[Bigbluedot]

extract from a car insurance policy the following:-

"Loss or damage

We will insure you against accidental loss of or damage to the vehicle, arising anywhere in the geographical
area set out in this policy document, ......
 
We will decide whether to pay a cash amount to cover the loss or damage, or to repair or replace the
vehicle or any part of it (including its accessories and spare parts).
The most we will pay is the value of the lost or damaged parts and the reasonable cost of fitting those parts,
based on the market value of the vehicle at the time of the loss or damage, up to the estimated market
value shown in the schedule.   "

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that means the insurance company can just pay cash and don't repair if your car is near to the ten years COE life span.
Those who want to re-new COE for their cars need to fork out money to do the repair.