Can you 'buy' back a car that has been written off?

My insurer has said it is not economical to repair my car. Should I buy it back from them?

This is one of the most common questions we get asked. But how do you buy back a vehicle you already own? 

Retaining a Cat D is extremely foolish. You are being conned by your insurer. Here's why. Imagine the repair costs on your £10000 car are £8500. Your insurer advises you that the car is a Cat D total loss, but you can retain the vehicle for £3000.

This means you get £7000, plus your car back unrepaired. But it now has the stigma of being a Cat D. And the market value is around 20 percent less than it would be without.

We already know it is going to cost £8500 to repair your car, so even using second hand parts you would struggle to repair for £7000 you received. Once you have spent your £7000 your car is now only worth £8000.

Contrary to what every insurer and pretty much anyone you speak to will tell you, yes you can retain a Cat B total loss.

Had you asked for a cash in lieu settlement, you would have received the £8500 and still have a vehicle that is not a total loss. In other words you would be at least £2000 better off.

Insurers do no like providing a cash settlement at higher figures. They prefer to reduce the risk of fraud and they have the contractual right to offer to repair. You can also insist on the vehicle being repaired.

In both situations, your car has been (or should be) repaired to manufacturer standards. So it should stil be worth approximately what it was prior to the accident.

Do not forget, read your contract of insurance. It will state you are indemnified up to the market value. The insurer only has the right to retain the vehicle when they have bought the vehicle off you. Up to that point the vehicle is always yours.

What about retaining a Category C total loss?

This is where the repair costs exceed the market value. So the vehicle when repaired will be worth approximately 20 to 30 percent less than a vehicle without this history. This seriously needs to be considered.

>> What is an uninsured loss?

If the vehicle has any structural damage, walk away. Unless you are a professional commercial repairer or have access to one, we would not contemplate retaining. The only time it makes sense to retain a Cat C vehicle is if there is cosmetic damage, or when the panels damaged are 'hang on' panels such as front wings, bumpers and doors.

Can you keep a Category B loss?

Contrary to what every insurer and pretty much anyone you speak to will tell you, yes you can retain a Cat B total loss. The question again though is why?

These vehicles can never go back on the road. You will not be able to obtain a V5C and you will never be able to tax or insure it.

The only time we would suggest retaining a Cat B is if you either have a classic vehicle - and the parts are extremely rare and hard to come by - or you have a modified vehicle and wish to retain the parts you have fitted.

>> What's the difference between a Cat C and Cat D write off?

This could be on anything, from a vehicle with engine and suspension modifications, to a van that has been converted into a camper. There is a possible third - retaining a flood damaged vehicle and converting it into a track or off road vehicle.

You may find the insurer will request a certificate of destruction of the shell of the vehicle, once all the items required have been stripped.

What must be remembered is the Code of Practice for the disposal of salvage is just that. It is not lawful and is not under an Act of Parliament. This means it cannot be enforced on a consumer. 

This is why it needs to change. At the moment anyone can get their hands on any salvage. As a consequence, a vehicle that has a category loss against it can be on the road but not repaired safely. Insurers need to stop profiteering by selling salvage as "constructive total losses" and repair them correctly.

>> Your complete guide to motor insurance

Comments

Phillip Ellis    on 19 June 2017

Problem with costs of repairs is that they are too high by so called approved repairers. Quite likely a repair cost of £8500 can be a lot cheaper at a small repairer.
I recently damaged my rear bumper and cost would have been in excess of £200 but I had it done for £90.
If only we could go back to getting two or three quotes ourselves we would save hugely on insurance costs.

motorclaimguru    on 19 June 2017

I would disagree completely.If you had your rear bumper repaired for £90, it will have been a bumper scuff, and the smart repairer will have carried out a local repair, he will not have painted or lacquered the full bumper.
This is a non-compliant repair, as the lacquer, if the whole panel has not been painted it will peel off and react in the future.

Insurer approved repairers are the cheapest you will find, they work on volume and work on disproportionately low rates on the basis of guaranteed work.

If a repair is "cheaper" is it better?
There are a lot of brilliant small repairer's out there, but there are also a lot that do not follow manufacturer's methods to repair your car. The same can also be said with insurer "approved" repairers as they often take short cuts due to the extremely low rates they get paid.

If your making a claim on your insurance, make sure "indemnity" is provided, and our vehicle is re-instated to it's pre-accident conditions using manufacturer methods.

Repair cost should actually be double what they are,the power of insurance companies contracts have negotiated rates that are not sustainable for the future of the repair industry. There was 20,000 repairers in the UK according to the Association of Bodyshop Professionals 20 years ago, due to these suppressed rates and lack of profit, there are less than 3000 now.

Amateur Torque    on 21 June 2017

Hi Motorclaimguru,

When you say "If your making a claim on your insurance, make sure "indemnity" is provided", what do you mean? In lamens terms please.

motorclaimguru    on 23 June 2017

Hi,

"indemnity" is being put back in the situation you were in (either by way of money or repair)prior to the loss (accident) occurring. It basically means "cover your loss".

Kind regards

Tim

Wantok    on 26 June 2017

Is it not better to avoid the car being written off by cancelling your claim?

thats what I did - and I had the car repaired for much more reasonable costs using used panels etc. I obtained a fresh MOT and 7 years later the car continues to be a joy to drive.

   on 23 May 2018

Can someone please advise, I just bought a written off car. It was fully acknowledged but the previous owner had only handed one key to the insurance company/repairer. She is now demanding £150 for the spare key. Any advice? Is she supposed to hand over the spare key to insurance company?

   on 21 August 2018

Motorclaimguru, whilst i get that, what about if the car is older? This is implying you have a brand new car. To put into perspective..... I have a car worth around £2k. If someone drives lightly into my door (just the door, no other panel or subframe damage), my car is a write-off. The door would almost certainly cost upwards of £1200 for a new one plus a few hundred pounds for a paint job, plus the few hundred pounds labour to get it fitted. Car will be written off. Possibly a Cat S. Alternatively, I can buy the car back for ~£200, go to my local specialist breaker who has an absolutely mint door, windows and so on, for £100. I swap the locks over and have a perhaps slightly different shade (but not very different - it's a £2k car!). And before you say "But how do you know the door is safe?", many older cars are scrapped because the engine has blown, or a rotten subframe, or all manner of reasons. The door is likely to be as safe as the original 10 year old one. Result? I get to keep my car which I've owned from new, I've done all the mileage on and is reliable. And I've been given £1700 for the upset of having to change a door (fairly easy job) and now having a Cat N which is worth at least 20% less.

C Shirt    on 30 August 2018

I dont understand these different categories of "car write offs"
My car ..a 5door hatch back..was hit whilst parked over the weekend, driver didn't stop but witness has come forward with photo record of registration.
It has damaged the rear door & rear side panel.
My local garage has checked it for safety & said its ok to drive but it's a mess But tyres, brakes, sills etc were fine & would pass MOT.
My insurance say it'll probably be uneconomic to repair and have said due to its age, its only worth £400 - it hadn't as yet been inspected by insurance assessors.
I've had it from new, its 03 plate, Focus Ghia 1.6 turbo diesel & only got 101,000 on clock. Fully serviced & its had gearbox & timing belt changed.
I dont want to have the hassle of finding another car ......but dont see why I should have to pay out for repairs. What options do I have and where would I stand insurance wise, if I "buy it back" if insurer deems it uneconomic to repair
Thank you

   on 23 December 2018

Is there a time frame to fix a car bought back from insurance company

   on 9 January 2019

Hi,
I had a write off category d offered to buy it back but because it was on finance the insurance company paid the finance company £4200 the value to day, as I had no car and my car was category d I offered to buy it back and I was told give us back the £4200 we paid the ifinance and you can have your car back, the customer service I spoke to was giggling and made me so low down when ment I had no rights, they sold the car at auction 3 days later £650, because it was all recorded on the phone I had a phone call from them offering me £500 compensation saying sorry I turned down the money and asked for a car the same as the last one.
Where do I stand

   on 5 August 2019

Hi
Someone went into the back of my car and I have been advised it is not economically repairable.
I went to get a quote for the damage and was advised to accept the car as written off and buy it back. To repair my car it would cost 300/400 £, but my excess is more. The other driver was not insured.
I am not sure how it works with insuring the vehicle and tax and registering it!!! Please advise

lafleure355    on 15 September 2019

Mine too was hit yesterday and dent from side bumper undercarriage chases both side and tailgate won't close.. Just 70 k now Chevy orlando No engineer visited yet to see if it will be written off, I like my car but due to structural damage I won't accept a repair as it involve setting the sensors airbag etc.

The worst scenario is hit and ran but cough cctv of car and face and I have 3rd party fire and theft

Edited by lafleure355 on 15/09/2019 at 03:30

Marcel Price    on 18 September 2019

Hello,

Reading your statements regarding Cat B vehicles with significant interest. In summary I was involved in an accident (fault claim) whereby my vehicle was deemed by the insurer's independant engineer as a Cat B.

Following a lengthy process - the insurer has repudiated my claim for which I am currently in the ombudsman process. As a seperate issue - my vehicle was for a period held at a well known salvage auction company.

I explicitly informed my insurer that nothing was to happen to the vehicle whilst my claim was in dispute, and that in addition, I remained the legal owner of the vehicle (it has never been signed over). Despite this, and their agreement not to dispose of the vehicle - the insurer proceeded to dispose of my vehicle anyway - to which they openly admit all the above facts. I was offered £1200 salvage (which I declined) by the insurer for a vehicle worth ~£50k. They defended their position by saying they had images to prove there was no value left in the vehicle.

The insurer have essentially committed theft and fraud.

I have since located my vehicle which was sold by the auction house to a company in the Netherlands. This company has a large number of parts listed for sale online with warranties that include the engine, gear box, alloys, etc. The total retail vaue of the listed parts is £51k! My vehicle was less than 2 years old, and still under manufactuer warranty with circa 13k on the clock.

The initial response of the ombudsman clerk (proceeding to full at this time) was that I would have 'had' to sell my vehicle to a salvage agent anyway, and since insurers have preferable rates - I would not have achieved more than the £1200 offered - therefore they consider this a fair outcome.

There is a significant assumption they have made that I would have 'had' to sell my vehicle to a salvage agent. I see nothing in the COP to state this, and as you say - its not legally enforecable anyway. Your article suggests I could have chosen to dispose of the parts in whatever way I chose (place into another vehicle, sell privately, etc)? Do you have any reference for this I can provide to the full ombudsman to backup my position?

My case is even stronger in that I still own the vehicle - it is not a buy back off the insurer. So unless there is a legal document compelling me to sell my vehicle to salvage - I cannot see how the ombudsman's statement holds up.

Any info would be greatly appreciated!!!!

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