Inurance woes... Market Value

[mmmhumous]

Any view's on what constitutes market value for a vehicle.

 

The The F.O. State "Of course there can be genuine debates about what represents a fair market value. Our starting point is to consider the approach the firm has taken. We would expect it to have consulted the normal trade guides and to have allowed for any difference from the norm in the car's mileage or condition. In most cases, the firm should have assessed the market value as equivalent to the "guide retail price"(the price that a member of the public might reasonably expect to pay at a dealership).

Sometimes the firm will argue that it would be fairer to use the "guide trade value" (the price that a motor trader might pay). Normally this will be less than the market price that the policyholder will have to pay to replace the car. However, the trade value may be a useful indicator where the car was not in "guide retail" condition or where there is evidence that the customer intended to buy a replacement privately."

 ( http://www.financial-ombudsman.org.uk/publications/ombudsman-news/22/issue-22-motorinsurance.htm )

 

So far, our insurance company has offered us £4550 (Starting offer was £4450). They state they use Glass's as their trade guide, so  based on the prices below  from Glass's and Autotrader we're assuming a fair price for the vehicle is between £5.5k and £7k. (dependant on condition and mileage).

 

Are we being realistic? 

 

Trade in: £2,770.00 to £3,970.00

 

Private: £4,600.00 to £6,100.00

 

Dealer: £5,500.00 to £6,980.00

 

Auto trader: £6,300-7,500

[Ootohere]

Maybe do some checking at Garages/Dealers near to you.

What is the actual 'Asking Prices' at Dealerships,

& how much can you get another vehicle for.  Cash Purchase, no Trade in.  How much?

 

That is the 'Market Price' to go by.    Real World, replacing your car.

[ruffday]

Might be an idea to tell us more about the car.

condition miles and what it is.

[FUBAR]

Might be an idea to tell us more about the car.

condition miles and what it is.

 

+1 a big factor. 

[Aspman]

I got £4k as a trade in last week on an 07 TFSI VRS hatch with 82k and FSH inc 1yr MOT. if that gives you a starting point for comparison.

 

This was actually very close to the Parkers figure of £4200 for a car with 70k.

Edited 1 June, 2014 by Aspman

[mmmhumous]

Thanks for the replies. Actual replacement cost would be somewhere between £5.5k and £6.5k 

 

The car was Fabia VRS SE, excellent condition (not so much post crash), 82K miles. FSH, I owner... From the advance valuation from glass (where you add mileage and spec):

 

The private valuation is £4600 and retail is £5500.

 

So the insurance company have offered us the private sale value.

 

However, we think £5.5k seems to be a 'fair' price to be based on what's actually available on the market, the Glass's valuation, what we insured it at (although irrelevant for write-off purposes apparently) and what the FO's guidance says.

 

So I suppose the question is are we being realistic?  

[mmmhumous]

Maybe do some checking at Garages/Dealers near to you.

What is the actual 'Asking Prices' at Dealerships,

& how much can you get another vehicle for.  Cash Purchase, no Trade in.  How much?

 

That is the 'Market Price' to go by.    Real World, replacing your car.

They've been holding their value surprising well... real for replacement are 'asking' £5.5-6k private and £6-6.5k dealer... I'd be happy with £5.5k.

[ruffday]

Get some ads of cars for sale or ask them to find you a replacement.

If the accident was not your fault ask for it to be repaired.

[Chris]

As above. Send then some adverts of cars similar spec and mileage and tell them that's what you want. You should be in a position to replace almost like for like. My brother had this and after a couple of weeks and adverts the insurance company paid out.