Vehicles Written Off because of Expensive Car Parts - 30 Sep 2009 13:08
The rising costs of new vehicle parts has led to an increased number of vehicles being written off. Even though they have suffered minor and fixable damage, insurers are writing off the vehicles because it’s cheaper to replace them than pay for new parts.
The short-term insurance Ombudsman approved the use of second hand and non-factory fitted parts of a non-critical mechanical nature early this year. If insurers use such parts instead of new parts, the vehicle would be within economic means of repair.
According to Insurance Gateway, the information, transparency and resource centre for insurance in South Africa, the problem with second hand parts is the time spent searching for them.
Part Find, a new, internet-based services addresses this problem by locating second hand or spare parts for your vehicle. Searching quickly through their database of dealers and scrap yards across the country, insurers and panelbeaters are able to determine quickly whether repair of the vehicle is a viable option.
If the vehicle is under warranty however, insurers have an obligation to uphold the consumers’ interests by guaranteeing authentic parts. This however depends on the policy undertaken by both parties. When the warranty has expired, however, using Part Find may be a beneficial and cost effective approach.
An alternate option is taking the pay out claim for the written off vehicle and purchasing the remains of the car from the insurer and then repairing it privately.
The rising costs of new vehicle parts has led to an increased number of vehicles being written off. Even though they have suffered minor and fixable damage, insurers are writing off the vehicles because it’s cheaper to replace them than pay for new parts. The short-term insurance Ombudsman approved the use of second hand and non-factory fitted parts of a non-critical mechanical nature early this year. If insurers use such parts instead of new parts, the vehicle would be within economic means of repair.
According to Insurance Gateway, the information, transparency and resource centre for insurance in South Africa, the problem with second hand parts is the time spent searching for them.
Part Find, a new, internet-based services addresses this problem by locating second hand or spare parts for your vehicle. Searching quickly through their database of dealers and scrap yards across the country, insurers and panelbeaters are able to determine quickly whether repair of the vehicle is a viable option.
If the vehicle is under warranty however, insurers have an obligation to uphold the consumers’ interests by guaranteeing authentic parts. This however depends on the policy undertaken by both parties. When the warranty has expired, however, using Part Find may be a beneficial and cost effective approach.
An alternate option is taking the pay out claim for the written off vehicle and purchasing the remains of the car from the insurer and then repairing it privately.