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Damaged Items & Insurance

Discussion in 'General Motorcycling Discussion' at netrider.net.au started by say_wat, Dec 6, 2007.

  1. G'day all,

    I had a question in regards to insurance companies and their reluctance to paying people appropriately for the goods damaged in an accident, especially when you're not their client but the other party who wasn't at fault. In particular items like mobile phones, etc which suffer from depreciation.

    Do the insurance companies expect us to respond with a counter offer?
    If so, what is the best way to give weightage on the counter offer in regards to things which are discretionary like deperciation on electrical items (laptops, mobile phones etc).

    Please share any advice or stories you are familiar with :)
  2. Send a polite demand letter for the full replacement price
    to the person who hit you. They will have to take it up
    with their insurance company and their insurance company may
    or may not make a counter offer, or deny liability.
  3. the first offer is always low in the hope that you'll take it and feck off. Keep arguing for what you want. The basic argument is "here is what I had before your client damaged it, here is what it will cost to replace it with the same thing or fix it". If the insurance company decides to repair it instead of replace it, you really don't have a legal leg to stand on. In the case of small electronics though, it should be easier for them to replace it. Keep arguing your point that you want it replaced, not just a cheque to market value - that way they have to pony up and do it, not just give you an adjusted value.
  4. .........
  5. assuming for the moment that the question has something to do with motor vehicles (and hopefully a phone damaged in a collision on a bike), then a comprehensive or TPP policy held by the liable party already covers damage to the bike, your riding gear, the fence you were punted through by the car, the garden bed you tore up, and council footpath and the road sign.

    Why will it not cover a phone that was damaged?

    I understand that the contents of your own vehicle isn't covered under your own comprehensive vehicle policy, which is why trade tools etc need to be covered independently (at least according to my policy), but when you have a motor vehicle damage someone else's property, why does it matter what that property is?

    Mind you, I could be completely off the track here, given the vaguaries of the original post and the fact that this is a bike forum and not www.insuremyjunkandaskquestions.com
  6. .........
  7. Thanks all for the comments :)

    lol, bonox, you're on the right track - My question was in regards to gear+items damaged when someone else crashes into you (while you're on a bike), and was hoping people could share experiences and advice. The insurance company i'm dealing with (AAMI) DOES pay for all the gear and items (including mobile phone/laptop/shoes etc) that you can prove were damaged in the crash, except that - as per my initial question - they are naturally trying to get away with paying as little as possible.
  8. Thanks for the comprehensive answer MG.

    Sounds in effect though like I could just go up to anyone on the street with a phone, take it and smash it. I could be brought to the point of the law for damaging someone else's property, but I wouldn't have to pay for it.

    That being the case, the original owner could try to persue me through the small claims court etc at great personal expense, or they could just forget about it... ??

    Out of curiosity, at what point does something stop being personal and become property? Dollar value?, volume? weight (if I can carry it it must be personal, even though it can't be used by me - a floor safe for instance)?
  9. MG, do you work with an insurance company?

    Just curious because when i spoke to AAMI, I was not offered anything as a "goodwill gesture" but rather a liability of theirs.
  10. .........
  11. .........
  12. Spot on. A car hit me once (their fault and fully insured with AAMI), wrote my phone off and laptop. They covered both items including all grear.
  13. IMR must be one of those weird companies....

    AAMI's policy does not exclude mobile phones as a personal item and therefore is covered for their customers.

    Most car insurance policies cover mobiles. :?
  15. From my experience, I was in an accident years ago (in my car) and was not at fault. My boot was full of personal items as I was on my way to band practice at the time - amp, guitar, mike stand, etc etc...which were all damaged in the accident. I would have had no chance recovering the costs with my car insurance - due to the fact that, as MG says, they are not covered by my own policy - but as I was not at fault and the other guy's insurance was covering it, they paid for every single thing I claimed for.
  16. .........
  17. this is slightly off topic but i don't think its necessary for me to start a new thread - i hope its not a really stupid question

    i recently scratched a car while lane splitting (it was tight) and the car driver wants to claim for the sanding/repaint. If he goes to my insurer to claim, will I have to pay the excess?

    Its one of those things that I have always been confused about, obviously if i claim on my bike and it was my fault i would have to pay excess but what if only the car guy claims against me, do i still have to pay excess?
  18. Yes, you do have to pay the excess. I suggest, if it is a small scratch, to get it done privately! You'll save excess (which might be as much as the cost to fix it!) and won't get in your insurance company's bad books (no claim bonuses etc)
  19. The important point here is that the person claiming does not have the contractual / legal realtionship with the insurer. As a result the insurer cannot rely on any limitations in the policy (that they would be able to rely on with thier client) as they (the claimant) is not a party to the contract and not bound by it.

    Claim whatever you require and don't listen to any B/S about limitations.
    If the insurer won't pay up, and there are rules around what they can / cannot refuse, there is an insurance ombudsman, and if necessary civil legal action. The first thing is to write a letter rejecting thier offer and making a counter offer / demand.

    Finally, the basic legal principle is that you are entitled to be restored to the position you would have been in if the insured person had not done whatever they did to cause you the harm.
  20. This is the best cheapest and smartest option. Good advice. :grin: