Your car becomes a total loss if:
/ it has been stolen and is not found within 14 days after the theft is reported to us and we are satisfied that your claim is in order; or
/ it is uneconomical or unsafe to repair, including where the combined repair costs and salvage value are likely to be more than the agreed value covered by your policy.
When your car is a total loss, we will settle the claim in one of two ways:
1. Pay the Agreed Value
If we pay the agreed value, we are entitled to deduct from our settlement:
/ any excesses that may apply
/ any unpaid premium for the vehicle we write off, including the portion of any remaining fixed premium as well as any unpaid amount from your usage premium for kilometres driven
/ any outstanding Administration costs charged by our Agents
/ the value of any unexpired registration and CTP costs, and
/ any unrepaired damage to the vehicle that we have paid for under a previous claim on this policy.
2. New replacement car
We may replace your car with a new car if:
/ You are the first registered owner of your, and;
/ Your car is within the first 24 months of its registration, and;
/ Has less than 40,000 kilometres on the odometer
We will replace your car with a new car that we consider to be of the same make, model or series (subject to local availability), including similar accessories and options; and pay the applicable on road costs (transfer fees, stamp duty, dealer delivery costs, registration and Compulsory Third Party insurance) of the new car.
The replacement car must be locally available within 6 months of your car being declared a total loss, and if a replacement vehicle is not available, we may, as an alternative, pay the agreed value as stated on your insurance certificate.
After we’ve settled your total loss...
In all cases, we retain the damaged car. If we let you keep your damaged car, we will deduct its estimated salvage value from your total loss payout.
If your car is declared a total loss, your policy comes to an end and there is no refund of any portion of your policy costs for the policy period in which the loss occurred. If you owe us due to unpaid kilometre usage, we may either deduct that amount from your settlement or charge the amount to your nominated card account. We’ll continue to take any renewal payment that falls due while we assess your claim but if we decide your car is a total loss, we will refund the policy costs you have paid for any renewal since the period of insurance in which the loss occurred.
