The FCA has completed its multi-firm review of firms’ claims handling processes for valuing vehicles which have been stolen or written off (‘total loss’ claims). The findings are split into six key areas and include examples of good practice and areas for improvement.
Good practice:
-
when valuing vehicles as part of total loss claims, some firms offered settlement values closely aligned to retail guide prices and all firms reviewed used trade valuation guides in line with the FOS approach;
-
most firms clearly explained their settlement offers to customers and set out how they determined the vehicles pre-accident market value and the excess being deducted;
-
when handling disputed valuations, the FCA was pleased that all of the firms reviewed allowed customers to provide additional information relevant to the vehicle’s value;
-
where customers also rejected a revaluation, most firms automatically treated such cases as a complaint;
-
most firms gave customers the chance to subs