Thread: Vehicle 'write off' question

It's a Ford and they know they shouldn't be on the Road?

Cheers
Rob

financial write off or stat write off?

Originally Posted by rijidij

What would be the reason/advantage of an insurance company writing off a 2008 ~$35,000 car that only has a few thousand dollars worth of damage and only 8000 kms on the clock instead of repairing it ????
It's a Ford Escape and the damage, as far as we know is, bonnet, grill, headlights, bumper, A/C condenser and two airbags. Apparently no structural damage or engine damage.

Cheers, Murray

The insurance company are working on wholesale rather than retail price no doubt. The only thing that motivates insurance companies is money, and how they can keep it to themselves.

.......if it is an "economic write-off"

.......there certainly have been cases where the owner didn't want it back... that is, they wanted a replacement and had enough pull (or their broker had enough pull) to get a "new for old" replacement....

.......the company recoups $ome return from the auction..... and policyholders (as usual) collectively make up the $lack ....

.......and everyone ends up happy

It could have been stolen & not found for- what is it 3 weeks?- & owner has been paid out.
Insurance companies won't take the punt on repairing it & hoping to recoup the repair cost on top of its salvage price.

I reckon they have done the owner a favour (What? an Insurance Company, no way!!) It means he can go an buy another one and be on the road almost straight away, rather than having to wait weeks for the old one to be repaired!!!

Originally Posted by DeeJay

It could have been stolen & not found for- what is it 3 weeks?- & owner has been paid out.
Insurance companies won't take the punt on repairing it & hoping to recoup the repair cost on top of its salvage price.

I think Deejay is on the money. Either that or water damage.

I save seen several stolen / recovered vehicles with little/no damage at the damaged vehicle auctions. I once saw a WRC that only had a smashed window and buggered ignition lock. A panelbeater mate said many insurance companies will write the car off, as otherwise the could be held liable for mechanical repairs later (if the car was stolen and thrashed).

However - the damage is always worse than you think - sure there is nothing structural there. Sounds like at least 10-15k repair from what you say.

Originally Posted by isuzurover

However - the damage is always worse than you think - sure there is nothing structural there. Sounds like at least 10-15k repair from what you say.

I would tend to agree with the last statement from isuzurover. Plastic body parts on newer vehicles are very expensive to repair. Long gone are the days of a "simple" panel beating and respray. I would be a bit cautious about it.