by lakemen » Fri Sep 28, 2012 10:25 am
If you are not satisfied with how the insurance company is determining your car to be totaled, you need not panic. There is definitely a recourse from this.
When is a car considered totaled?
When your car gets involved in an accident that may or may not be your fault, it can be termed totaled if:
In such a case insurance companies usually offer to pay you the actual cash value (ACV) after subtracting any deductibles that you have.
Some companies total cars at 51% of its actual worth while there are others who total a car at 80%.
- The cost of repairing the damage is more than the value of the car
- The car cannot be repaired after the damage incurred from an accident
In such a case insurance companies usually offer to pay you the actual cash value (ACV) after subtracting any deductibles that you have.
Some companies total cars at 51% of its actual worth while there are others who total a car at 80%.
Can you have your totaled car back and get it repaired?
The answer to this could be both 'yes' and 'no'. While buying insurance you sign a contract with your insurer that you cannot compel them to pay you more than what your car is worth. However, you can request your insurance company to give you back your car. They will still pay you for the car and in this case you will get the ACV of the car minus the deductibles and salvage value they would have got at the yard. What you can do on your part is that check out with different repair shops about the actual cash value of your car. This way you can make a comparison and see if the car insurance company is being fair in determining the ACV of your car.
If you want to buy back a totaled car, it is your responsibility to get it repaired. This may not always be a wise decision to make because the cost of repairing a car can be huge and the money you receive from the insurance company for your damaged car may not be sufficient. Some states may require you to buy a special salvage title or may simply want you to have an inspection done on your totaled car after repairs. Some companies may even refuse to let you have the car because it will fetch them handsomely at the yard.
So, if you want to have your car back you must take a quick decision and ask the company to return the car to you. Once the car goes off to them you may have a hard time recovering it.
If you want to buy back a totaled car, it is your responsibility to get it repaired. This may not always be a wise decision to make because the cost of repairing a car can be huge and the money you receive from the insurance company for your damaged car may not be sufficient. Some states may require you to buy a special salvage title or may simply want you to have an inspection done on your totaled car after repairs. Some companies may even refuse to let you have the car because it will fetch them handsomely at the yard.
So, if you want to have your car back you must take a quick decision and ask the company to return the car to you. Once the car goes off to them you may have a hard time recovering it.
Can you insure your totaled car after repairs?
Mostly insurance companies do not seem eager to insure a totaled car that has been fixed. But some insurers do agree to have your car insured for a high price only after the repair has been done and the car is back on the road and has passed the DMV inspection.
What if the insurance adjuster wrongly values your car?
In many cases you may feel that the adjuster has put the wrong totaled car value on your vehicle. In this case you may hire an independent appraiser and get him/her to do an inspection of your car. The costs of hiring must be borne by you. Ask the appraiser to get you everything in writing and you can place that in front of your insurance company.
If you disagree with what the insurance company determines as the value of your car, you may seek from amongst the 2 options:
In arbitration you and your insurance company can place the facts in front of a third-party arbiter. If it is a binding arbiter then the decision of the arbiter will be final. If not then you can still take your insurance company to court.
If you disagree with what the insurance company determines as the value of your car, you may seek from amongst the 2 options:
- Arbitration
- Litigation
In arbitration you and your insurance company can place the facts in front of a third-party arbiter. If it is a binding arbiter then the decision of the arbiter will be final. If not then you can still take your insurance company to court.
Related readings
- When is a car totaled?
- Totaled by hail damage
- Can I make insurance company declare my car totaled?
- How much is the totaled car worth?
- Determine the value of a totaled car
- Car rear ended and totaled
- Totaled car buy back
Hi I have a very unique case. I own a very unique car and I am very attached to the car. It is not replaceable, otherwise I love to start refresh.
Damage is actually not bad, but due to cost of parts for exotic cars. The insurance adjuster declared the car total loss due $44k estimated repair bill. I believe they have overestimated the bill. The repair quote I got from other shops are nearly 50% of that. Their argument is that they have to use all brand new oem parts. I have AAA insurance.
Can't I demand using quality refurbished used parts? I thought by law I am allowed to select any repair shop of my choice. How can they declare the car total loss if they have not even look over the estimate from my repair shop.
Damage is actually not bad, but due to cost of parts for exotic cars. The insurance adjuster declared the car total loss due $44k estimated repair bill. I believe they have overestimated the bill. The repair quote I got from other shops are nearly 50% of that. Their argument is that they have to use all brand new oem parts. I have AAA insurance.
Can't I demand using quality refurbished used parts? I thought by law I am allowed to select any repair shop of my choice. How can they declare the car total loss if they have not even look over the estimate from my repair shop.
Posted: Thu Jan 26, 2012 07:55 pm Post Subject:
I simply refuse their offer, thus negating their ability to total the car and avoiding salvage issues
If a lien holder is not involved, you don't need to give up your vehicle... but the insurance company will then deduct the salvage value from their offer. You can't force the insurance company to pay the (higher) repair cost by refusing.I know for fact my car can be fixed for far less than their estimate and it drives well.
So the insurance company wants to pay more then what they could otherwise pay? Odd... usually people complain the insurance company pays too little.isn't it true I have to agree to that?
What the insurance company is really saying is they are going to pay up to the vehicle's value, not the repair cost. You don't need to agree with this... it's how your policy is written.At this point, I refuse to sign over my title to them or give them my auto and don't I have that right?
Yes, if you don't have a lien holder. If you don't, have them pay you less the salvage value. However, they may be required to report to the state that the vehicle is now a total loss. The state may then change the title to a salvage title.Posted: Sat Jun 02, 2012 12:19 am Post Subject: undervaluing my vehicle
Adjustor from Allstate gave me a figure that's at least $1500 too low (and less than we owe on a car we bought 8 months ago). I asked him to please let me know where I could buy those cars because I wanted to hurry up and get over there before they flew off the lot. His response was that Auto Source doesn't necessarily use actual cars to base the amount on, but calls to some of their used car dealers and bases the amount on that. That's BS.
It's being forwarded to a total loss specialist who is supposed to get back to me in 3 days. What is your advice when dealing with him?
The car was in superb condition, low miles, but older. If I could get it fixed, I would, but their insured really did a number on the back end.
Currently, the car is stored in my driveway. They offered to pick it up, and I declined. We have tried to cost them the least amount of money possible (delayed rental, our towing policy back to our house, etc), but feel completely ripped-off with the appraisal amount.
Posted: Thu Jul 12, 2012 07:37 pm Post Subject: totaled 2000 camray
I was rear ended, do not have collision and the OD carrier progressive is totalling my car. I need the car to get to school what can I do?
Posted: Thu Jul 12, 2012 07:48 pm Post Subject:
Take the money and buy another car or take the money less the salvage vale (if no lien). I don't see any issue.
Posted: Sat Sep 29, 2012 02:46 pm Post Subject:
I was rear ended, do not have collision
Doesn't matter. The collision is not likely to have been your fault. That's obvious because the other party's insurance company has agreed to pay your loss.
I need the car to get to school what can I do?
How would you get to school if you never had a car? Walk, ride a bike, rollerskates or skateboard, hitch-hike, take a taxi or a bus, or ?
All of those same methods of transportation are still available to you.
You are entitled to the Actual Cash Value of your vehicle prior to the loss, which is Replacement Cost minus Depreciation. If the insurance company is going to pay you for your loss, and the amount is reasonable, what more do you want?
Posted: Tue Oct 09, 2012 09:09 pm Post Subject: total loss settlement claim
Hi the other drivers insurance offered me half the the
Total value. At first I wasnr ready to settle. until now.
When I contacted the insurance Co they said that the case was closed. I'm not sure what my next step is?
Posted: Tue Oct 09, 2012 10:33 pm Post Subject:
What do you mean "the case was closed"? They have to give you a written explanation of your claim and how they propose to settle it or on what basis they are denying your claim.
"The case was closed" makes no sense. Please provide more facts.
On what basis did you determine the other party's insurance company was offering "half the total value"? Please provide more facts.
Posted: Sun Oct 14, 2012 06:30 am Post Subject: Total loss
Hi,
My car is been declared as total loss after accident which was not at my fault. (California). Insurance company is playing low ball and i wan to close this negotiation by saying - Fix my car as i insured for it and give me market value loss which is AVC - Salvage value as i lost this value because of other party fault.
Posted: Sun Oct 14, 2012 03:06 pm Post Subject:
Fix my car as i insured for it and give me market value loss which is AVC - Salvage value as i lost this value because of other party fault.
Sorry, but this is not Burger King, and you cannot have it your way. If the vehicle is a total loss, then you can only dispute the ACV of the vehicle. What is the source of their value of your vehicle?
Posted: Thu Nov 29, 2012 08:30 am Post Subject: AAA totals my work Van
"you need not panic?" BS. AAA totals my work van rear ended and they offer me a salvage title and so little money that I could never replace what they are stealing. I don't care if the Damage is more than the vehicles worth. There faulty driver ruined my Van and ability to do my business and work properly. And they think they can steal that from people ? that is a crime they are making money from . This is a 5 year old vehicle in perfect shape with a crushed rear door and bent bumper.... totaled. I'm suppose to take their crappie 7 grand and find something of equal value?? where on the moon? AAA thieves....criminals................
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