Page 30 - Claims Binders Mandates and Guidelines

8.2 The responsibility lies with the binder holder for ensuring that:
8.2.1 the salvage register is kept up to date and balanced
8.2.2 vehicles are disposed of in accordance with prescribed procedures
8.2.3 all salvage registers are sent to the Hollard Insure salvage manager at the end of every month.
NOTE: No staff may tender on salvage WHATSOEVER.
8.3
Motor Salvage
Hollard Insure is a signatory to the SAIA Code of Salvage Conduct and have as such established an in-house salvage management team to fulfil the following functions:
Upliftments – Advanced system development on the Audatex assessing platform has resulted in this team being notified immediately regarding a decision by the assessor to write the vehicle off. Pending the binder holder’s salvage dealer, the team will then immediately give instructions to uplift the vehicle. This is critical in controlling release fees. Binder holders will be notified of the upliftment instruction.
If the claim is rejected, salvage providers are entitled to all costs incurred (release fees paid on behalf of the binder holder, etc.) as well as the towing fee to their premises and back to the claimant in the event of a rejection or any other reason that led to the salvage dealer not keeping the salvage.
8.3.1 Settlement documentation and Registration Document Management – Binder holders are required to complete a template authorising Hollard Insure’s internal salvage team to request settlement and original registration documentation on behalf of the binder holder from the banks in the event that the vehicle is subject to a finance arrangement with a bank. The bank is to be paid before the original papers will be released.
Binder holders are requested not to settle claims where the vehicle is paid off or has been purchased for cash unless the claimant provides the original registration documents to the binder holder.
8.3.2 Stock in bond management – Management ensures that the turnaround time from the vehicle being written-off to sale or salvage money received, is limited to less than 40 (forty) days in order to minimise the loss of salvage income due to depreciation. Hollard Insure’s salvage team will work with your claims team in managing your Hollard Insure bonded vehicles.
8.3.3 Release fee negotiations – The Hollard Insure in-house team also provides a function where any release fee exceeding R2 700 (two thousand seven hundred rands) plus VAT must be referred to the team with a request to negotiate better release fees. If Hollard Insure is not successful, Hollard Insure may then opt to action a legal process aimed at obtaining an urgent interdict in order for the towing operator or repairer to release the vehicle. Once the interdict has been issued Hollard Insure will then uplift the vehicle and the court proceedings will determine if the release fee charged is fair. The cost of this legal process and the court determined release fee to be paid is payable from the claim.
8.3.4 Changes in codes – Any code change request received from salvage dealers must be channeled through the in-house Salvage team. Refer the code change to the Motor manager to review and update if in agreement with the salvage dealer or keep the same if not in agreement with the salvage dealer. The decision of the Motor manager is binding.
8.3.5 Buy backs – The current Hallmark contract does not allow any buy backs. The claim will be paid, and the claimant has to deal directly with Hallmark to buy the vehicle from them.
The current contract with SMD allows buy backs, however, these are subject to certain terms and conditions are noted below:
8.3.5.1 It only applies to code 2 (two) write-off vehicles.
8.3.5.2 This only applies to vehicles that are not subject to a finance agreement.
8.3.5.3 The buyback amount is equal to the amount that Hollard Insure would have received from the salvage dealer.
8.3.5.4 All buy back/retention requests must be referred to the Hollard Insure Salvage manager with a copy of the assessor’s report and photos.
Motor Claims Procedures
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Claims Binder Holders Mandates and Guidelines – V6: 2022