Can you keep a totaled car?

Submitted by Anonymous (not verified) on Thu, 09/06/2007 - 06:18

When your car is beyond repair because of an accident or costs more than the Actual Cash Value (ACV) of the car, it is considered totaled. When a car is totaled, only the salvage value of the metal is considered when determining the value of the car.

How is a car determined to be totaled?

Whether a car is totaled or not can be defined by keeping in mind these 2 different perspectives:
  1. The Individual's point of view: For an individual a car is totaled if the damage is beyond repair or if the owner cannot afford to get the car repaired. This usually occurs when the owner has only the minimum amount of insurance.
  2. Insurance point of view: A car is 'totaled' if the cost of repairing the car exceeds the cost of replacing it. Insurance companies consider only a percentage of the current worth of the car, and it is important that individuals are aware of the percentage their insurance companies will consider. Normally the percentage insurance companies deem the car totaled ranges from 51% to 80% of its current market value.

Settlement procedure for a totaled car

An insurance adjuster inspects and photographs the damaged vehicle to determine the degree of damage and the cost of repairs compared with the value of the car in its current state.

If the cost to repair the car exceeds the percentage fixed by the company, it will make a settlement rather than get it repaired. This settlement will take into consideration a few other factors like:
  • The make of the car.
  • The model.
  • The condition of the car and the mileage it has.
If the cost to repair the car exceeds a certain percentage fixed by the company, it will make a settlement rather than get it repaired. This settlement again will take into consideration few other factors like:
  • Make of the car
  • Model
  • Condition of the car and the mileage it offers
  • Comparison with other similar vehicles in the same area
Essentially, the insurer is looking at the Blue Book value of your car. The settlement may include sales tax, title, and registration fees of the car if your state law requires it to.

How to keep your totaled car

Even if your car has been deemed 'totaled' you might want to keep it. In this case you have to convince the insurance company to let you keep the car. However, you can try one or few of the following tips to be able to keep a totaled car:
  • Talk to your insurance claim adjuster and fight for your car. Remind the agent that you are the one paying the premium and that you have the right to change insurance companies.
  • Document all maintenance performed on your car. This will help you decide whether or not you should accept a particular settlement offer.
  • Insurance companies offer their own choice of repair shops. Use your own discretion. However, do your own research and also on the repair shop suggested by the insurance company.
  • If you wish to retain your totaled car, the adjuster will deduct the salvage value while determining the final settlement offer. You may try negotiating with your adjuster to settle for a lower salvage value of your car.
  • If you want to know the ACV of your car, don't depend on your insurance company. Get a second opinion, and do your own research online or at your local library.

Related readings

Hi all, I am in a trouble. I was in an accident some days back. Although, none was hurt but it has caused a great damage to my car. I had approached to my insurance company and filed a claim. Now my insurance company wants to ‘write off' the vehicle. My question to the community is- when is a car considered totalled ? What are my chances if I want to retain my vehicle? Will the insurer compensate me under such circumstances?

Carclaims

Posted: 06 Sep 2007 06:40 Post Subject: totaled car buy back - when is a car considered totalled?

Hi carclaims, why you want to retain the damaged car? I know an emotional bonding is always attached to them but you also need to consider the cost associated with mending a damaged car. If the insurance company feels that it is damaged beyond repair then you also better take the amount they are offering and settle for a new car. There are lots of new models of cars available in the market :wink:

Posted: 06 Sep 2007 07:44 Post Subject: Thumb-rule of a totaled car

Well carclaim, it's quite natural for you to face the dilemma (here I will second what Carla had said about emotional attachments) but the Vehicle insurance company definitely has some logic behind declaring your car ‘totaled' (the insurance companies apply their own wits and theories about it). However, here is the ‘thumb rule'- the insurer may decide to ‘write off' your car if the cost of repairing exceeds the market value of the vehicle. In that case, they will only pay off the book_value of the car.

Now it may so happen that you feel that they are paying less than the value of your car. In such scenario, my dear friend, the ball will roll into your court. You are then required to prove that the car was worth more than the compensation amount at the time of the loss. And to prove it you may require to furnish evidences like- the car's mileage record, a declaration form the mechanic stating the car's value etc.

Hope this information will help you.

Juanita

Posted: 06 Sep 2007 09:11 Post Subject: Reconsider your decision about keeping your car

If you want to retain your car, inform that immediately to your insurer. Because, the chances of getting the car back normally reduces once the car enters the salvage yard. When your car gets ‘totaled' the insurance company will issue you a check that will leave you more or less to the same financial condition before the accident occurred. Then they will send the car to the salvage yard and will get it auctioned for its parts.

Now coming to your question (I am assuming that you have reasoned yourself enough before deciding upon keeping your car), you can keep it if the insurer allows you to do that. However, even if they let you keep the car they are still obliged to pay you the compensation minus their earning from the auction.

But in such scenario, you have to bear the extra amount required for getting it repaired. And, that's not all' you are also required to satisfy the specifications forwarded by the state motor vehicles regulation authority before bringing the repaired car back on road.

Regards, Fatman

Posted: 06 Sep 2007 04:36 Post Subject: totaled car buy back - when is a car considered totalled?

fatman is right. We had a car that my son totaled and I decided to "keep" the car-why, I don't know!

Well, the way they do it here is, they (the insurance co) has a yard they have it moved to until it is decided if it can be fixed, or totaled out. They decided my cars damage exceeded the book value of my car, and had it deemed totaled.

I asked if I could keep the car, and was told, they will pay me a check, but I couldn't keep the car too. They did auction it off.

After carefull consideration, and advice from my husband, the car sustained too much damage, was an older car, and I would be throwing good money after bad

Good Luck to you!..Karen

Posted: 07 Sep 2007 02:06 Post Subject: totaled car buy back - when is a car considered totalled?

OP, and insurance companies obligation is to pay for your loss. So technically, if you had a vehicle with $1 of damage, they could declare it a total loss and pay you it's value less your deductible. That won't ever happen as it would cost them much more money and it would really upset a lot of insureds. I'll explain one more problem with this but let me point something else out. Many states require an insurance company to obtain a salvage title on a vehicle if the carrier would be paying around 80% of it's value in repairs. If a salvage title is required, the insurance company will consider it a total loss. As this is a good number, most insurance companies will use this as the threshold even if the state does not require it (as with this much damage there is bound to be additional damages found which would make the repair cost more then it's value). This is "when" an insurance company can declare a vehicle a total loss. Now to back up a little... there is another problem with declaring a vehicle a total loss when it has minimal damage. The owner of a vehicle can _always_ retain it. Many adjusters will tell you that you cannot but you can. It's your property so no one can force you to give it up and the loss can be settled without the insurance company obtaining the vehicle. Now here is the important part... you almost never want to do this. I can't get into all the reason why but I'll mention a couple. As mentioned above, the insurance company will then pay you the total loss settlement but less the vehicles salvage value. In most cases this won't work in your favor. I'll give an example: you have a $1500 vehicle with $1000 in damage and a $500 deductible. So the amount payable on a total loss is $1000 (value less ded.). Also, the salvage is $300. So if you retain the vehicle your only going to be paid $700. This does not work if you would need to have more then $700 in repairs made just to be able to use the vehicle. You might as well go out and buy a better vehicle and pay a little out of your pocket for it. I know keeping the vehicle may still sound like a good idea but here is the 2nd kicker... many insurance companies will also report the vehicle being a total loss to the state where it is titled (they are probably required to do this but some adjusters don't as it just means more work). If the state gets a report of the vehicle being a total loss, the DMV won't allow you to obtain tags unless you jump through a million hoops and give them your 1st born child. Again, very rarely is it to your advantage to keep the vehicle.

There is one situation where I will say it might be better... if the vehicle was a POS (piece of sh*t) to start with a something like a dented fender caused it to be a total loss. In this case it's worth more to the owner as a driveable vehicle then it's actual value.

There are a few other situations that can happen (Contract for Repair, etc) but I won't get into those as this post would be even longer. :)

Posted: 07 Sep 2007 05:20 Post Subject: totaled car buy back - when is a car considered totalled?

Hi carclaims,

First off- TCope, that was a great response.

Carclaims- I agree with other posters that you must have your reason for wanting to keep the car. Whatever, it's your car. I also agree that if you want it back, you better get on it. Once the wrecking yard gets ahold of it or it's parted out, your options are pretty much gone (unless you go and buy the parted-out car back yourself).

So...most insurers allow insureds to buy totaled cars quite willingly. That lessens the process for them, they don't have to devote the man-hours associated with processing the salvage, etc. They will either:

Deduct the cost of the value of the salvage from the final settlement you're offered, or
Settle in full initially, and then sell you back the salvage as a separate transaction.

In either case, you're stuck with a salvaged title, can never get an original title again, and won't (most likely) ever be able to sell it. So, my theory is that you want the parts. That can often be worth more than the total value of the car, depending on the car.

Good luck.

InsTeacher 8)

Posted: 10 Sep 2007 11:24 Post Subject: RETAINING TOTALED VEHICLES

HELLO !

Every time I total a vehicle, one of the first things I tell an owner is you will have to make the decision if you want to retain the salvage or if you want us (insurance company) to obtain it. Many many times with older vehicles it is the smartest thing to do. For instance it is company policy with the company I work for if a vehicles acv is 2500.00 or less the salvage bid will be $150.00 period, no need to call for a bid from the auction. It happens many times that an older vehicle has reached the total loss thresold and is still driveable. In the state I am in there are three ways that will total a vehicle. OTL (obvious total loss), meaning there is too much structural damage to even consider repairing it safely, ie firewall smashed, total burn etc. or a vehicle with an acv of 2500 have more than 50% of outter sheetmetal needing replaced. An economical total, cost of repair equals or exceeds, acv minus salvage, my state also has a percentage, if repair cost equals or exceeds 75% of acv (less sales tax and airbags) vehicle totals, (they just changed this law last week, think it is 80% now on 6 year old and new vehicles, and hail no longer 'counts'). In many instances especially with older vehicles it is the smarter thing for the owner to retain. You will have a salvage title, but in most states you can repair and take repaired vehicle to the highway patrol (in my state), they will inspect it, if passes the title will change to 'prior salvage title' although frankly this really doesn't help much, it will still lower the acv should it total again. Back to the question, many times an older vehicle say 2000.00 is totaled but still drives (legally), you can have partial repairs done, and maybe still get several more good years out of your vehicle. I have also seen in half the instances where an owner retained salvage, that they immediately sold the salvage at a much greater profit. If Ins company said (as in my companies case) salvage is worth 150.00 owner retains and immediate there after sold salvage either in the newspaper, or on auction, to a local rebuilder themselves for 500.00 or better, so in that case retaining was also the better decision. One other thing, in all states when a vehicle is totaled the owner is given some type of sales tax relief, some states pay the actual sales tax amount to the owner others issue a sales tax affidavit or credit, if you retain salvage you do NOT get this.........hope this adds to the prior well written and helpful posts....Good luck !!!

Posted: 27 Sep 2007 01:49 Post Subject: hi!

carclaims the same thing happened to our van. its 10 yrs old but still in a very good condition (til the accident). now the shop we went to said it could just be declared total loss by insurance... though it wasnt a definite estimate submitted to the insurance company yet. our reason for wanting to keep the van is not sentimental nor emotional. its more practical. the van runs perfect and very safe. its just the side door and fender that were dented. plus the back tire rim was also dented which we had already fixed and paid for (another loss for us if insurance company declares it totaled). it's more of body work thats needed.

but as lori mentioned, for the insurance company, its an "economical total". it's like saying, our loss for the insurance company's gain. either we keep the van or give it up to the insurance company we are at the losing end. if we NOT KEEP the van, with the amount they pay us.. it wont be enough to get a decent replacement used car nor enough for downpayment for a brand new car so monthly payments are low (our van was perfectly ok and fully paid off). if we KEEP the van, with the amount they pay us.. its wont be enough to have the damages repaired so it will pass dmv inspection and have it registered. so either way... its our headache and financial burden.

my question to lori is... is there a way we settle the issue with the insurance company? like say, they wont declare the van as total loss but pay us only the amount for acv minus salvage. that way we can have partial repairs done over time and not have to deal with dmv process and fees. is that possible?

Posted: 27 Sep 2007 11:01 Post Subject:

Good morning muuyymmuuy !






my question to lori is... is there a way we settle the issue with the insurance company? like say, they wont declare the van as total loss but pay us only the amount for acv minus salvage. that way we can have partial repairs done over time and not have to deal with dmv process and fees. is that possible?



This question is 'if-y'. The only way you can accomplish, retaining your (really) totalled vehicle, without it being 'declared' a total is IF, and only IF your adjuster will agree to the pay you the/a 'repair amount' just under what would consitute a total.

For example, lets say the 'repair thresold' is $2000.00 meaning if the repair cost gets to 2k or above they have to total the vehicle. If the adjuster will write an estimate and pay you for $1999.00 in repair (and you go away). Then the vehicle will not be deemed at total loss. You however, now have the $1999.00 to do with whatever you want. Partial repairs, sell the van as salvage on your own etc. But can never ask for anymore money. This is a fine line, and not real sure ethically how I feel about this.

I have on an occasion done this. Two different ways, say a vehicle will total at (again) 2k, my sheet is $2100.00. The (repairing) shop will agree to a 'contract' repair of $1999.00 meaning they agree to repair that vehicle for this $1999.00 and NO MATTER WHAT COMES UP LATER (ie hidden damage) they will not request a supplement etc. they will have to 'eat' anything above that. But still must complete a quality repair and of course the owner gives permission. But in most cases this is a 'win/win' for both vehicle owner and shop and of course would've been suffiencent tear down to make sure we didn't miss anything.

I have (on very few occasions) done the same with an owner. But only when it is close. Such as the example above. I've never done that if the threshold is 2k, and repair estimate is 4k, that wouldn't be a good outcome for anyone. Do you understand? I know this gets complicated with all these numbers..... :?

plus the back tire rim was also dented which we had already fixed and paid for (another loss for us if insurance company declares it totaled).

What do you mean by this? Was this a prior loss, or you replaced the wheel due to this loss?

our loss for the insurance company's gain

I don't see the insurance companies gain, you'll have to elaborate on that, I'm not understanding your point there. :(

if we KEEP the van, with the amount they pay us.. its wont be enough to have the damages repaired so it will pass dmv inspection

This isn't necessarily so. When an insurance adjuster writes an estimate we have to write it a 'certain' way. Meaning it has to be written to a certain standard. (ie) might have to blend to an adjacent panel, but if you (or the shop) can find a used door same color as your van (not that hard to do especially on an older vehicle), and don't mind a slight variance in the color, you've saved a bundle on the repair see? What I'm saying is, if you retain the vehicle and the estimate of repair was 2k, ask the shop (before making your decision regarding if you are retaining or not) what they will charge you to repair the van so that it is safe to drive and will pass inspection. There are many things on EVERY estimate that can be trimmed, (ie factory stripes that cost 300 buck, don't replace them have shop for about 50 bucks remove the stripes from the rest of the vehicle). Talk to the shop manager or estimator about getting the estimate to 'bare bones' see where you are there in relation to the amount of money you will get if you retain the salvage, you might be surprised.

like say, they wont declare the van as total loss but pay us only the amount for acv minus salvage. that way we can have partial repairs done over time and not have to deal with dmv process and fees. is that possible?


If they pay you the acv less salvage, the vehicle will be totaled, only other options are what I have above, another thing though, if there is a licensing fee on a total, and of course sales tax this too will be paid to you in addition to your settlement (state dependent on the sales tax some pay it directly others in the form of a sales tax affidavit or credit).

Good luck, let us know if any more questions..........

Posted: 29 Oct 2007 09:19 Post Subject:

Hi bksushi, welcome to ampminsure. Your post has been shifted to the following URL. Pls click on it to find the post.

http://www.ampminsure.org/claims/about3299.html

Thanks,
Lakemen

Posted: 16 Feb 2008 08:37 Post Subject: What if I want to retain my totaled car?

If you want to retain your car, which has been "totaled" according to Insurer, then here is the formula: Money in your pocket = Car's market value - salvage value (Insurer will tell you) - TTL (new salvage title will be issued) - the Deductible.

Posted: 18 Mar 2008 05:35 Post Subject: Post shifted

Hi Blackbelt4, I split your post to this thread,

http://www.ampminsure.org/claims/about4497.html

Thanks,
Evan

Posted: 30 Jun 2008 07:48 Post Subject: Where is it defined that the insurer gets the salvage value?

In KY, our SF policy does not mention anything about a salvage value or that they gain ownership if they give you a settlement for a "totaled" car. Everybody seems to think that the Insurance companies naturally get the salvage value when you keep your car but nowhere in the policy and nowhere in KY law does it state that this is the case. The insurer must get us to agree to this salvage value before they give a settlement. Again, the term salvage value does not exists in the policy or the state law. Why is everyone willing to pay this when you already own the car?

Posted: 30 Jun 2008 11:20 Post Subject:

You are however, in effect selling it to them for the ACV...correct? So they pay you the ACV and you sell/hand over ownership to them for said ACV. If you want to keep it how can you sell it and keep it at the same time? You can't... Now I'm not saying that the salvage value shouldn't be negotiated it certainly can be....But if a vehicle is totaled and owner wishes to retain it, then they owe that salvage recovery, (what the carrier would get). Right?

Posted: 01 Jul 2008 12:05 Post Subject:

If your home is destroyed in a tornado and the insurance company gives you a full settlement, does that mean that they own your house? Would you have to pay them for rebuilding on the same property? Again, nowhere in the policy or in state law does it say that the insurance companies automatically gains ownership of your car if they pay you ACV.

Posted: 01 Jul 2008 12:20 Post Subject:

If your home is destroyed in a tornado and the insurance company gives you a full settlement, does that mean that they own your house? Would you have to pay them for rebuilding on the same property?

Of course not but there is a big difference between not only the policys but 'real' vs 'personal' property....

Again, nowhere in the policy or in state law does it say that the insurance companies automatically gains ownership of your car if they pay you ACV.

Are they buying the car from you? Yes, they are..therefore if they purchase the vehicle they are the owners...I'd do some checking in next couple of days, and get the laws for you...(too much 'real' work today :wink: :roll: )

Posted: 01 Jul 2008 03:21 Post Subject:

Are they buying the car from you? Yes, they are


You made this statement without having any evidence to back it up. BTW, I have asked many SF employees high up in the company and they all said "There is nowhere in the policy that states that we own your car after we pay you the ACV or that you owe us a salvage fee if you decide to keep your car. It is just always done that way." I'm sorry but I don't accept that as an answer.

Posted: 01 Jul 2008 11:04 Post Subject:

I'm sorry but I don't accept that as an answer.

That's ok, it wasn't a full answer...remember...I said,

I'd do some checking in next couple of days, and get the laws for you...(too much 'real' work today )

Posted: 01 Jul 2008 11:20 Post Subject:

Ok, sorry, it took me about five minutes..

You said....

You made this statement without having any evidence to back it up.

In response to me saying

Are they buying the car from you? Yes, they are..therefore if they purchase the vehicle they are the owners



So here ya' go....This shows that you MUST sign over ownership (ie selling the car to the carrier).


MO standard auto police says regarding coverages F&G (collision and comp), under the heading, Claim Settlements...

"If we elect to pay the comparable value of any item we will do so only if the owner of that items signs and delivers to us all legal documents we may request to give us full ownership of it..."



and (cause I know it's coming)

Comparable Value means:

a)The depreciated worth of the vehicle or part imeediately before the accident
b) plus any sales tas, luxury vehicle tax based on the depreicated worth of the vehicle or part immediately before the accident
c)plus any other taxes or fees you must incur to acquire ownership of another auto or part to replace the damaged vehicle or part with one of equal value.


Same as ACV really...I don't know why they changed it but they did a few years ago...

Here's the thing..if it were not in the policy you can bet your bottom dollar it wouldn't happen ON EVERY SINGLE TOTAL LOSS SETTLEMENT...Now, I don't know who up high in SF you talked to but if you talked to someone in claims, they should know this...As you know most policys are standardized...If you want tell me again your state, and I'll try and pull a standard policy for that...

Now of course if a person fails or refuses to sign over a clear title (and have had this happen it's lost or something) then the adjuster issues payment to the owner MINUS the salvage value, and they retain it...OR if they have the title refuse to sign it over, and do not want to retain (and pay) for salvage value then the claim just isn't paid..

Posted: 02 Jul 2008 12:30 Post Subject:

First of all, I do appreciate you answering these questions. However, my KY policy does not state anything like your MO policy. I have since learned that the TN policy states something very similar to your MO policy. So, I agree that if the policy states what you are saying then there would not be any question as to what has to take place. But currently my KY policy does not state anything about the insurer becoming the owner after paying ACV and/or mention anything about a Salvage Retention charge. Even though we have asked repeatedly that State Farm show us where it states this kind of information they cannot. Even the Dept. of Insurance cannot show us in KY law where these kinds of statements exist even though they can misquote sections of law from memory. Yes I did say misquote, because they will tell you one thing but then cannot show you the section of the law that it came from. Also, I have spoken to the Claims Representative, his supervisor, and so on all the way up to the VP of Claims for KY,TN & OH. When I asked them about what we are discussing they just said that it is not in the policy but is in internal documentation but that they cannot show us those documents because they are work product. Maybe this information is in policies given out in other states but it is not in KY's policy. Our agent's assistant even said, well you should be seeing an addendum soon then.

Posted: 02 Jul 2008 12:42 Post Subject:

:lol:

even though they can misquote sections of law from memory. Yes I did say misquote, because they will tell you one thing but then cannot show you the section of the law that it came from.

:lol: ain't that the truth! :wink:

It would be really odd that a company as large (number one!) as SF wouldn't have themselves protected..I'm sure they do... :wink: I'm betting that there are laws on all the books (somewhere) that cover this...you can bet it's been challenged....I have never heard of a company ever settling a total loss without getting title...or of some charge (some times it can be just the tow and storage) for owner retain.

What he's talking about internal documents are like 'claims standards' or SOP's etc....


I am however surprised that it isn't right there in the policy, I have no access to a state farm policy so can't ''look between the lines'' (there is actually an knack to reading those darn things! :roll: )

I'll try and do some noising around KY law this weekend and see if I can find anything....

Posted: 02 Jul 2008 02:37 Post Subject:

I can help you out regarding KY law.
806 KAR 12:095. Unfair claims settlement practices for property and casualty insurance. (Section 7, SF has never offered a replacement vehicle and we have not deviated from section 1)
KRS 186A.530, when you read section 3 keep in mind that my vehicle has not been transfered to SF and that we are keeping the vehicle. Section 7(b) refers to my situation.
Google "Kentucky Revised Statutes"

Posted: 02 Jul 2008 04:39 Post Subject: car totaled?

I have recently had a fender bender in my 97 mitsubishi eclipse. It has 145,000 miles. The KBB value is $3200 and I just had an estimate done for $2700. I live in Indiana. I am wondering if my car will be considered a total salvage? It is driveable. I just talked to the ins company and they are sending an adjustor out to take a look. I am new to this and am wondering if they say it is fixable whether I should challenge that decision. I would rather it be totaled out so I can use that money towards a new vehicle. Any advice would be appreciated!!

Thanks!

Posted: 02 Jul 2008 04:39 Post Subject:

BTW, I have asked many SF employees high up in the company and they all said "There is nowhere in the policy that states that we own your car after we pay you the ACV or that you owe us a salvage fee if you decide to keep your car. It is just always done that way." I'm sorry but I don't accept that as an answer.

I think you need to consider that the insurance owes for the "loss" and that there is a definition of "loss". If the owner retains the salvage, should the value of the salavge be a part of the "loss". the policy does not state that it _will_ pay the ACV on the vehicle, it states that it will pay _up to_ the ACV for the "loss".

Can an insurance company insist on taking possesion of a total loss vehicle? Nope. can they then deduct the salvage value of that vehicle? Yup! As it's no longer part of the "loss".

Posted: 02 Jul 2008 11:34 Post Subject:

Another great way to explain it T thanks....

Waiting in Indiana, Your vehicle may be a total loss. with the figures you have here, it's borderline, the adjuster may write a shorter or higher estimate...as it sets now it's on the edge....check NADA or Edmunds...no company I know of uses KBB....

I am new to this and am wondering if they say it is fixable whether I should challenge that decision. I would rather it be totaled out so I can use that money towards a new vehicle. Any advice would be appreciated!!

It never hurts (in a very nice way) to say to the adjuster, 'ya' know I pretty much hope it totals, I'm ready for a new car'' some times we work so hard trying to save one, I ALWAYS like to know (and generally ask) which way an owner 'wants' it to go..total or fix....so let them know when he/she comes to look at your vehicle..

Posted: 06 Nov 2008 01:54 Post Subject: car accident

I was involved in a wreck today, the other person was at fault. I still owe 4600.00 on the car, kelly book has it valued around 5600.00 if its totalled how will i come out? How much will I get after paying off the loan? Im hoping it can be repaired.

Posted: 06 Nov 2008 06:07 Post Subject:

Hi ioosw, the members have replied to the tread that you have on the same topic. I'm posting the url below for your convenience. Pls check the replies on it and ask the community back if you have more queries.

http://www.ampminsure.org/auto/total-car-loan.html#34465

Thanks,
Lakemen

Posted: 14 Apr 2009 11:40 Post Subject:

.
.

I'm more than a little curious...

In the quotes below... why are the terms "or part" and "of any item" included in these quotes??

What purpose could these added terms serve when settling a claim??

MO standard auto police says regarding coverages F&G (collision and comp), under the heading, Claim Settlements... Quote:

"If we elect to pay the comparable value of any item we will do so only if the owner of that items signs and delivers to us all legal documents we may request to give us full ownership of it..."


and (cause I know it's coming)
Comparable Value means:

Quote:
a)The depreciated worth of the vehicle or part imeediately before the accident
b) plus any sales tas, luxury vehicle tax based on the depreicated worth of the vehicle or part immediately before the accident
c)plus any other taxes or fees you must incur to acquire ownership of another auto or part to replace the damaged vehicle or part with one of equal value.



Now of course if a person fails or refuses to sign over a clear title (and have had this happen it's lost or something) then the adjuster issues payment to the owner MINUS the salvage value,

Posted: 14 Jul 2009 05:04 Post Subject: Value of suv

I had an accident in my 2007 experdition el. It has close to 80,000 miles. I am not sure of the bb value of the car because there are none with the number of miles that i have. What percentage will the insurance company be willing to fix with a suv with this number of miles and when should it be considered totalled? Thanks!

Posted: 14 Jul 2009 05:15 Post Subject:

It isn't necessarily a percentage as a few of the adjustors on the site have explained. It depends on what the salvage bid is, and it also depends on the Actual Cash Value of the vehicle. Few companies use Kelly Blue Book. Although your vehicle has relatively high miles for its age, it probably isn't considered so excessive that it would dramatically decrease the value (there will be a mileage adjustment).

Posted: 14 Jul 2009 10:46 Post Subject:

NEED HELP!!

Without knowing all the options and running it as a 2wh drive, w/ 79k, I'm still getting an ACV of 21,100.00 so it's going to take quite a lot to total it.

Some (not all) states have percentage laws on the books, meaning a vehicle MUST total if the cost of repair is 70-75-80% of the vehicles ACV (actual cash value)...But also (as Chris pointed out) it will total if the cost of repair is more than the ACV minus the salvage value.

Posted: 30 Sep 2009 07:51 Post Subject: Also screwed by an accident

So, this year, I was involved in an accident. Not my fault, but my loss. I was 11 mos away from paying off a pos ford taurus. All I wanted was to keep the car because I want out of the debt cycle. Making payments for a car is a trap, plain and simple. Well, the accident caused only cosmetic damage, yet due to the mileage and model of the car the damage was more than the ACV.

Problem 1: The insurance company 'totaled' the car, but would not give me a check without the title aka 'Proof of Legal Ownership'.

Problem 2: The lien holder or 'legal owner' would not release the title and allow 'owner retain' of salvage.

Problem 3: The insurance company gave me two options to keep or remove the car, but would not pay without bank's consent.

Basically a catch 22. So now, I am having to argue between two entities who say 'not me' when I ask whose at fault for taking my car. I am stuck between an institution that is supposed to take care of my loss cause by their client, and a bank who will not accept payment if I retain the car.

The bank get's their money, the insurance company gets my car, and I get nothting but the pain of going back into debt, and a 'sorry that's how it works'.

I am so angry that I am willing to quit being civil and start sueing everybody and their mother

Posted: 30 Sep 2009 10:52 Post Subject:

a bank who will not accept payment if I retain the car.

Apparently the amount that the carrier would pay (if you retain the vehicle) is not enough to pay off the note is that correct? That's the only way I can think of that the leinholder could/would refuse this...tell ya' what...what is your pay off? what is the amount the carrier will give you if you retain the salvage? Let's see if we can help you figure something out...also what state are you in?

Posted: 01 Oct 2009 11:05 Post Subject:

My touring caravan was wrote off last year and the insurance did not pay out. I complained and complained and finally my claim was granted. This is related to car insurance and any other type of insurance as if you choose the wrong policy options they could sting you in the future. I would not take out touring caravan insurance again without reading the t&c's fully!

Posted: 01 Oct 2009 12:40 Post Subject:

It is the insured's responsiblity to make sure they have all the coverages they want, with the correct limits.

Posted: 03 Oct 2009 12:36 Post Subject: structurally sound

My slight problem is simple. I was involved in an accident where the only damage to the car is minor damage to the drivers rear fender. No wheel damage, trunk still opens closes and seals, doors still open, no tail light damage, no windows broken. I am a full time student, full time employed, and full time single father, and not enough money to get another reliable car with the money they want to give me for my "totaled" car. what do I need to do keep my car if the claim has already been filed? I did not know I would have to go through all this crap when I turned it in.

Posted: 03 Oct 2009 12:41 Post Subject:

Honey, do you own the car out right? If so tell them you want to retain the salvage. They will deduct the salvage amount and your deductible from the vehicles ACV (actual cash value). And give you the rest, bing, bang bom, you're done. Depending on the state and the age of your vehicle it may have to be re-register as a salvaged vehicle. Check your state guidelines for what is required, (unless you live in MO and I know them :wink: )

Posted: 03 Oct 2009 12:56 Post Subject: just checking

Re-register? Is that going to be part of the salvage title stuff where they say I have to turn in my existing title? I'm trying to check into the state guidelines but I seem to be getting everything I don't need. Any ideas? As you can tell, I don't have a lot of time for jumping through hoops to get this resolved.

Posted: 03 Oct 2009 04:45 Post Subject:

Re-register? Is that going to be part of the salvage title stuff where they say I have to turn in my existing title?

yeah, most likely every state is different..

I'm trying to check into the state guidelines but I seem to be getting everything I don't need. Any ideas?

honey, post the state the vehicle is registered in and the year of your vehicle and I'll see what I can find...also do you have a lein on this, or do you own it?

As you can tell, I don't have a lot of time for jumping through hoops to get this resolved.

I know, I don't think anyone does...let's see if I can help you some..post state, and yr/make of vehicle

Posted: 10 Oct 2009 12:34 Post Subject: quote on a car

I have a 1963 ford mustang that is totaled. I just need an estimate on what I should expect from my insurance.

Posted: 10 Oct 2009 03:19 Post Subject:

Depends 100% on the condition of the vehicle
Teresa

Posted: 29 Oct 2009 01:30 Post Subject: feel unfair

I have a 2006 car in 2006 my car was sold to me for 19k I paid 13k already and the insurance company deamed car loss and gave cash value of car 6k which was just enough to pay it off, my question is i dont think its fair that i paid more into the car and the insurance company paid only 6k and they get to keep car, i feel i paid more i should get to have it or aleast be able to buy it back so i can choose later if i want to get it repair and use it as second car.

Posted: 29 Oct 2009 05:28 Post Subject:

I didn't quite understand in which sense you've come to conclude that you paid more. The car was sold to you for 19k in 2006, which is true. On the other hand, it has depreciated since then, which is also true.
Did you propose a buy back to your insurance carrier as yet?

Posted: 29 Oct 2009 12:46 Post Subject:

anonymousmama, You thinking is all messed up the what is owed for your vehicle..I'll explain that if need be...

You can keep/buy back your car, as the owner you have first option to do that...Talk with your adjuster about it.

Posted: 29 Oct 2009 02:08 Post Subject: Forcing car repair

My husband was in a accident which left the front of his 2004 Chevy Blazer (90,000 miles) severely mangled, undrivable, pieces everywhere.... The insurance company recommended we tow the vehicle to a preferred repair shop. I did so under the impression an independent 3rd party would do adjusting and then repair shop would use that. Well repair shop also did the adjusting. They inflated the ACV and lowballed the estimate to get the repair job and avoid a total loss.

I told the insurance company I was just going to take the repair $$$ and buy another vehicle and sell the Chevy for scrap. (When I told the repair shop this they then tried to sell me a car). The insurance company sent us 75% of the repairs amount ($3,000 out of $4,000) and said they would not give the rest ($1,000) without a completion of work - meaning I would have to repair it to get the rest - they said they were required to do so under Mass law but would not cite any specific section. I have searched high and low the law in Massachusetts and cannot find anything that requires me to fix a car I do not think will be worth the $$ going in to it. I also cannot find anything in my policy on this that would require me to do this.

Any advice? Thanks

Posted: 29 Oct 2009 02:38 Post Subject:

This is the first time I've heard of this in an auto policy. Check your auto policy and I'll check the Mass dept of insurance for you...this is first party (your carrier) right?

Posted: 29 Oct 2009 02:54 Post Subject:

Well it appears Mass has some unusual policy language I've found the following:

I got $500 to replace my stereo. Can I use the money for something else?
Liability Claim
If you are collecting from another driver's company, you're entitled to the cash. Do what you want with it.

Comprehensive/Collision Claim
Your own company may not pay the full replacement cost until you actually buy the new stereo. And if the stereo did not come with the car, you may need to show the company receipts to prove you had it in the first place.

This would apply to ANY first party loss/damage.

Sorry, check your policy I'm sure under "how losses are settled" or some such wording (under collision/comp coverages) you'll find where they can make partial payment until repairs are completed.

Sorry for you, but glad for the knowledge. I had no idea that ANY auto policy in ANY state had this type of language, see it in HO policys all the time. At any rate, appears the adjuster is correct.

Posted: 31 Oct 2009 03:48 Post Subject:

Hello, i need some advice!
my car is deemed totaled by the insurance company because they claim the estimate equals or exceeds the acv. BUT I have found someone to fix the car for an estimate way less than the acv. All i ask is to be able to retain my car and for the insurance company to pay for the repairs! I've been paying this car off for 4 years and only have 2 more years left. I have spent so much money just on the maintenance of the vehicle. Can an EXPERT please advise me on how to go about this so i can RETAIN my vehicle. I feel like i'm being shortchanged by the insurance companies who just wants to sell MY vehicle! I have refused to sign over the title and they told me they have the right to TAKE IT??!! :( :cry:

Posted: 01 Nov 2009 02:33 Post Subject:

mari112


They likely cannot change their opinion on the vehicles total loss. You however (in most states) can retain the vehicle. They will just subtract the salvage value from the ACV then you can have this person you found fix it 'cheaper'. Have you asked the adjuster about retaining the vehicle/salvage?

Posted: 13 Dec 2009 06:42 Post Subject:

What information do you need to give the car repair shop in order for them to actually sell your car to the junk yard?

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