Our clients typically establish guidelines regarding the cost threshold for repairing a vehicle before deeming it a total loss. This threshold usually falls between 66% and 75% of the vehicle’s value, though it can vary significantly in certain situations.
Declaring a vehicle a total loss means it will not be repaired, and the owner will receive the pre-accident value of their car. However, some customers prefer to have their car repaired to avoid the hassle of finding a new one. Similarly, body shops prefer repairing vehicles as they gain little from a total write-off.
To address this, we offer a Total Loss Avoidance Scheme designed to reduce repair costs and keep vehicles on the road when it is safe to do so. We collaborate with manufacturers who have their own total loss avoidance schemes to lower the price of parts. When appropriate, we also consider using recycled or ‘green’ parts. Additionally, we work with repairers to offer discounts or stay within a set budget.
Benefits of the Total Loss Avoidance Scheme:
- Manufacturers: Gain through parts sales, potential future sales, and customer retention within the brand.
- Drivers: Avoid the inconvenience of replacing their car and dealing with GAP insurance claims.
- Bodyshops: Retain jobs, increase estimate conversion rates, and improve customer satisfaction.
- Insurers or Fleets: Benefit from an economical solution, increased policyholder satisfaction, and improved policy retention.
This program ensures a win-win situation for all parties involved, promoting customer satisfaction and cost-efficiency.
Like to be involved or know more – contact us here.