Agreement Doc for Repair to Avoid Insurance Claim

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Tue 15 Apr 2008 19:31
Agreement Doc for Repair to Avoid Insurance Claim - rtj70
Step-son is trying to avoid using insurance for a bump that was his fault. But dithered and did initially report this. He's now agreed with the third party to pay for the repair himself and avoid any claim on insurance. The other person seems okay with this - and he's moving to Spain in a few weeks.

After this is sorted step-son is going to get rid of the car to save money and cancel the insurance. He therefore needs something legally binding that the third party signs to say no claim will be made regarding damage to his vehicle or personal injury etc.

What I'm after is some advice on how to word such a document that the insurance company will accept and the third party cannot come back in 5 months to say he's changed his mind and wants to claim.

Many thanks. And hope this makes sense.
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Tue 15 Apr 2008 20:45
Agreement Doc for Repair to Avoid Insurance Claim - adverse camber
If I were the third party there is no way that I would sign a doc like that - and someone asking me to sign it would result in me making a formal claim on the insurance.
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Tue 15 Apr 2008 20:50
Agreement Doc for Repair to Avoid Insurance Claim - Jonathan {p}
If he's moving to Spain why is he bothered about a claim? It won't cost him anything thats what insurance is for providing he isn't making a claim for his own vehicle. If he is going to cancel his insurance, then he may have to pay the remaining balance on the policy, but that would be the extent of his costs. Will this be more than the repairs?
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Tue 15 Apr 2008 22:08
Agreement Doc for Repair to Avoid Insurance Claim - rtj70
The Nissan Navarra driver is moving to Spain - knowing how long insurance can sort things and he goes in a couple of weeks even suggested we "settle this". But he'll be back in 6 months to sell the '05 plate Navarra.

Damage is not huge (tow bar and the front of step-son's car took the force) but there are two small dents in the chrome bumper.

He's been told he will get some back on what has been paid so far. But it will be an expensive two months insurance - but we need to get something to his insurer about this incident being closed. Otherwise he cannot cancel for 6 months.

Total to be paid over the 12 months will be around £1400! The bumper is £350 fitted. So some logic but he will be lucky if the bump plus 2 months insurance is less than £600!!!

He's mad to decide on not using the insurance as he doesn't have a spare £350 for a bumper.

So back to my original question (and I'm with Adverse Camber on this but he verbally agreed this so he gets a fix before leaving for Spain)... what words might be needed? I'd not sign but maybe if I left the UK in two weeks for Spain I might.

Edited by rtj70 on 15/04/2008 at 22:09

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Tue 15 Apr 2008 22:18
Agreement Doc for Repair to Avoid Insurance Claim - madf
I doubt any agreement is legally enforceable.

For example suppose the other driver suffered a broken neck but no signs were evident until 6 months later.

Anyone who would sign such a document would be stooopid... and if anyone asked me to I would think they had something to hide and would immediately claim on insurance.
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Tue 15 Apr 2008 23:14
Agreement Doc for Repair to Avoid Insurance Claim - rtj70
"Anyone who would sign such a document would be stooopid"

I agree. But assuming he is willing to sign (I'd never sign).... any thoughts of what needs covering ;-) Failed repeatedly to get hold of insurer today on a direct line number I have (but it's also not in my name).

Cheers

Still think step-son is about to learn a hard financial lesson: (1) other driver gets bumper replaced quickly, (2) he still cannot cancel insurance and has to pay for the next 10 months and therefore (3) he might as well let the other driver claim anyway.
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Wed 16 Apr 2008 09:17
Agreement Doc for Repair to Avoid Insurance Claim - ijws15
The risk, as happens frequently, is that the other party comes back with a claim for personal injury (e.g. Whiplash) in a few days having spoken to a mate down the pub who tells him how much he could get . . . . . . .

Does your stepson want to take the risk that he will have to personally pay costs (At Spanish rate as the other party is leaving for Apain) for treating an injury?

Stupid NOT to involve insurance if he is getting rid of car, his worst case exposure is the excess plus premiums for the rest of the year.

Now if the stepson was keeping the car it might be an option, still stupid to do it, but an option.

Requirement is to have insurance and to provide details at an accident, nothing in the suggestion is limiting your stepson's liability for death or personal injury so nothing in the agreement for a court to overturn. Remember Lord Deming "the law is not there to prevent a fool from being parted from his money"

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Wed 16 Apr 2008 09:47
Agreement Doc for Repair to Avoid Insurance Claim - jbif
Requirement is to have insurance ...


rtj70 - Your stepson could try to draft something clever using words such as "full and final settlement" but apart from giving him a warm feeling and maybe bamboozling the Spanish emigrant, it is not clear what if any legal protection the document could give him. Refer your stepson to the provisions of "The European Communities (Rights against Insurers) Regulations 2002"
www.opsi.gov.uk/si/si2002/20023061.htm
.... Right of action
3.
- (1) Paragraph (2) of this regulation applies where an entitled party has a cause of action against an insured person in tort or (as the case may be) delict, and that cause of action arises out of an accident.
(2) Where this paragraph applies, the entitled party may, without prejudice to his right to issue proceedings against the insured person, issue proceedings against the insurer which issued the policy of insurance relating to the insured vehicle, and that insurer shall be directly liable to the entitled party to the extent that he is liable to the insured person. .... "

Would your stepson be able to draft a legally enforceable document that takes away the rights mentioned in the above EC legislation?

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Wed 16 Apr 2008 13:23
Agreement Doc for Repair to Avoid Insurance Claim - rtj70
The person moving to Spain is British.

I'll take a look at the link to European rights.... it sounds like he has to rely on this person being true to his word and not taking this further after his bumper is swapped.
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Wed 16 Apr 2008 14:19
Agreement Doc for Repair to Avoid Insurance Claim - paulb {P}
The potential for the other driver to remember suddenly that he's got whiplash is the part that would worry me most.

I'm not sure that signing bits of paper stating that any payment agreed upon for the bumper would be in full and final settlement of all claims arising from the incident would be any protection, particularly where matters of personal injury are concerned.
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Wed 16 Apr 2008 16:51
Agreement Doc for Repair to Avoid Insurance Claim - madf
As I understand the law, any agreement signing away your legal rights as a consumer will not hold in court. Period.
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Wed 16 Apr 2008 17:14
Agreement Doc for Repair to Avoid Insurance Claim - Mapmaker
As I understand the law any agreement signing away your legal rights as a consumer
will not hold in court. Period.



But neither "son" nor "Spaniard" is a consumer in this agreement. This is not a business relationship, it is between two individuals.


I wouldn't sign anything along those lines, no way. Not unless you paid me £500 cash extra.
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Wed 16 Apr 2008 17:29
Agreement Doc for Repair to Avoid Insurance Claim - madf
I'm talking IF the written agreement was broken and it went to court.. cos if it will not stand up in law it's worthless.
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Wed 16 Apr 2008 17:36
Agreement Doc for Repair to Avoid Insurance Claim - rtj70
There is no Spaniard :-) He's from Manchester and going to live in Spain.

I'm not sure if I'd sign this sort of thing either. Have finally got through to the insurance and what they need is a letter saying the claim has been settled with the third party, attach the invoice and get all to sign. Fingers crossed they then don't try to claim for personal injury etc.

Third party seems keen to get this resolved without insurance because he leaves the UK in about two weeks and has a fairly high excess which he might have to wait to get back.
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Wed 16 Apr 2008 17:51
Agreement Doc for Repair to Avoid Insurance Claim - Mapmaker
"Spaniard" would not have to involve his own insurance, BTW. Easier for him just to contact your insurance; then no worries about his own excess. Your ins co would rather deal direct as it wouldn't cost them the extra costs of his ins co too.

If it is Insurance co who need the letter, they will need to specify what it says. Ask them.

MADF - your point only applies to CONSUMERS. That means a business-to-private-individual relationship.


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