Car insurance/ bank statements

[Reallyhow122]

Hi

My 18 year old had their car crashed into when they were at work. The company dealing with claim arranged for a courtesy car but after a few days a letter came asking for her bank statements , we emailed them after covering up details of the payments / receipts . Now emailed saying want details . Why is this ? Is that right ?

Ask them- seems very very strange to me

Ask them to justify why. Doesn't sound right at all.

I'd imagine the person who crashed in to them is saying they settled it outside of insurance.

Details of your regular payments or just your payments to them?

All payments and receipts in last 3 months

None are to the insurance company

Ask them why?

That’s very odd. Smells of a scam.

No, that isn't right. Who's actually asking for this - the car hire company or the insurer's/claim management? If it's the car hire company, they can ask for a bank statement as proof of address but the account number and all financial info can be redacted. I would phone the company and ask why they want this. I wouldn't reply to the email in case it is a scam.

Hi this is quite a normal procedure for hire/ accident management companies to ask for bank statements showing all transactions.
They will be claiming the costs for the hire from the third parties insurers and quite often have to prove that you are not in a financial position to pay for a hire vehicle yourself. I work as a claims handler so have seen this on a daily basis.

@jcoc147

Hi this is quite a normal procedure for hire/ accident management companies to ask for bank statements showing all transactions. They will be claiming the costs for the hire from the third parties insurers and quite often have to prove that you are not in a financial position to pay for a hire vehicle yourself. I work as a claims handler so have seen this on a daily basis.

Never had to do this when claiming a hire car due to an accident!

Thanks @jcoc147

When my car was totalled by a wagon and I was given a courtesy car I would have been bloody furious to be told to provide bank statements! I certainly wouldn’t have paid for one myself when they were at fault.

You need to understand the difference between a courtesy car and a credit hire car. They are different arrangements, and with a hire car you are at risk of having to pay if the at-fault insurer disputes the cost. A courtesy car is usually a small city car unless you paid an extra premium for an upgrade, regardless of what car you normally drive, and will be provided while your car is being repaired - it's often provided by the repairing garage. A hire car is usually a like-for-like replacement, provided by a specialist hire car company.

www.confused.com/car-insurance/guides/the-hidden-cost-of-hire-car-claims

Asking for that sort of financial details makes me think it's a hire car; since the company could end up chasing you for money they want to see you've got it.

@Reallyhow122

Hi

My 18 year old had their car crashed into when they were at work. The company dealing with claim arranged for a courtesy car but after a few days a letter came asking for her bank statements , we emailed them after covering up details of the payments / receipts . Now emailed saying want details . Why is this ? Is that right ?

Which company is dealing with the claim?

Your dc's own car insurance company, or someone else?

@jcoc147

Hi this is quite a normal procedure for hire/ accident management companies to ask for bank statements showing all transactions. They will be claiming the costs for the hire from the third parties insurers and quite often have to prove that you are not in a financial position to pay for a hire vehicle yourself. I work as a claims handler so have seen this on a daily basis.

What difference does it make whether the victim of the accident can afford to pay for a hire car or not?

@blacksax it's to do with mitigating your losses, I'm presuming the op has signed a credit hire agreement which across the board tend to charge extortionate rates for hire vehicles and then pass the cost to the third party insurers. With any claim you have an obligation to mitigate your losses. The third party are within their rights to ask if you were in a financial position to pay for a hire car and claim the cost back which would cost less if you hired a car privately compared to what a credit hire company charges. They will ask for the statements to dispute over the top hire charges. It should be explained in the credit hire agreement. I have never had a claim where a client has been asked to pay for the hire charges themselves other than if they have not adhered to the terms of a credit agreement.

Car insurance companies really will try everything possible to get out of paying claims, won't they? Despite charging huge premiums. I used to work for an insurance broker and it used to enrage me when underwriters would attempt to wriggle out of coughing up.