I am about to renew my insurance policy with Morgan Insurance Consultants and see that there is an option that I have not currently selected.

It states "Morgan Scheme Retained Salvage: - NO"

It then tries to describe this as..

"If this option is taken up no salvage value is deducted from a total loss settlement following an accident fire or theft, if the policy holder wishes to retain the vehicle."

What does this really mean..

It sounds to me like as it stands, if you took your car back as a write off, the value would be deducted from the cash payout.
So Car + Payout = Agreed Value (Or market value).

If you tick the box you get the car and a full settlement.
I don't imagine that comes cheap, but worth asking.

i am sure your Insurance underwriters would be the best people to explain this; however i am of a similar opinion as DaveW, except, in days gone bye, insurance companies made Contracts with Salvage Companies, where as the Salvage Company would pay the Insurance Company say 5% of pay out disregarding the condition of the vehicle, therefore if the car was fire damgaged to a cinder, the salvage Company lost out, if it was uneconomical repair but the insurance would lean on the salvage side giving the Salvage Company a good peace of kit to resell, my thoughts are that the insurance would prefer to leave the Salvage with you as it is a costly experience to drag the car away from you and store it whilst you negotiate your settlement.

As I understand it, if you have a write-off claim without Retained Salvage, the insurance company will pay you what it thinks your car is worth, and will keep the remains to dispose of as it wishes. Retained Salvage gives you the option of keeping the car, obviously with a reduced payout. It depends on how much you place on sentimental value (i.e if you simply must have your treasure rebuilt no matter what the cost) whether you take up this option. Or, possibly, if you are a competent DIYer and want to fix it yourself, thereby making a commercially uneconomic repair into an economic one, it would be right for you.

I didn't have Retained Salvage when my Roadster was written off. I was offered the market value. In the end I bought back the salvage, so the payout was reduced accordingly. I used the salvage as part exchange for a new Roadster ( which I still haven't got )
Ian

Many of you know and were very supportive three years ago when my garage and much-loved '64 +4 were destroyed by fire. We were pretty wrecked personally by the whole experience but one thing which made a huge help was the attitude of both our hone and car insurers. In that case, we did have an agreed salvage value which was paid out with minimal fuss very promptly. I could have "bought back" the debris for £3k but did have the heart to start all over again as the only re-usable bits were four knock-on wheel spinners, so in the end they and the original registration number adorn our replacement +8
Only downside is with hindsight, I had grossly under-valued the +4, pricing it at what I had paid originally (£10k)plus value of parts etc (another £10k over ten years. I dare say I could have argued for another £5k onto a current market value, but doubt if I could have coped with the ensuing debate ...
As the +8 is (slightly) more modern and replaceable, I have not gone for Agreed Value option now

Thanks all, a lot clearer now.

Now my house insurance states ......