car insurance claim question

[wildernesslodgelover]

Hi DISers!

My convertible top needs repair. Specifically, the back window (which is glass) popped loose from the canvas top. This is due to the extreme heat and not being in the garage. It is an older car, and I guess this is not uncommon.

I called a few convertible repair places and they all told me I would need a new top. I was surprised...it really looks to me like the glass could be glued back onto the canvas, but obviously these places want business, yet they still told me no way it could be repaired....so I believe them.

We then decided to go through my car insurance. I have a $250 deductible, never make claims, so why not? An adjuster came out, looked at the car, said he would get back to us. 4 days later, we recieved a check for 8k! This is for a new convertible top. Along with the check was an estimate and instructions to take the car to the place of our choice to get a new top. There are no other instructions such as "take a picture of the repairs and send it to us" or "call us so an adjuster can come out and inspect the repairs."

This is my question...do I *have* to use the money for that? What if I get it repaired for 5k...is the leftover 3k for me to keep? What if I trade my car in to the dealership "äs is" (and maybe get 2k or 3k for it) and get a new car using that 8k?

I am not asking to keep the 8k to take a Disney cruise or get plastic surgery. I am going to use that money for something auto related. Thanks for any opinions and input!

 

[hentob]

Hi DISers!

My convertible top needs repair. Specifically, the back window (which is glass) popped loose from the canvas top. This is due to the extreme heat and not being in the garage. It is an older car, and I guess this is not uncommon.

I called a few convertible repair places and they all told me I would need a new top. I was surprised...it really looks to me like the glass could be glued back onto the canvas, but obviously these places want business, yet they still told me no way it could be repaired....so I believe them.

We then decided to go through my car insurance. I have a $250 deductible, never make claims, so why not? An adjuster came out, looked at the car, said he would get back to us. 4 days later, we recieved a check for 8k! This is for a new convertible top. Along with the check was an estimate and instructions to take the car to the place of our choice to get a new top. There are no other instructions such as "take a picture of the repairs and send it to us" or "call us so an adjuster can come out and inspect the repairs."

This is my question...do I *have* to use the money for that? What if I get it repaired for 5k...is the leftover 3k for me to keep? What if I trade my car in to the dealership "äs is" (and maybe get 2k or 3k for it) and get a new car using that 8k?

I am not asking to keep the 8k to take a Disney cruise or get plastic surgery. I am going to use that money for something auto related. Thanks for any opinions and input!

Why did your insurance even cover this?

 

[RitaZ.]

Why did your insurance even cover this?

I wondered the same thing. I figured that would be in the wear and tear category.

 

[tonilea]

I would verify that there wasn't some type of mistake.

 

[golfgal]

I am also in the "why did they cover it" camp but if they did send you a check and your car is 100% your car, meaning you don't have a loan on the car, you can do whatever you want with the check. You don't have to spend it on the car but keep in mind if something else happens to your car and you didn't repair it the first time they won't pay out another claim. You can use that 8K for Disney and not fix your car. It is not illegal at all. It is very common with hail claims to have this happen. The idea of the insurance is to put your car back to the "value" it had before it was damaged. If you don't get it fixed, your car isn't at that value but you have the cash equivalent instead.

 

[The Mystery Machine]

I would verify that there wasn't some type of mistake.

Agree. We just replaced our convertible top and it was only 1,000.

 

[taylor1293]

The money is yours to do with as you please. You do not have to get your car fixed.

 

[wildernesslodgelover]

Thanks for all the replies.

I was also surprised they covered it. I was 100% honest...told them I walked out to my car and I found it in the state it is now in. It was in a strip mall parking lot for 30 minutes. Was it vandalism? I don't know, but I doubt it. The adjuster said that it looked like normal wear and tear from heat. the same adjuster awarded us this 8k check. Should I really call and ask "Are you sure?" I would prefer not to.

It is a small insurance company and I have had them for 24 years (since I was a teen) and I don't think I have ever had a claim with them EVER. Maybe they take that into consideration?

Again, thanks for all the replies. My DH already said, "Geez...if that is how much it costs to replace a convertible top, we are NEVER buying a convertible again!"

 

[wildernesslodgelover]

BTW, this isn't just a fold back convertible top...it has a glass window and it goes into a mecanical boot type thing. Not sure if that makes a difference in everyone's disbelief on price. I think labor may be pricey????

 

[taylor1293]

Take it in to the repair shop and get an estimate. It should match the amount of the check. If not, you know there is a problem. Then, yes, you should call the insurance company. If the amount is the same, then you can decide to do what you want with the money.

Thanks for all the replies.

I was also surprised they covered it. I was 100% honest...told them I walked out to my car and I found it in the state it is now in. It was in a strip mall parking lot for 30 minutes. Was it vandalism? I don't know, but I doubt it. The adjuster said that it looked like normal wear and tear from heat. the same adjuster awarded us this 8k check. Should I really call and ask "Are you sure?" I would prefer not to.

It is a small insurance company and I have had them for 24 years (since I was a teen) and I don't think I have ever had a claim with them EVER. Maybe they take that into consideration?

Again, thanks for all the replies. My DH already said, "Geez...if that is how much it costs to replace a convertible top, we are NEVER buying a convertible again!"

 

[DebbieB]

I work in insurance. What I don't understand is the maximum they should pay on a physical damage claim is the "actual cash value" of the car (which would be considered a "total loss"). Is the car even worth $8,000? If you are saying the dealer would only give you $2,000-$3,000, why are they paying this much? It sounds like a mistake.

 

[Handbag Lady]

What is your car's brand and year?

 

[wildernesslodgelover]

I work in insurance. What I don't understand is the maximum they should pay on a physical damage claim is the "actual cash value" of the car (which would be considered a "total loss"). Is the car even worth $8,000? If you are saying the dealer would only give you $2,000-$3,000, why are they paying this much? It sounds like a mistake.

Yes, it is worth more than 8k for sure....WITH a fully functioning and repaired top. What I meant by my comment is...if I trade it in NOW...with the damage to the top. I was kind of subtracting 8k from the value. I figured the dealership would be able to fix the top for much less than 8k, so maybe they would give me a decent amount for it. As we all know, dealerships give you much less than what your car is worth...whether in perfect condition or damaged.

Handbag Lady-My DH does not want me to post that. He is very paranoid! He was mad at me for posting the amount we received, he wanted me to only post "ä large sum" but of course everyone has a different idea of what a "large sum" is and I wanted it to be known that is is a VERY large sum that seems ridiculous!

I just want to add...we have a breakdown estimate in front of us for labor and the top. The top is over 6k, according to this printed estimate.

I agree, this seems like way too much. I guess I'd rather not look a gift horse in the mouth, and trade it in "as is" and keep the money.