insurance claim - out of pocket

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nickdick

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Some damage was done to my moored boat by an honest enough person that let the habourmaster know. I was asked to get one estimate for the repairs and it was repaired although the final bill was 70% over the estimate. I only get the original estimate amount leaving me out of pocket by several hundred pounds. What recourse do I have, if any ? Anyone had experience of this ?
 
Your 'estimate' was possibly a 'quote' and a quote will stand in law.

Check with the originator and see what words were used?

If it was an estimate then does it state things about not being able to fully price the job due to hidden damage etc, etc? If it does, then engage a marine solicitor PDQ. /forums/images/graemlins/confused.gif
 
messy - but it does seem that its not the fault of the guy who hit you / his insurance company that you ended up being charged more than you told the insurance company you could get the job done for.

I certainly would not go for a solicitor - that will only increase the cost hugely with no certainty that someone else will pay. you are entitled (if you have suffered from someone else's negligence) to be put back in the position you were in before the accident ie with a properly repaired boat. you are obliged to minimise the other parties costs by getting an economic repair done. so it seems to me that the issue is whether the final cost was reasonable or a rip off. if you can prove that it was reasonable in the circumstances then you can go back to whoever is paying and ask for the money, assuming you havent agreed "full and final" etc.

best of luck.
 
Two things strike me.

First is that the insurance company will only pay the 'estimate'. Almost by definition, an estimate is just the figure the repairer quotes you. Surely the insurance company didn't say 'we will pay this and no more.'.

The second is the people doing the repairs: I think you need to go back to them and ask why their bill is several hundred pounds above the estimate.

Their estimate could be wrong for two reasons. First, the job took longer than they said it would. That's their problem. Second, something else was found that needed doing over and above the original apparent damage - in which case, I think you have a claim against the insurance company.

Doesn't mean you'll get anywhere. On the other hand, I had a similar experience - not quite involving an insurance company, but one that left me several hundred pounds out of pocket. I went to the Citizens' Advice Bureau, and they said I had a good case. I then went to the County Count and filled in a Small Claims Form - cost me about £35. It was wonderful how the arrival of an envelope from a court caused people to change their minds!
 
the only thing about using small claims in this case is that the OP has no contract with the other parties insurance company. so he cant send papers to them.
 
On the two occassions I've had to claim, my insurers have appointed an assessor / loss adjuster who has negotiated with the repairers and agreed the final payment.
Therefore no need to get involved with arguing with repairers or going back asking for more money.
I asume you have informed your insurers of the damage? If not, it may affect any future claims if this comes to light later.
 
Dont have to send it to the insurers, send it to the perpetrator, that is the norm, he passes on to the insurers
Stu
 
you are aware that if your boat is damaged by a third party you can claim loss of use/compensation, and, if you are going on a cruise in company you could even hire a boat of the same size and add this to the claim.

maybe you missed out on adding this to the claim, how long was yours out for??
 
[ QUOTE ]
the only thing about using small claims in this case is that the OP has no contract with the other parties insurance company. so he cant send papers to them.

[/ QUOTE ]

I'm not a lawyer, so I can't really comment, but ... if a cheque is coming to you from someone else's insurance company, then what are the insurance company's legal obligations? To pay only the figure quoted as an estimate? Or to pay to have the damage put right. An estimate is only an estimate, and I think that to refuse to pay out more is sharp practice. Name and shame!
 
Normally surely it would be your Insurance Co. vs the other party's Ins. Co.

In that case would not then be your worry to make sure compensation is correct. Is your own Ins. Co aware of all this ?
 
[ QUOTE ]

I'm not a lawyer, so I can't really comment, but ... if a cheque is coming to you from someone else's insurance company, then what are the insurance company's legal obligations? To pay only the figure quoted as an estimate? Or to pay to have the damage put right. An estimate is only an estimate, and I think that to refuse to pay out more is sharp practice. Name and shame!

[/ QUOTE ]

They have no obligations to you whatsoever - only to the person with whom they have a contract. And refusing to pay out on a much larger amount than was originally sanctioned is not sharp practise. To the contrary, they are probably wondering if the extra claim is sharp practise even though we know it isnt.

What do you mean by "an estimate is only an estimate"? That it can be casually ignored? If so why bother with one in the first place?
 
IMHO

Liability.
On the information given Liability seems to be accepted by the other party so he (or his insurers) pays to fix your boat - period. (provided you don't end up with something better than you started with).

Amount
Unless you have agreed otherwise, the other party is liable for the actual cost of fixing your boat. Not the amount of an estimate. An estimate is just that. If the final cost comes to more than the estimate thats his problem. If the cost came to less than the estimate would you have still got the estimated amount - no.

If they won't play ball go through small claims. You have nothing to lose but some court fees and your time.

I'm not a lawyer so opinion offerred without responsibility.
 
Seconded absolutely. You are entitled to full restitution to "before accident" condition. The offending party is liable for ALL your costs. If you don't get anywhere, Small Claims is brilliant. Done three now and never had to go to court, all settled (including fees) beforehand.

Good Luck

Sparkie
 
Having had the same sort of mishap, altho fortunately not the cost overrun, I think you should check the letter the insurance company sent you when they agreed to pay. I suspect you will find that by accepting their offer, you will have agreed to the cost limit.

I agree with a previous poster - contact your insurance company and see if they can help. It will help your case if you advised them of the situation when it happened, otherwise they may say that you made an agreement with the perps insurance company and they cannot now help.

If they do, then I think you'll have to accept that you've lost the cost overrun. Not fair but probabaly legal. If thaat happens, don't assume that your insurance company are b....s, any of them would probably take the same line in a similar situation.
 
"although the final bill was 70% over the estimate"

I'm not surprised at ins.co's refusal to pay - 70% over seems an awful lot of underestimating !!!!
 
It is hard to make a call on this without knowing the details of the est, and agreement.
However, an explanation is needed as to why the bill was 70% greater than the given est.
If it were for extra labour etc, then you should have highlighted this to the paying insurer asap, and before work was finalised, brought it to their attention. On the other hand, if you were unaware prior to the completion of works of the extra charge, then I think the contractor has a lot to awnser for. Look this one up in the small claims court. Take the good advice from above, and contact the small claims court, im prety sure you can save yourself a lot of bother and expense this way, and applications are accepted online. I would be slow to "dramatise the claim" with yacht charters etc as the person was honest enough to come forward in the first place.
Best of luck with it, and i hope it works out. Also, please post the outcome as I am interested to know.......
 
[ QUOTE ]
Seconded absolutely. You are entitled to full restitution to "before accident" condition. The offending party is liable for ALL your costs. If you don't get anywhere, Small Claims is brilliant. Done three now and never had to go to court, all settled (including fees) beforehand.

Good Luck

Sparkie

[/ QUOTE ]

Sadly I'm in the middle of an RTA claim so I can definitely confirm - it isnt that simple! Costs have to be reasonable - you cant go out and get anybody to do the job and pay any bill however big.
 
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