How to Pursue at Fault Party Insurance When NRMA Deemed My Car a Write off and Keep My 11mth Comprehensive Premium?

Hey everyone

Just looking for some advice.

So I have been in an accident where my car has been written off by NRMA for "economical reason - more the fix the car than its agreed value" (I have both my comprehensive and CTP insurance with them, if it makes any difference). I have been deemed not at fault for the accident, so they are paying the agreed value to me. But they are keeping my premium which I only paid less than a month ago (over $600 for 12 months). So they told me that it's in the policy, I checked and it is, but I feel like that’s a dick move for them to hold the premium when I’m NOT at fault. Because I am more out of pocket than if I don’t have any comprehensive insurance, since I should be able to claim from the other insurance company anyway, I have all the details of the at fault driver - rego, name, address.

I was wondering whether I could not proceed with the claim through NRMA and claim through the other party insurance (taxi) and cancel my policy with NRMA after and get my premium refunded!

Questions to you guys
1. Is it even possible to do what i suggested above?
2. How difficult would it be to process the claim on my own if NRMA doesn't help me to claim
3 if anyone can tell me the steps to claim without going through NRMA

I have been with them for 19 years, and this is the only major accident ever! I’m really disappointed with them!

Any idea is appreciated!
Many thanks

Clarification:
I was never asking for advise to get the premium back after I get the payout, since it is in the policy (it was just dumb of me not fully understanding that it means). I have stated IT IS in the policy, I said I feel like its a dick move, but I never claim that I didn't sign the policy. What I was asking is if there's anything else I could do.

UPDATE! For those that are interested as to what is possible for their future reference

So I got in touch with NRMA, so it is possible to pause the claim even though I have called. So it is not true that the simple fact of calling NRMA making me "agree" to the settlement. You still have choice to decide whether you want to pursue it yourself with the at fault party. It may or may not worth your time and effort, but that is for you to decide.

Furthermore, NRMA lady said that they can hold the claim for me to seek compensation from the at fault driver or their insurance. But I can only claim from their insurance if they have also lodge a claim to their insurance. And it is more than OK for me to go back to them if I can't contact the at fault driver. They will then settle the claim as they would previously.

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Comments

    • +1

      No. The contract covers the whole period (6 or 12 months) and is paid in instalments.

  • -1

    So they told me that it's in the policy, I checked and it is

    Right …

    but I feel like that’s a dick move for them to hold the premium when I’m NOT at fault

    OK …

    I was wondering whether I could not proceed with the claim through NRMA and claim through the other party insurance (taxi) and cancel my policy with NRMA after and get my premium refunded!

    Yep, this … because a guaranteed payout that is 100% in line with what you've agreed to is the sucker's option.

    Spend the next several months chasing up the cab company (no worries, they're squeaky clean, reputable outfits) and then get the run around because they won't give you the driver's details because of privacy issues … oops, we can't get hold of the driver … yeah, he's disputing your version of events … look, he's moved back to his country so we don't really know what's happened, so yeah, we're not admitting liability here.

    C'mon man. Take the cash and move on.

  • +2

    So it sounds like the norm is the insurance company is allowed to keep all the premiums paid upfront (subject to individual PDS) but to me it sounds like:
    You continue to pay premiums for a car that no longer exists?

    if I replace car insurance with life insurance:
    You continue to pay for premiums for someone that is already dead?

    • A number of the big-end-of-town financial services companies were caught doing exactly this on life insurance & superannuation!

    • +3
  • QUOTE OP: Hey everyone

    Just looking for some advise.

    I'm glad you asked

    It's spelt Advice.

  • What's the amount of agreed payout for what type of car? Just trying to figure out if I should feel sympathy or you're just another ozb scum.

    • +1

      I’m just looking for advice, don’t really need any sympathy…

      My car is a low mileage under 60000km 2012 Suzuki swift - the agreed value is $5000

      I hope you have some advice and not just going to be judgemental and give unconstructive comments… Even just for my future reference if you think it might be too late in this case

      • +1

        You certainly have a valid point to claim the damage directly through the at fault driver or their insurance. Your insurance company shouldn't lodge the claim if you have not authorised them to. Its matter of the and effort but no reason why you can't proceed with the approach and save some money.

        • Thanks mate!

          Yes, that’s all I was asking from the start, if I can do it and if other know what sort of procedure it involves and how they found the process

          You have been very helpful!

      • -2

        You should have only insured against hitting someone else with fire and theft. Your car is not worth full comprehensive.
        In fire and theft you get 3+k back.

        • I see, but I can't claim with fire and theft if someone else hit my car? right?

        • I've learnt the hard way that dealing with another at fault party (when I only had 3rd party) is just too hard. Comprehensive insurance is a literal "insurance policy" that guarantees you don't have to deal with at fault num nuts with no insurance at all. Trying to get some people to pay for damage when they have no insurance, no money, aren't afraid of arrest or incarceration, don't mind attending court 5-10-20 times and having orders made against them which they continually ignore. 10+ years later I am still trying to recover funds from a dead head from not at fault accident.

      • Judgmental on the internet, surely not :) Well I would have if you were getting a decent 'agreed price' premium over the current market value and being a typical Ozb'er. But you don't seem to be so you're not scum in my judgement.
        As for real advice - Nothing new. Your only option is to claim it against the other party's insurance rather than yours. Only caveat is that you may not get $5k. But that's something you can find out I suppose before proceeding and do the math.

  • +5

    My parked car was hit last weekend, have spoken to both my insurance and the other parties insurance. My insurance company said it was up to me which insurance company I processed the claim with and confirmed (with notes left on account) that I am able to start the process with the at fault drivers insurance company but if they become difficult to deal with I can just run in through my insurance and tell the at fault drivers insurance company of my intention to change to claiming under my own insurance and I will not be negatively affected.

    The only reason I'm running it through the at fault parties insurance is the driver left without giving details but was a company car and the company has admitted fault but refuses to give me the drivers details and my insurance company will charge me my excess if I can't provide the drivers details (apparently the companies details aren't enough) there is a good chance that I would eventually get the excess refunded back once they confirm the drivers details with the company but I don't really want to risk it

    • +2

      the driver left without giving details but was a company car and the company has admitted fault but refuses to give me the drivers details and my insurance company will charge me my excess if I can't provide the drivers details (apparently the companies details aren't enough) there is a good chance that I would eventually get the excess refunded back once they confirm the drivers details with the company but I don't really want to risk it

      I'm in a similar-ish situation. My parked car was reversed into while I was at work and they drove off. Luckily for me there was a witness that took photos and gave them to my boss. I went to the nearest police station after work and filed a report. They already had the owner's details from the number plate but unfortunately the owner didn't pick up their call. That night I also lodged a claim (Woolies). A week passes and my insurance company calls me and tells me that they've found the owner's details and that I could proceed to take my car to an authorised repairer. They also assured me that I would not be paying any excess (including the over quota excess that I happened to have exceeded). Anyway, the second repairer advised me that the damage is so minor that it's better to just get money directly from the at-fault person. I rang the police and they said they had actually gotten in contact with the owner and thankfully, they admitted fault. I asked if I could get their details and apparently I couldn't due to privacy etc. I also asked my insurance the same thing and of course they couldn't tell me either (they did give me the owner's first name though lol). The reason why I had second thoughts about getting it repaired through my insurance was because of my increased premium if I take a up a new policy with them. Even though it's a not at fault claim. The auto-renewal of the policy would've actually been cheaper despite the gift card bonus and online discount of starting a new policy (only because of the not at fault claim). Shopping around and thankfully Bingle doesn't increase the premium for not at fault claims and is actually cheaper all up (although unfortunately, they only have market value as an option).

      All in all, I would've liked to have just pocketed the money from the at fault driver instead of going through insurance. But yeah the police didn't help with that. I was even contemplating on asking the police if they could ask the owner if it's okay for me to contact them (pointless to offer my contact details and ask them to contact me instead).

      I hope you get your excess refunded! Wouldn't be fair at all if you were out of pocket for that!

      • -1

        Go to the police

        • I did mate if you read.

  • Not many people know that insurance companies have some serious powers once you let them assess your car. Even if you don't have comprehensive insurance, the at fault driver's insurance company can offer to look at your car and they can decide to put it on the written off vehicle register just because the repairs exceed the market value (despite being road-safe and repairable). For a collectible car you're willing to restore, this is obviously not desirable (and will significantly reduce your car's value). In these cases you're better off sending a letter of demand.

    The main benefit of insurance companies dealing with smash repairers is that society isn't on the phone arguing all day. They are absolute dicks to one another. But if enough people complain about an unfair clause commo to the industry then the government may eventually regulate it.

    • Thanks for your comment

      So do you think it would have a better choice if I didn't let the tow truck driver take my car away? They came without either of us calling…. my car was still drivable but they told me it would be easier that way and NRMA would look after it. I asked NRMA after, they said that towing was only necessary if the car was un-drivable or if i don't feel safe driving it.

      In your opinion, would it be better for me to drive it away myself and got a quote for repair first? and lodge the claim after so that I know if its actually cost as much as they said it would cost. I asked that because I am quite dubious about the car costing $5000 to fix… I could be wrong as I am not a mechanic. But the damage was mainly at the left front fender (major dent), some scratches to both the doors on the left side (not dented). I never thought it would have been a write off. I could probably just drive it as it, quite ugly but definitely drivable,I know because I had to move the car after the accident.

  • Depending on the value of your vehicle, it is more economical not to full comprehensive cover. You still get 3+k etc.
    Not sure on who you are pursuing, the at fault is the other insurer… yet you talk about your insurer.
    If it is "in the policy" then you have agreed to it.
    Maybe this is where you only purchase 6 month cover at a time.

  • Think of it as a fee for sorting everything out with the other party and their insurance company.

    I don't think you want to have to deal with them yourself, they'll probably want to make you prove they're at fault for the accident to begin with, that the vehicle can't be repaired for a lower price and that the market value of the car is what you claim it is, and maybe make counter claims to pay out a lower amount.

    It'll just be a huge headache, you're better off just letting NRMA deal with all that for the $600 price of your premium.

    • The other party should be paying that fee, they incurred the cost. You shouldn't be out of pocket because someone else caused an accident, they're responsible for the costs they incurred.

  • -1

    I don't understand why people expect to get their premium back. THAT is the insurance. You PAY for insurance.

    • Yeah, sure, when you actually claim insurance, not when the at-fault party's insurance is paying for all your insurance companies costs and they're just taking the premium as extra profit. If it wasn't a write-off the policy would still be in effect.

  • Honestly I don't think there is anything you can do. My mother in law works in car insurance and its always been like this. You still have a responsibility to pay for the rest of the 12 months you agreed too when you signed up for the policy. I doesn't matter when you write the car off. I know its not much help but I just don't think you are going to win this one and I would just move on.

    • Yes, I agreed there is no point in challenging the policy itself (even though i think its unconcionable)

      • I've been stung the same way. Just accept it (save yourself a headache) and move on. Balance the risk between an annual and month by month comprehensive policy. Learn by the process.

        • There's no difference except for you pay more for monthly

  • +1

    Change providers after this settles. Those big pricks don't value loyalty nowadays. Yes make sure you pull the Loyalty card!

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