Insurance claim options

[Glenn Hurlow]

9 hours ago, Riccardo said:

If the sum insured is adequate then they must pay for the upgrade grades.The rest of the advice given on this thread is inaccurate in many instances.I have been involved in the short term industry for 39 years.

Thanks @Riccardo. Any advice or insight into the option of asking for cash vs having to take the replacement item?

[The Ouzo]

11 hours ago, Riccardo said:

If the sum insured is adequate then they must pay for the upgrade grades.The rest of the advice given on this thread is inaccurate in many instances.I have been involved in the short term industry for 39 years.

so how about giving the accurate advice to the inaccurate advice given

[Lynskey]

2 hours ago, Glenn Hurlow said:

Thanks @Riccardo. Any advice or insight into the option of asking for cash vs having to take the replacement item?

You did not insure cash so in my books they should never pay cash. It opens it up to too much insurance fraud. They should replace like for like. But that is my thinking. Insurance is such an interesting thing. It is a huge industry with the bosses making disgusting amounts of money. During covid when they probably had to pay out one tenth of their normal claims no one got any reprieve that I know of. Negative maybe. But real I think so. So interested to hear what Riccardo says. 

[Lynskey]

2 minutes ago, The Ouzo said:

so how about giving the accurate advice to the inaccurate advice given

He is not here to school us. He is giving his professional opinion on an industry he knows. He is not here to guide us through this claim. 🤷‍♂️

[The Ouzo]

3 minutes ago, Lynskey said:

He is not here to school us. He is giving his professional opinion on an industry he knows. He is not here to guide us through this claim. 🤷‍♂️

you cant come here and say 

 

7 minutes ago, The Ouzo said:

The rest of the advice given on this thread is inaccurate in many instances

but then not correct it or say which bits of advice was not accurate.

 

[Stoffel76]

On 9/1/2023 at 2:16 PM, Glenn Hurlow said:

I have Discovery Insure and Riders at Work processing this claim: Stolen: Trek Top Fuel 5 Large 2022 | Bike Hub

I am hopeful that I will be on a bike soon again, but have a couple of question for those of you with experience in these matters (sorry for your loss).

Firstly, I had upgraded the pedals from the plastic OEMs to e*thirteen Basics, and the rear derailleur from Deore M6100 to XT M8100. Should I expect to be compensated for these upgrades (I did not amend the policy when adding them to the bike.) 

Secondly, the new Trek Fuel EX 7 is on special right now... What are the chances of them paying me the cash and me adding the difference to get the Fuel EX?

Your sum insured is always the max they will pay, so if replacement bike + extra's is more than that, then they will pay you your sum insured and you'll need to chuck in the rest.  If your sum insured includes the extras, then they should pay for those as well.  Usually if your sum insured is too low, then they will just pay you out the cash. 

 

On cash settlements, they will usually only pay you what the bike will cost them to replace, ie if they can get it from dealer X at 10% less than what your quote is, then that is what they will pay. Usually though, dealer X will honour the quote they gave to the insurers, so your can get it for the same price from them.

 

If they authorise the replacement of the bike, that is usually done by give a buying order to the dealer. But you don't need to buy that exact bike again, you can always pay in extra to upgrade... (The dealer will be only to happy to take your money! 😄)

 

Someone mentioned applying average if you are underinsured.  It isn't usually applicable to All Risk items, although some insurers do, so check your documents...  

 

Glenn, if you'd prefer a cash settlement, just ask them... At the end of the day, all policies have a clause that states it is the insurers right to choose to replace, reimburse or repair, but they're usually pretty reasonable.  Good luck!!  

 

Edit: Grammar

 

 

Edited September 4, 2023 by Stoffel76

[ChrisF]

5 hours ago, Lynskey said:

You did not insure cash so in my books they should never pay cash. It opens it up to too much insurance fraud. They should replace like for like. But that is my thinking. Insurance is such an interesting thing. It is a huge industry with the bosses making disgusting amounts of money. During covid when they probably had to pay out one tenth of their normal claims no one got any reprieve that I know of. Negative maybe. But real I think so. So interested to hear what Riccardo says. 

 

UHMMMM .... get a new broker ...

 

SANTAM sure as heck DID come to the party and offer premium discounts for those that were driving less ....  few others jumped on the band wagon and advertised to this effect on the radio ....

[Euvdore]

Good day all

The average clause will be applicable to your building and household contents. Not your all risk items such as your bicycle. 

It's best to make sure that your sum insured includes the extras on your bicycle and also keep proof of ownership for these items, it will make your life easier at claims stage.

Having a broker will definitely help in these cases to provide you with good and proper advice.

 

There are many products on the market, some policies will insure your bicycle without having to specify the bike or extras, as long as you have proof of ownership for these items at claim stage.

[Glenn Hurlow]

7 hours ago, Stoffel76 said:

Your sum insured is always the max they will pay, so if replacement bike + extra's is more than that, then they will pay you your sum insured and you'll need to chuck in the rest.  If your sum insured includes the extras, then they should pay for those as well.  Usually if your sum insured is too low, then they will just pay you out the cash. 

 

On cash settlements, they will usually only pay you what the bike will cost them to replace, ie if they can get it from dealer X at 10% less than what your quote is, then that is what they will pay. Usually though, dealer X will honour the quote they gave to the insurers, so your can get it for the same price from them.

 

If they authorise the replacement of the bike, that is usually done by give a buying order to the dealer. But you don't need to buy that exact bike again, you can always pay in extra to upgrade... (The dealer will be only to happy to take your money! 😄)

 

Someone mentioned applying average if you are underinsured.  It isn't usually applicable to All Risk items, although some insurers do, so check your documents...  

 

Glenn, if you'd prefer a cash settlement, just ask them... At the end of the day, all policies have a clause that states it is the insurers right to choose to replace, reimburse or repair, but they're usually pretty reasonable.  Good luck!!  

 

Edit: Grammar

 

 

I really appreciate the thorough advice, thanks @Stoffel76. I was out of cell reach all day today and got home to an email saying Discovery tried to get hold of me. So I guess I will be able to ask the questions first thing tomorrow.

[Glenn Hurlow]

So Riders at Work are doing a great job at helping me to use the claim payout to upgrade. As @Stoffel76 said, the dealers are quite happy to take in a bit more money. 

[Stoffel76]

16 hours ago, Glenn Hurlow said:

So Riders at Work are doing a great job at helping me to use the claim payout to upgrade. As @Stoffel76 said, the dealers are quite happy to take in a bit more money. 

Cool, may the retail therapy soothe the anguish of coping with a stolen bike!  😃