Get clued up on stolen car claims

February 2nd, 2009 by admin

You should understand, be informed and adhere to the security measures, stipulated in the policy when purchasing car insurance. Keep all certification to confirm non-standard security items that have been added to your motor, such as a gear lock, alarm or tracking device. Failing to meet the policy requirements may result in the rejection of a claim in the case of your vehicle being stolen.It is just as important to follow the correct procedure in the event of your vehicle being stolen. All Insurers compulsory that on finding out that your motor has been stolen it be reported to the cops immediately. To prevent more loss and contribute in the recovery of your motor, the obligation is on you as the owner of the car.A theft case must be opened and file number obtained from the police. If you fail to do so it could be construed as committing fraud and you could endanger your right to claim fro the insurance company. Any delay in notifying the police will increase the possibility that the burglars will escape by giving them more time to escape with the vehicle.If your car was stolen from a parking lot where there is security then you have to report it to the security office so they can vouch that security was in place.Notify your insurer immediately and demand for written verification of this notification. If the car was driven by another person than the insured at the time of theft then supply them with a certified copy of the driver’s license and identity documentation and also provide them with the relevant documents for all non-standard security items.If your car is subject to a purchase to hire or lease then you should inform the relevant financial institution. Determine the outstanding loan amount and keep in mind that you still have an responsibility to keep up the monthly repayments both on your car debt and your insurance policy until your claim has been settled in full.If the car is not recovered within a reasonable time and the insurance company compensates you for your loss you are no longer the owner of the stolen motor. If the motor was dependent to a Hire Purchase or Installment Sale, the Insurers would have noted their interests on the policy and would have reconciled any unpaid debt before paying out the balance to you.The stolen car is now the property of the Car Insurance Company and if the motor is found subsequent to your claim been paid the vehicle must be handed over to the Insurance Company. If you do not do this then it is considered as fraud and a criminal offense.Most insurers give the insured first option to buy back the stolen car if and when it is found. If you are interested in acting out this option then you should be aware of circumstances that could significantly impact on the value of the recovered motor.The vehicle would have been scrapped before the insurance company paid your claim. To re-sell this vehicle it will need to be re-registered as a Code 3 motor and identified as a Built Up vehicle on the registration certificate. The police will assign a new VIN number beginning with AAPV if the VIN number has been meddled with. If you purchase back your car, you must insurance that you get a considerable discount on the market value as no dealer will pay the full market price for a vehicle. To avoid over-insurance this asset, make sure that you insurance the re-purchased motor at the price that you paid to purchase it from the insurers.

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