by bobwms » Wed Jan 13, 2010 06:39 pm
Travelers refuses to make the claim check to me only. Their repair estimate was $1180.00. They sent a check for $680.00 after the $500 deductible. They said PA law requires them to put my name and either the lien holder or the repair shop on the check. I don't have the $500 deductible so I want to get the repairs done for the $680 or less.
I took the cleck to the lien holder (credit union) and they would not endorse it but wanted me to sign it over to them and they would hold the funds until I selected a repair shop. They would them send the shop a check.
The problem is that some shops don't want to wait for their money and want payment immediately once the work is done.
Am I not entitled to have the check issued in my name only?
Thanks
I took the cleck to the lien holder (credit union) and they would not endorse it but wanted me to sign it over to them and they would hold the funds until I selected a repair shop. They would them send the shop a check.
The problem is that some shops don't want to wait for their money and want payment immediately once the work is done.
Am I not entitled to have the check issued in my name only?
Thanks
Posted: Thu Jan 14, 2010 12:55 pm Post Subject:
Please understand that your carrier is obliged to pay the lien holder. In case a lien has been put on the settlement offer and your carrier forgets to compensate the lien holder, then they'd be penalized.
The problem is that some shops don't want to wait for their money and want payment immediately once the work is done.
I simply don't understand why the body shop would need to wait. You could set a payment time with the body shop and inform the lien holder regarding the same.
Also remember that if you're gonna get things repaired for anything less than $680, then your carrier probably won't compensate you again if you get the same auto parts damaged in the future.
Posted: Thu Jan 14, 2010 02:07 pm Post Subject:
they would hold the funds until I selected a repair shop. They would them send the shop a check.
I highlighted the part of your post that makes this a non issue. You tell the bank where you are going to have it repaired. The shop receives the check and you then take your vehicle into the shop and have the repairs done. Of course this means you need to then pay the $500 to get your vehicle but I suspect that this is the real issue... that you cannot have your vehicle repaired until you have the $500. This is why your lien holder needs to be protected (and is, by law)... so that they (as the owner) can make sure that they property is kept in good working order until you are done paying for it.The problem is that some shops don't want to wait for their money and want payment immediately once the work is done.
Am I not entitled to have the check issued in my name only?
Nope. not until you own the vehicle.Posted: Fri Jan 15, 2010 12:48 am Post Subject:
Travelers refuses to make the claim check to me only.
Well yeah, they refuse..you don't own the car..Am I not entitled to have the check issued in my name only?
Nope, and for the very reason you elude to..you don't have the deductible so you likely won't fix it, and may just use the money for something else...Let me explain one reason they have to do this..'if' your vehicle were repossed, and the damage was still on the vehicle, (not repaired) and your lein holder had not been protected...the lein holder can make the ins. company pay that claim (to them) again...course then your carrier comes to you for payment...but you just had your car re-popped, so chances of them getting their money back...slim to none..
The carrier also told you they'd put you and the shop on the draft...pick a shop...don't have all the work done (if possible) some shops will finance deductibles etc...
There is a way to do this......"if" you really wanted your vehicle fixed...if not...tell your leinholder you want to apply that amount to your note...
Posted: Fri Jan 15, 2010 03:01 am Post Subject:
i'm sorry to get off on a rant here, but this hit a nerve.
I simply don't understand why the body shop would need to wait. You could set a payment time with the body shop and inform the lien holder regarding the same.
Customers may have every intention of paying the bodyshop what they owe them if they'll simply let them take the vehicle, but once it leaves the shop, the shop loses the possessory lein that they are entitled to for payment to protect the investment of their labor and parts. I am currently waiting now 14 months for a deductible from a customer who had every intention to pay the bill, but then came christmas, then they had to pay some credit cards off, then summer came and they needed vacation money. Fall rolled around the engine blew in the Jeep liberty, so why would they feel a need to pay me if they couldn't drive the thing. Well now the engine is fixed and of course it's christmas again, and there's shopping to do and you gotta set aside some money for credit cards again.
If you let vehicles go, this is what often happens. Even though I have a contract that allows me to charge attorney's fees, court costs and expenses to recover the money, I've been nice and offered to allow them to pay a small amount over 6 months each month so I do not have to have them served at work with a sheriff'f subpoena to appear in court to anwser to a judge as to why they have not paid the deductible and embarrass them in front of their co-workers and I've recieve one payment 3 months ago.
So after sending the vehicle owner another copy of the promissory note, and the subsequent letter to allow them to slide a while longer, I don't even get a phone call or letter to inform me of their intent. So guess what, I get to be the bad guy because I was a compassionate fool. You don't loan money to friends and relatives or allow cars to leave the shop without payment if you ever want to see your money, more oten than not in these times especially.
From insurers we get a lot of "oh that payments been issued directly to you, please let them have their car" If supplements or payments have been approved, there is no reason why a check cannot be mailed overnite so rental cars can be returned and storage charges won't be applied to vehicle owners who have been notified in advance that possibly delaying picking up their vehicle could result in storage charges to them. Don't authorize work you can not pay for or have no intention of paying for.
Lien holders have a tendencey to lose checks or deposit the checks and re-issue payment at their leisure. If you do not have the funds to properly fix your car, you could elect to fix only those things that require it to be safe and legal to drive and fix the remaining items as you collect or save for them. Nothing in an insurance policy that I am aware of, states that they will not indemnify you for your loss unless you fix all of the damage.
The uniform commercial code of every state (located in your state statutes) requires that insurers protect leinholders and their financed property and that is why they are named on a check if you do not select a body shop to be paid direct. The bodyshop has no contract with the lein holder and only recieves the insurance funds for the work performed in contract with the vehicle owner unless they have separate agreements with insurers. Most shops are struggling to make ends meet just like everyone else in these economic times and they are not banks. They deserve payment for their services just like anyone else that collects a check for services rendered or employment at the end of the pay period.
Posted: Fri Jan 15, 2010 11:45 am Post Subject:
Not a rant at all Mike..and I couldn't agree more. I've even had insured's call me and try to get me to 'do something' because the shop won't let the car go until their deductible is paid..I quickly point out they were told this in the beginning ("your deductible is due when the repair is completed, you pay that directly to the shop")..And that I won't 'do anything' other than back up the shop...and yes, by the way...your rental car stops 24 hrs after that repair is complete...it's crazy to expect any different.
As to carriers paying etc.. I know I might be the exception, but I've never stiffed a shop in my life...and don't know a shop within a 50 mile radius of me in any direction that wouldn't let a vehicle go on my word...but I also know that all adjusters cannot be trusted..(i worked in a shop too remember :wink: ). In fact..I'm the only one I know of that works for the company I work for that has that type of trust...but again that's 23 years of reputation and mutual respect too..
Posted: Fri Jan 15, 2010 01:42 pm Post Subject:
While we are Ranting about things that strike a Nerve...
I have one: Deductibles
Remember I do not claim in any way shape or form to be an expert at anything. And that includes Laws, Rules, Regulation, etc.
My personal (logical ??) opinion is:
.
.
What isn't a "Deductible"??
For starters, its not something Paid. Its something Deducted, that is why its called a Deductible.
What is a "Deductible"?
Its an pre-arranged agreement that an Insurance consumer and an Insurance company enter into.
Its an Option that is offered by an insurer to their insured.
If you the insured will allow us the insurer to "Deduct" $ xxx.xx from the Value of your Loss Claim we the insurer in return will offer you the insured an discounted price for your insurance coverage.[ Its that simple ].
A Deductible is an insurance term, and has nothing to do with the repair side of a claim . The repair agreement is between the owner of the automobile and the Repairer. It does not involve the insurance company. We are not Claims Handlers, we are Repair Professionals.
A repair estimate should be based on what the owner of the automobile wishes to have repaired along with the method & quality the owner of the automobile wishes to pay for Regardless if the repair is being paid out of pocket by the owner of the automobile or if the owner of the automobile is being fully, partly, or over reimburse for the cost of the repairs requested by the owner. Be it by Grandma, Grandpa, Mom, Dad, Uncle (insert name) the Tooth Fairy, or an Insurance Co..
If the Repair Shop's Policy is...
No Repair will be released until the final Bill is Paid In Full ... well that's what it means...
Regardless of who is paying the bill, or who is fully, partly, or over reimbursing the consumer for the Cost or Repairs that were requested of the shop by the owner of the automobile.
Its that simple.
Posted: Mon Jan 25, 2010 08:10 am Post Subject:
No, you are not entitled to the check unless you are the owner of the vehicle. It is understandable here that your insurance carrier is obliged to the lien. As for the payment, you can arrange a date with the repair shop and inform the lien holder of the same and the matter would be settled. Moreover, you need to pay your deductibles before you get the vehicle repaired.
Posted: Mon Jan 25, 2010 12:50 pm Post Subject:
Moreover, you need to pay your deductibles before you get the vehicle repaired.
WRONG..Your deductible is deducted from the payment and is due when the repairs have completed (in all instances I've seen)...You do not pay it before the repair to anyoneAdd your comment