Claiming for real replacement value of accident-damaged bike?

[halfer]

Hi all

I was recently asking about the quality of KTM Macina Action bikes on another thread, as I have been offered one by a third-party insurance company to replace my Ave XH-3 that was damaged in a road accident. Although I had some doubts about taking the new bike (support is too far away, and I can't try the bike) I asked them to see how long it would take to order.

It turns out that the model is discontinued (or otherwise not available, perhaps because of the Bosch supply issues) and so I was told I could get a cash settlement on the basis of the KTM price of £2150. However, once I approached the claims department, they said it was standard policy to estimate a depreciated sum for my bike, coming in at £1700 or so.

I paid £1800 for the Ave XH-3 eighteen months ago, and I have about six months of warranty left on it. I shouldn't have to part with any extra cash to get me back into the same position, so that would rule out buying new; if I buy second hand, I'm likely to have to buy from far away, so I'd lose local support, and I'd also forego my remaining warranty.

Do I have any options to argue for a better settlement? Or should I accept, on the basis that insurance companies "just work this way"?

(In practice, I have other options, such as fixing my current bike and getting the frame professionally certified, or buying a nice shiny new toy and kicking in the necessary extra money, but I'd like to see what I can do with the insurer first. I am presently not of the view that they are putting me back in the position I was in prior to the accident.)

 

[trex]

I assume the bike is only mechanically damaged, the electrics is still OK.
ask the insurance company if you could buy the damaged bike 'as is' - for something like £200 if you accept their offer of £1700. They would probably accept. Then get your old bike repaired by a local bike shop, new frame, new forks etc. You end up getting to keep some spare cash for the hassle.

 

[halfer]

Thanks trex. You're right, I should be factoring in the cost I can recoup from that. From what I can tell, I get to dispose of the old bike as I wish. Though, as you say, it's a hassle!

The damage looks like it is only mechanical: a crank arm is heavily bent and both wheels are the wrong shape (front major, back minor). The motor could have taken some impact but presently works, and the frame looks OK but would need structural assessment.

 

[Deleted member 4366]

Tell them you accept £1700 for the bike provided that you can keep the wreck for spares. They'll probably accept. If not, you can negotiate the price of the wreck, but I think £200 would be the max.

 

[halfer]

Thanks d8veh, good idea. In the absence of anyone knowing how to argue for a better settlement (perhaps on the basis of loss of warranty) I will do that in the coming week.

Has anyone here been involved in an accident involving their bike, and claimed on the third party?

(Aside: I was at OnBike today, and tried the Emotion Neo Cross, Emotion Neo Extreme, Scott E.Sub Tour and Scott Aspect 710. They are all fine bikes, but the Extreme and the Aspect were particularly good. Decisions, decisions!)