Getting reembursed for my car's damages.

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PostPosted: Fri Sep 18, 2009 6:17 pm   Post subject: Getting reembursed for my car's damages.  

My wife's car was rear ended and totaled by a driver who was then ticketed with careless driving. There were no injuries. Our car still runs but there is body damage of about $3,000. We don't have collision on our car because it's 14 years old. The ticketed driver's insurance says they will not pay the full blue book value of the car to us ($1400) if we keep the car but will only pay $600 because they are entitled to a salvage value of $800 if we don't give them the car. This seems like a rip off to me. Shouldn't we be entitled to the full value of our car? Thank You!

kathan_tl
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PostPosted: Fri Sep 18, 2009 6:50 pm   Post subject:   

If the insurance company pays for the value of the vehicle, they are more or less buying it in it's pre-accident condition. So they would be entitled to the vehicle.

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PostPosted: Fri Sep 18, 2009 6:56 pm   Post subject:   

Kathan I know it seems like a rip off but this is how it works. most companies subtract depreciation in the event of a total loss. It may be in your best interest to accept there offer and place a down payment on another vehicle.

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PostPosted: Fri Sep 18, 2009 7:34 pm   Post subject:   

I can't understand why you think this is a rip-off. Am I missing something? You give them the wrecked car that's worth $800 in it's wrecked condition and they give you $1400. Or, if you'd prefer, you can keep the wreck that's worth $800 and they'll pay you $600.

Where's the ripoff? The math is right. You get the same thing either way.

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PostPosted: Fri Sep 18, 2009 9:33 pm   Post subject:   

I agree with Fishman. That's a pretty fair deal. Either way, they are putting you back in the same position as you were before the accident. That is the purpose of their offer.

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PostPosted: Sat Sep 19, 2009 4:55 pm   Post subject:   

I have to ask... what kind of Salvage Yard would Pay $800.oo for a 14 year old car with a retail value of only $1400??



My brother has been in the Salvage business for-ever and he would never pay that for a $1400.oo car.



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PostPosted: Sun Sep 20, 2009 4:25 am   Post subject:   

Quote:
I have to ask... what kind of Salvage Yard would Pay $800.oo for a 14 year old car with a retail value of only $1400??




My sentiments as well. 20% would be high at 280.00 Use to be a rule of thumb that salvage was 16% of ACV but I am sure that has fluctuated or increased over the years. Sometimes the price of scrap metal is higher than the salvage value.


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PostPosted: Sun Sep 20, 2009 6:39 am   Post subject:   

You are not being ripped off.The insurance company is doing this so that you dont profit from the loss, as this could be a morale hazard. The company will either pay the full value of the vehicle and take custody of the salvage.This is to ensure that you dont have the car replaced and have the salvage which you can sell and thus be profitting from the loss.If the insurance company does not do this,you will be motivated to cause the loss on your own, which is not covered under insurance. Insurance covers only accidental acts

I can assure you , you are not been ripped off.
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PostPosted: Sun Sep 20, 2009 12:33 pm   Post subject: accident  

I don't think you're being ripped-off, either. the car may be driveable, but, is it SAFE for you to drive. (I made a similar post, to someone, on this Forum. They were in the 'same boat' you're in now). That's a pretty good offer for a car that old. I would take the money and look for a good, used, (safe) car.

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PostPosted: Sun Sep 20, 2009 1:07 pm   Post subject:   

Quote:
they will not pay the full blue book value of the car to us ($1400) if we keep the car
Well duh...why would you get to (in effect) sell your vehicle to someone but then get to keep it (for the same price)...That's just not possible, nor is it reasonable for you to think you can...If you sold your car to me for 1400.00 wouldn't I get to take the car? Of course. (by the way what carrier is this that is using the Kelly Blue book? Are you sure it's not NADA book value?) Now having said that, something is terribly wrong with your post. There is NO way on earth that the salvage value would be greater than the remainder...just no way...the numbers you have posted...(800 salvage value on a 1400 car). Means they are getting over 57% for the salvage NO FREAKIN' WAY. So either you've misunderstood something, or made a mistake typing...or the adjuster is smoking something...realllllllllly good..........



I'm with Fred, and Mike, I wouldn't expect your vehicle to bring more than 25% tops, (350)..not even knowing the yr/make/model or condition. The only way this is possible is if this carrier has a contract with a salvage buyer that says, that the min. they will pay is 800.00. Which again, I would find hard to believe. The highest I've ever seen in a contract such as this is 300.00...



if your post is correct...(sorry, I still say NO WAY, either you've misunderstood or the adjuster has made a horrible mistake)...you need to talk with a superior in this carriers claims dept.
Quote:
Shouldn't we be entitled to the full value of our car
Sounds like that's exactly what you are getting, but you can't have your cake and eat it too...


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