trick question? Your friend will only get what he insured it for and should have insured it for the correct amount when renewing his insurance, obviously the more you value it the more you pay for the insurance so i presume thats why he under valued his car.
Usually if you overvalue a car the insurance company will only pay you the current market value of the car in case of a claim.
Your friend needs to check carefully the terms of agreement with the policy if the value paid is the value of market replacement or a specific number value. USUALLY the agreement states similar to this "The most we will pay is the market value before the loss but not more than the value in the schedule"
The schedule will be the 5K your friend specified. If this is the case then I think you are stuck with learning a hard lesson.
Otherwise its a very long shot that insurance company will pay more. You could of course try to plead by don;t hold your breath;
1. Get a market value CBG or similar for the car type replacement.
2. Gather information from the company in question; request two dummy quotes online for value of 5000 and 7000 and see what the priemium payment is. If same then your friend may have something of a case to plead.
First though read the agreement to see where you stand preceisely on the value paid.
If he put down 5k and they look at it and see he can get a similar car for 5k. Unless they have a reason to reduce the payment, such as no NCT, etc.
Sorry but theres no comeback here they will only pay out what its insured for.
Dont think that's quite true, are you suggesting that if he insured it for €9,000, that the Insurance Co. would pay out that amount?
Chrisboy, as I said the insurance will pay the market value of the car, that is probably up to but not in excess of the amount in the schedule.Thanks Woodie, that seems to be sound advice..
If the car's value is 7k and he put 5k down on the insurance, do you think they'll offer him the full 5k, seeing as its well under the market value or will they try offer him a lower figure again?
And just to complicate things further as the car (according to your friend) was underinsured by approximately 30% the insurer may only pay out, the market value (to a max of 5000) less 30%.
I dont understand this? If the car was inured for 5k, and market value for the car is 5k, why would they deduct 30%?
chrisboy; said:A Friend of mine is making a claim for a stolen car, but he mistakenly put the value down as 5000 euro on the policy when the actual value is 7000 euro
Maybe I'm missing something here, but I thought the whole issue was that the market value of the car is 7K and not 5K.
As in your first post:-
Sorry, what i should have said is if the car was insured for 5k but the market value was 7k, why would they deduct a further 30% from the 5k?
So what you're saying is because the care shouldve been insured for 7k but actually only was insured for 5k, that the insurance company are only going to pay 3.5k?
Sorry, what i should have said is if the car was insured for 5k but the market value was 7k, why would they deduct a further 30% from the 5k?
So what you're saying is because the care shouldve been insured for 7k but actually only was insured for 5k, that the insurance company are only going to pay 3.5k?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?