Need advice on accident - bike total loss

[deftones80]

Hi all,

 

A taxi knocked down my friend's bike and his frame broke. bike was declared total loss by Insurance company. Awaiting investigation by TP to see who is at fault.

 

As my friend's insurance was third party fire and theft the total loss payout is not covered.

 

Do we scrape the bike first or await IO investigation (which likely will be in rider's favour)

and file a case against the taxi company to claim for the bike?

[mechwira]

Regardless of the bike on TPFT, the accident report still must be made to the insurer.

 

Do not scrap the bike until explicitly cleared to do so by the IO, your insurer and the taxi's insurer.

 

Send it to workshop with insurance claiming services, they will know what to do. If cannot scrap, they will store the bike in their premises.

[blackness]

1. Report the accident to IDAC, insurer, traffic police (especially important if there's injury sustained by any party). Do this immediately if not done yet.

2. Send IDAC and police report to insurer and workshop.

3. Since the taxi is at fault, claim against him for total loss. The workshop/insurer should be able to act on behalf of your friend. Engage lawyer if afraid claims will be unsatisfactory.

4. The taxi's insurer will send surveyor to assess the damage to the bike and the workshop/insurer representing your friend will negotiate the compensation amount with the taxi's insurer.

5. The workshop/insurer will update your friend on the negotiation outcome and discuss with him whether to accept the compensation amount.

 

 

These claim process will take very long due to the investigations and to/fro negotiations. In the mean time, instead of scrapping it immediately, lay up the bike, indicating the workshop as the layup location. Terminate the existing insurance.

 

Read this link too http://www.lawsociety.org.sg/forPublic/YoutheLaw/RoadAccidents.aspx

[desewer]

in this kind of scenario, your friend should be making a third party claim against the taxi driver, not against his own insurance. even if he is using only third party without fire and theft, he can still claim against the taxi's insurance.

 

so, don't anyhow scrap or what. the taxi's insurer will decide (they declare total loss) and compensate your friend the market value of the bike.

 

moving on, if the market value is $5000 and he still owes the bike shop $6000 in instalments, your friend will have to fork out the balance $1000 on his own.

 

if the market value is $5000 and the balance instalment is $2000, he will probably get around $3000 after he pays the remainder of the loan to the bike shop.