If your insurer in New Zealand wants to write off your car, the key question is: Would the payout be enough to buy a comparable car in the current market, in the same condition yours was in before the accident?

You don't have to accept the first figure without checking how it was calculated. The insurer's offer should be assessed against your policy wording, the valuation method it uses, and evidence of what similar cars are actually selling for.

1. Check what the insurer is offering to pay

First, ask the insurer to confirm these details in writing:

• The pre-accident market value: What they believe your car was worth immediately before the damage.
• The valuation evidence: Which comparable cars, dealer listings or valuation services they used.
• The basis of settlement: Whether your policy pays market value or an agreed value.
• Any deductions: For example, your policy excess, outstanding finance or any other applicable adjustment.
• The salvage value: Whether the insurer is retaining the wreck or offering you the option of keeping it for a reduced payout.

Market value and agreed value are not necessarily the same. If your policy specifies an agreed value, check the wording carefully before comparing the offer with market listings.

2. Compare your car with similar cars for sale in NZ

This is usually the most useful way to check whether the valuation is realistic.

Look for at least 5 comparable vehicles on New Zealand websites such as:

• Trade Me Motors
• AutoTrader NZ
• Turners

Try to match the following:

Factor	What to compare
Make, model and year	The same model and generation
Odometer	Similar kilometres travelled
Specification	Same engine, trim, transmission and drivetrain
Condition	Similar pre-accident condition
Service history	Full service records, if yours had them
Extras	Factory options, valuable accessories or documented modifications

Keep screenshots of the listings, including the asking price, mileage and date. These are useful evidence if you challenge the offer.

Important: Asking prices aren't necessarily final sale prices, and dealer retail prices can be higher than a vehicle's assessed market value. Use several listings to build a credible range rather than relying on the most expensive example. Consumer NZ explains the distinction between market value and agreed value in its car insurance guide. Car insurance buying guideInsurance

3. Check whether the insurer's valuation misses anything

Ask for a copy of the assessor's report and any independent vehicle valuations.

Check for mistakes such as:

• The wrong model, year or specification.
• Incorrect odometer readings.
• An assumption that your car was in average or poor condition when it was well maintained.
• Missing service records, new tyres or recent significant maintenance.
• Valuable factory options or modifications being overlooked.
• Comparable vehicles that are older, have higher mileage or are a lower specification.

Keep receipts and service records. Evidence of a recent repair or replacement part won't necessarily increase your car's value dollar for dollar, but it may help establish its pre-accident condition.

New Zealand financial dispute resolution services consider valuation guides and other supporting evidence when assessing disagreements about vehicle values. Motor valuations and write-offsINSURANCE & FINANCIAL SERVICES OMBUDSMAN

4. Work out whether the net payout is fair

The headline offer isn't always the amount you'll receive.

For example, imagine the insurer offers $12,000, but comparable cars suggest yours was worth around $14,000–$15,000.

Illustrative example only

Insurer's valuation

$12,000

Comparable market evidence

$14,000–$15,000

Potential valuation gap

$2,000–$3,000

Any excess, salvage deduction or other adjustment would need to be considered separately, according to your policy.

That gap is a reason to ask questions, not proof the insurer is wrong. You need comparable evidence and the correct policy terms to establish a fair figure.

Also check whether the insurer is applying a policy limit or maximum sum insured. A sum insured is not necessarily the same as an agreed-value settlement. Car insuranceMarket value versus agreed value

5. What to do if the offer seems too low

I would take these steps before agreeing to the settlement:

1. Request the full valuation breakdown and ask how the insurer arrived at its figure.
2. Send your comparable listings and explain why they match your vehicle.
3. Ask for a reassessment if the valuation overlooks relevant details or relies on inappropriate comparisons.
4. Consider an independent vehicle valuation if there's still a meaningful difference. Ask the insurer first whether it will consider the report and who would pay for it.
5. Use the formal complaints process if the insurer won't resolve the dispute. Ask which independent dispute resolution scheme it belongs to. In New Zealand, the government's complaint guidance explains the escalation process. Complain about your financial services providerMaking a complaint about your financial service provider

You can also contact the Insurance & Financial Services Ombudsman Scheme or the relevant scheme for your insurer. These services provide independent help with eligible disputes.

Until you've reviewed the valuation and policy terms, avoid signing a settlement or transfer document that you're unsure about. Ask the insurer to explain any deadline and whether accepting the offer would fully settle your claim.

6. I can help you assess the actual offer

If you give me a few details, I can help you work out a reasonable NZ market-value range and identify whether the offer looks low.

Your car and insurance offer

The make, model, year, kilometres and actual offer are the most important starting points. With those details, we can compare your insurer's figure with relevant New Zealand market evidence rather than guessing.