A car owner who sought to increase his insurance payout from $78,000 to $200,000 has lost a claims dispute.

The man lodged a claim after his 2005 HSV Coupe GTO Z Series caught fire in March last year.

RACQ Insurance accepted the vehicle was a total loss and appointed an assessor who calculated its pre-accident market value to be $68,000.

The insurer offered to settle the claim, but the car owner did not accept the amount.

An independent car valuer was appointed and found the vehicle had been in “good condition for its age and kilometres travelled”, noting its odometer had been at 315,000km.

They said similar vehicles with lower mileage had been advertised for more than $81,000, but wrote the “high mileage would diminish [its] collectability”. The reviewer said the insurer’s offer was fair. 

But the complainant said RACQ Insurance did not adequately assess the vehicle. He said its initial valuation contained an error concerning the vehicle’s engine type and did not consider that the car was one of only 60 models with a manual transmission. He said the car was “in extremely good condition”. 

The insurer increased its offer to $78,000 to account for modifications made to the vehicle and its reconditioned engine, but the insured rejected this. 

The Australian Financial Complaints Authority says RACQ Insurance’s offer was appropriate and the evaluation of the independent valuer was “logical, well-considered and helpful”. 

The authority checked online car valuer Glass’s Guide and found the vehicle’s maximum valuation would have been $58,100 based on age, condition and mileage. It acknowledges the model was limited and sought after, but says there is not enough evidence it was worth $200,000.

“The complainant has not provided persuasive information to show his vehicle is worth more than the insurer’s offer. In these circumstances, it would not be fair to require the insurer to pay an increased settlement.”

Click here for the ruling.