My Car Was Written Off and I Only Just Bought It
You paid one price, the insurer offers another, and there is a gap. Here is why that happens and what can be done about it.
A write-off pays the vehicle’s value at the moment of the accident, not what you paid for it.
Cars lose value the moment you drive away, so a recent purchase price is often higher than the settlement. Your purchase invoice is still strong evidence of what the car was worth, and it is worth putting forward.
Why there is a gap
A dealer’s retail price includes their margin, warranty, preparation and overheads. An insurance valuation is closer to what it would cost you to buy the same vehicle again, privately or from a similar dealer.
Where a car was bought very recently, the gap should be small - and if the offer is well below what you just paid for the same vehicle, that is a strong argument, not a lost cause.
What helps close the gap
Your purchase invoice
Dated evidence of what the same vehicle sold for, very recently.
Comparable adverts
Live listings for the same model, year and mileage, screenshotted with the date.
Work done since
New tyres, a service, a cambelt - anything that added value after you bought it.
Low mileage
If you barely drove it, it is worth close to what you paid.
Offer well below what you paid?
Send us the offer and the invoice and we will tell you honestly whether it is worth challenging.
GAP insurance
GAP insurance exists for exactly this. It covers the difference between the insurance settlement and either what you paid or what you still owe on finance, depending on the policy.
If you bought it with the car, claim on it. If you did not, it is worth considering next time - particularly on a financed vehicle, where negative equity can leave you paying for a car you no longer have.
Do not accept an offer while you are still gathering evidence. Once accepted, a settlement is generally final. All your leverage sits before you agree, none of it afterwards.
Common questions
Not automatically. You are entitled to the vehicle’s value at the time of the accident. A very recent purchase price is strong evidence of that, but retail margin means it is not always identical.
The claim is for the vehicle’s value, not the finance balance. Negative equity is not usually recoverable, which is precisely what GAP insurance covers.
Yes, and it is one of the strongest things you can produce, especially if the purchase was within the last few months.
Yes. It is an opening position. Well-evidenced challenges frequently improve it.
Through the GAP provider, usually once the main settlement is agreed. Check the time limits in the policy, as some are short.
Terms and conditions apply to all services described on this page. Free recovery, storage and replacement vehicles are provided on the basis that the charges are recovered from the at-fault party’s insurer. We will explain the terms in plain English before anything is arranged.
Before we act for you we are required to verify your identity and to carry out fraud and anti-money laundering checks. This may include checks with credit reference and fraud prevention agencies, which will leave a record on your file.
Where fraud is suspected, information may be shared with fraud prevention agencies, insurers and law enforcement. Providing false or misleading information in support of a claim may mean your claim is refused, and can be a criminal offence.