Acceptance of total loss settlement

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Mon 31 Oct 2011 13:45
Acceptance of total loss settlement - Dizzy72

Hi, recently involved in a car accident (i wasn't at fault), car was written off & I've received cheque for total loss settlement....letter with cheque states that "encashment of this cheque constitutes full & final acceptance". Does this refer just to the total loss of my vehicle, or does this mean that I can't pursue any other claim i.e personal injury claim that may be in progress? Any tips for how to word my letter of response - I'm happy to accept the cheque as payment for my vehicle but not in acceptance of any future claim I may make.

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Mon 31 Oct 2011 19:42
Acceptance of total loss settlement - SlidingPillar

Are you claiming for injury as well? If yes, don't cash the cheque and write a letter etc. If no, then that's the way it is.

Perfectly standard thing form of words for a insurance company to use. They want to draw a line in their book. I've done similar myself.

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Tue 1 Nov 2011 09:39
Acceptance of total loss settlement - Dizzy72

I will be claiming for personal injury - but we need the cheque for the vehicle to buy a new car - we can't go without a car until any injury claim is resolved, and we're not in a position financially to purchase a new vehicle without cashing the cheque....

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Tue 1 Nov 2011 12:51
Acceptance of total loss settlement - SlidingPillar

You speak as though your injury claim has not yet been presented. If that is the case, then I don't blame the insurance company for thinking that was the end of the matter.

Letter time. Short and sweet. Do not cash cheque until you have their say so, in writing, otherwise you rule out being able to claim for injury.

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Tue 1 Nov 2011 13:28
Acceptance of total loss settlement - Dizzy72

I'm waiting for the injury report to come from the legal advisers - then they will present it to the insurers....My partner has already paid the cheque into his account - I only noticed this comment on the paperwork after he'd been to the bank....the wording is "Please find a cheque attached in settlement of your total loss claim.....encashment of this cheque constitutes full & final acceptance" - can we not argue that the cheque only relates to the total loss claim...not any other claim that may arise?

Appreciate the advice - I don't have a clue about these sort of matters - first accident I've been involved in in 20 years of driving :(

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