Auto Insurance Claims/Recent Accident

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Expert: - 12/28/2008


Question
I have great coverage with AAA. Last night my 19 year old smashed my 1996 Chevy Suburban in an accident with a barrier trying to avoid highway debris.  Everyone is OK, thank goodness.  No other cars involved or anything.  The car has sustained what seems like major damage to the front right side:  bumper and grill smashed back, bumper into right front tire, right pull hook in front sheared off, grill pushed into radiator, right fender totally crunched and all lights on that side just crackled up, body damage on that side,  hood misaligned, tire won't turn and looks like some crunching happened to frame underneath front end.  The car has 135,000 miles on it.  Blue book for the car (fair condition) is at most $3500.  I wouldn't mind it being totaled out so I can get another 1996 - 1999 same make and model.  

Question: What goes into the "totaled out" equation?  Does that sound like too much damage to fix for that car?  What can i most likely expect?  Looking forward to hearing from you and thank you so much for your expertise and time.  It is appreciated.


Answer
If it is economical to repair, the car is repaired;  if not, it is totaled.  Normally the repair cost on the initial estimate will exceed 60-70% of the value.  This is because when there is a lot of damage, they almost always miss some on the first estimate.  Sometimes it is a judgment call.  It sounds like this is a clear total though.

Auto Insurance Claims

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Claims Guy

Expertise

I am currently an Auto Claims Manager for a large insurance company. I have 18 years experience in the industry, having worked as a Claims Adjuster, Injury Settlement Negotiator, Claims Manager, SIU/Fraud Investigator, and Compliance Officer......I can answer questions related to any aspect of Automobile insurance claims and coverages. I can provide an inside look at how insurers operate. I always treat my customers fairly and want to help make sure you are treated fairly. However, please keep in mind that being treated fairly according to the law does not guarantee that you will get what you want. I can also answer some questions regarding Homeowner's and other types of insurance claims. I have handled all types of auto insurance claims and coverages. I am NOT an automotive repair expert but can give advice re how insurers handle complex repair issues. Please keep in mind that every state has its own set of laws pertaining to rules of the road, liability, and insurance. No one is an expert on every state. I am most familiar with laws in Maryland, DC, West Virginia, and Virginia, but will attempt to answer questions for other states. I am not an attorney an cannot provide legal advice. My advice will be my opinion based on my experience.

Experience

I am currently an Auto Claims Manager for a large insurance company. I have 18 years experience in the industry, having worked as a Claims Adjuster, Injury Settlement Negotiator, Claims Manager, SIU/Fraud Investigator, and Compliance Officer. I am not an attorney an cannot provide legal advice. My advice will be my opinion based on my experience.

Organizations
CPCU Society. Adjusters license in multiple states. International Association of Specal Investigators

Education/Credentials
I have a B.S. in Finance and have completed the AIC and CPCU designations.

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