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Motor Claims Procedures
8.3.4 Release fee negotiations – The Hollard in-house team also provides a function where any release fee exceeding R2 700 (two thousand seven hundred rand) plus VAT must be referred to the team with a request to negotiate better release fees. If Hollard is not successful, Hollard 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 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.
8.3.6 Changes in codes – Any code change request received from salvage dealers must be channelled through the in-house Salvage team. The team will then appoint an independent assessor to validate the change. The decision of this independent assessor is binding.
8.3.7 Buy backs – The current Hallmark contract does not allow any buy backs. The claim will be paid and the client 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 as noted below:
8.3.7.1 It only applies to code 2 (two) write-off vehicles.
8.3.7.2 The SAIA code of conduct requires the vehicle to be first registered in Hollard's name before the client can register the vehicle back into his name. This is an administration requirement to ensure that prospective new buyers have full transparency in respect of the ownership of the vehicle and in this case note that the vehicle was damaged to the extent of it being written-off.
8.3.7.3 The buyback amount is equal to the amount that Hollard would have received from the salvage dealer.
8.3.8 Refunds, keys and outstanding licence fees – In some cases the proceeds of the salvage sale may exceed the insured value. Hollard cannot make a profit on a claim and this should be monitored at claims level.
The availability of keys on all vehicles sold on auction is critical in maximising salvage returns. Claims handling functions are therefore mandated to incur courier expenses in the event that keys are available but not in the possession of the salvage dealers. In some cases the keys are not available and the in-house team are then mandated to cut a new set to be supplied to the salvage dealer. The cost of this new set is payable from the claim.
It is a legal requirement that all vehicles to be sold are dealer stocked in Hollard’s name. Unfortunately with outstanding licence fees the authorities will not process the transaction. The client would need to pay the fees up to date prior to settlement of the claim to enable Hollard to request dealerstocking.
The in-house Salvage Management team can be contacted on upliftments@hollard.co.za for all upliftments and settlement requests, or stockinbond@hollard.co.za for all stock-in-bond related matters.
9. STOLEN/HIJACKED VEHICLE
9.1 As soon as you are notified of a stolen/hijacked vehicle claim and have received all the relevant documents:
9.1.1 appoint an investigator to determine the merits – irrespective of the quantum.
9.1.2 if the claim is over mandate, before the excesses are deducted, please refer the entire file to Hollard for authorisation.
9.1.3 if all is in order, proceed to settle the claim.
9.1.4 send the original deregistration certificate and keys to Hollard for dealer stocking.
9.2 As soon as you are notified of a stolen/hijacked vehicle claim: Process with the Stolen Vehicle Recovery Department.
All stolen/hijacked vehicles (including mandated claims) must be reported within 2 (TWO) days after first notification of loss.
Full Binder Claims Mandates and Guidelines – V3: 2019 Page | 31