What is life like with your car? Let us know and win £500 in John Lewis vouchers | No thanks
My insurance company won't give me cash in lieu - what can I do?
I was recently involved in an accident whereby the insurance company has written off my car. They have valued my car at £2285 and the repairs at £3400.
If I want to buy the same car with similar mileage in my area then I'm looking to pay £2800/£2900. My insurance company are saying they won't give me cash in lieu, even though my own mechanic can fix the car up for £2000. I don't want to salvage the car and fix it up as it will be labelled with a 'cat'. Alternatively, I don't want to buy another car as I want to fix the car up I already have as it is special to me. Surely I'm entitled to cash in lieu? Doesn't it actually work out better for the insurance company to give cash in lieu as they pay out less and aren't responsible for the repairs?
If I want to buy the same car with similar mileage in my area then I'm looking to pay £2800/£2900. My insurance company are saying they won't give me cash in lieu, even though my own mechanic can fix the car up for £2000. I don't want to salvage the car and fix it up as it will be labelled with a 'cat'. Alternatively, I don't want to buy another car as I want to fix the car up I already have as it is special to me. Surely I'm entitled to cash in lieu? Doesn't it actually work out better for the insurance company to give cash in lieu as they pay out less and aren't responsible for the repairs?
Asked on 3 July 2018 by Melissa Laurie
Answered by
Honest John
In your situation, your car is definitely a total loss. As such you are not entitled to a cash In lieu settlement. Had the repair cost have been less than the market value, you could have demanded it. Your better course of action and first, is to dispute the valuation, Value the car using Glass and CAP value, and make the insurer substantiate their value to you. It may well be they increase it. Alternatively if you did keep it, you would be spending as much on the vehicle as it is technically worth, the application of a "cat" on a vehicle of that age is negligible.
People always say vehicles are special to them, till you offer them more money. Personally I would think it foolish to attempt to keep it, dispute the value, obtain the best settlement and accept your car is a total loss.
People always say vehicles are special to them, till you offer them more money. Personally I would think it foolish to attempt to keep it, dispute the value, obtain the best settlement and accept your car is a total loss.
We give you the low down on how to save on insurance, little-known tricks and tips, what insurance groups mean and how to use insurance aggregators to beat insurers.
Insurance group finder and how to save on insuranceSimilar questions
I was involved in a no fault claim and my car is a write off. The valuation is £2000 less than what the window price was just three weeks ago when I purchased it. Can I claim back the loss?
My daughter's BMW 118d 2009 was written off. She refused the insurers offer of £4000 but they still sent her a cheque. How does she stand if a direct replacement is more?
A driver recently pulled out from behind a parked car and hit my 2004 Audi A8 quattro. I've been offered £3400 as an uneconomical repair. My insurance is with Elephant UK and theirs is with Diamond, which...
Elsewhere on 
.jpg)
