When Churchill offered £4600 they also said she does not have to accept this. She said it's not enough, as she wanted £4900 to pay of the full remaining amount for the finance. They said they would re-evaluate the amount and let her know. Some 2 weeks later she called them to get a revised offer. They said they wont budge on the £4600, so she verbally accepted this. They then said no further action will be taken until she accepts the claim by returning the signed forms, along with licenses as I mentioned in the original post.
Does this make any difference. Without speaking to Churchill directly to ask, I'm not entirely sure a claim is even set until she signs these forms.
Regarding the courtesy car costs I've no idea how Churchill see this. I guess there is only one way to find out, but it would be nice for her to call them with her mind set, rather than finding things out and then suggesting the claim be cancelled.
Anyway thanks for all the replies. You have all been a great help.