My vehicle was written off after a MVA. The insurer paid out the retail value. The vehicle was purchased in 2006 and had 16000 kilometers on the clock. I want to know how is the retail value worked out? How will i know the payment is correct? And is there compensation for the low kilometers? Do most insurers work on the retail value? I have comprehensive cover. Regards
The value of the vehicle is calculated at the time of the loss, so the mileage at the time of purchase is irrelevant. Generally you can insure your vehicle for Retail or Market value and this obviously affects the amount paid out at the time of the claim. Market value being the average of the trade and retail values and is therefore lower than retail. The TransUnion Auto Dealers Guide is used to determine the market or retail value at the time of the loss. This book also provides guidelines for any additional amounts to be added or deducted due to the condition and mileage of the vehicle (The kilometre and condition chart).
Should you doubt how the settlement was calculated you should be able to request the information from your insurer, then either consult with TransUnion to establish if the values are correct or an appropriate source.
Car Insurance Additional Information
MiWay offers flexible car insurance to cover losses primarily due to an accident or theft.
In addition to accident or theft, comprehensive car insurance in South Africa covers losses due to fire and explosion, natural disasters like hail and floods and damage to the vehicle’s glass.
Additional options such as car hire and cover for non-standard sound systems and car accessories can also be added to your car insurance policy.
Start saving today! Request a call-back and we will call you to complete an obligation-free insurance quote from one of our agents. Alternatively use the Online Quote option where you can earn rewards and save on joining fees by completing insurance quotes online and buying insurance online.
