Expert: Richard Hixenbaugh - 4/6/2010

Question
QUESTION: Hi, Richard, I am e-mailing from UK. My insurance co have offered me very low value for my Van theft claim. I have not accepted their offer and ceased communication as they call me from anonomous numbers and liase through phone calls only.I prefer them to mommunicate in writting. Also because they didnt ask me what exactly i was claiming in the first place. They have asked me to complain to the Ombudsman Beaurau, however i do not  wish to complain to the Beaurau but file a claim in a county court. The Q is my policy has a term stating that i must first complain to the Beurau and their word would be final.The Beurau is not impartial because insurance co  pay them a case fee and Beauraus own  statistics show that they do not handle claim very well also in 60% of the policyholders claims are not upheld or overrride the value offered.Can I sue them in court as my statuatory rights cannot be deprieved in the interest of justice. Secondly, what increases the market value of a vehicle, orather what can i show the vehicle is worth more than what they offer to pay? We have a goverment scrappage allowance scheme that increases value if old vehicles are scrapped for new.Does that arguably sustain in increasing the doorstep value?  Yours sincerely,Tas

ANSWER: Hi Anil,

I am not specifically familiar with procedures in the U.K.. However, if there is a clause in your police that says they you mus file a omplaint with the Bureau, then that is what you will have to do. Your policy is a contract and must be followed. Before filing your compaint, you should research the value of your van. You can look in local classified ads to see what other similar vehicles are selling for in your area. You should copy or print out these adds to send to the Bureau in support of your case. You will of course need to make adjustments for differences in mileage and options. You may also consider hiring a professional vehicle appraiser to research the value of your van and write an appraisal report to establish the value of your vehicle.

I hope this helps
Richard Hixenbaugh

---------- FOLLOW-UP ----------

QUESTION: Thanks Richard,this morning my solicitors having discussed at length on my business legal advise line told me that i have a legal statutory right to file a court case and  not to  bother filing a complaint to the Ombudsman beaureu, if i am not satisfied with them or do not trust them and if i believe that the Ombudsman Bureau is unfair or not independent and impartial or that policy condition was unfair. In the alternative to wait for 6 months for the deadline to file a complaint to the Ombudsman   Bureau expires and then escape filing a complaint to the Bureau or in the second alternative i would  to give good reasons to the court district judge, namely that i have claim and did not wish to make a complaint to the Bureau including the fact that also because insurance co have to pay a case / or premium fee to the Bureau of £ 502. This  would inevitably result the bureau being  unfair and not independent, or impartial or act in favor of the policy holders if the insurance are funding them. Especially the light of their own statistics on their own web the Ombudsman Bureau Web site states that independent statistics describe that in 67% of the complaints filed by policy holder the complaints are upheld in favor of the insurance co and only 23% are upheld  or reversed in the favor of policyholders. 73% of the complaints and procedures are also not well handled by the Ombudsman Bureau. As for the value the local classifieds newspaper or trade cutting value you suggested are not exactly acceptable as market value of the vehicle by the Ombudsman Beurau.They go by the value given in a book called Glass car guide.
Q1  Any more suggestion on the first matter- re me commencing a court case or a complaint to the Bureau, and Q2 What does market value actually mean - is it the doorstep value or what other car dealers are prepared to pay and  under the current UK govt scrappage allowance in order to buy a new vehicle, currently most  other dealers offer between £2000-£3000. There is also a time limit to file a complaint to the Bureau of 6 months and after that the policy allows that i can go to the court if i have filed a complaint and not happy with the Ombudsman Bureaus' decision which is binding on the insurance co. Also that the ombudsman is not a higher authority than a court . please provide your final decision or your own suggestion not binding upon you in any way.  Yours sincerely Tas

Answer
Hi Anil,

Unfortunately, as I stated before, I am not familiar with UK provisions or law. It seems to me that if you have the advice of a solicitor, which I assume is equivilent to an attorney, you would be best served by taking their advice over mine. Since I do not understand the UK provisions I would not be the best person to ask. You may want to locate someone who is specifically famiiliar with auto claimsi the U.

I hope this helps
Richard Hixenbaugh