Mutual & Federal
Scrapping of vehicle instead of repairng

I am insured with Mutual and Federal. My daughter as regular driver had an accident with her Citi Golf (2008 Citi Golf Tenaciti) on 29 September 2013. Claim No 121665405.
Damage according to quote from reputable panel beater (Dent Doctor - Midrand) is R32800.
Value according to M&F is only R35700 (Although the latest insured value on my policy over R37000)
M&F want to scrap the vehicle and pay only R31950 (35700-3750 excess) towards settling the outstanding finance cost on the car (Financed through MFC, outstanding balance R36300). This will mean that I will have to pay the difference of R4435 to MFC.
M&F will then sell the "SALVAGE" for between R15000 and R20000, bringing their net cost to R16950 (roughly)
To replace this car with the same model with even higher Km will cost me now at least R55000 (Auto Trader. Even much older models are still selling for R50000.
I will be R20000 worse of while M&F will be R15000 plus better of.
I am prepared to alleviate M&F from any further obligation to so called "unforeseen damages from the panel beaters, should they repair the car and costs to exceed the quote of R32800.
My request is thus that M&F allow the repair of this vehicle.

Company: Mutual & Federal
Country: South Africa
City: Johannesburg

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