2006-11-15 06:29:37 · 3 answers · asked by Helen 4 in Business & Finance ➔ Insurance
This question could have more than one answer. It depends on what your asking. In addition to the answers given above, it could also be when a certain peril is excluded from coverage under your policy, but you have the option to "buy" the coverage back by paying additional premium to have said peril covered. This could also be referred to as an endorsement.
2006-11-15 07:11:51 · answer #1 · answered by bmwrobb 1 · 1⤊ 0⤋
When a claimant's car is totaled they can take a reduced claim payment from the insurance company if they want to keep and use the car, it's called a buy-back. We saw a lot of this after a hail storm hit our town.
If you don't take the buy-back option the insurance carrier takes and salvages the car and you get the Actual Cash Value of the car.
2006-11-15 06:44:39 · answer #2 · answered by Matt1331 2 · 0⤊ 0⤋
Think... it's when your car has been written off and you make a claim your insurance company then owns your car. You then have the option of buying the car back to repair it. I did this with an old volvo that I scraped the side of. It wasn't viable for the insurance company to pay for repairs so they wrote it off and paid me what I had it insured for £1000,I bought it from them for about £200,got it repaired for £200 and pocketed the rest. All legal and above board. Hope that helps
2006-11-15 06:44:09 · answer #3 · answered by Anonymous · 1⤊ 0⤋