Auto Insurance Claims/insurance claims

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Expert: Charlie Barone - 4/14/2009


Question
My car was stollen....does the insurance pay on the tradin blue book values or the retail bluebook value?

Answer
Dear Joy,

Your insurance policy says they will pay the actual cash value (ACV)of your vehicle, which means the cost to replace it with one of like kind and quality. The book values may be sufficient to do that, but at times the insurance industry has used databases that are notoriously low. You are free to decline their offer in settlement of the claim and demand that they show you a car that is of like kind and qualtiy to your former car.

If they do use a Kelley Blue Book value to settle the claim, it should be the retail value.

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Charlie Barone

Expertise

For questions involving auto damage claims, collision repair, forensics, industry practices, we can help. We specialize in claims for loss of resale value (Diminished Value).

Experience

I have 30 years experience in the collision repair and body reconstruction field, both hands-on and from behind the desk. I hold a Master Certification from ASE in the Body and Paint category, as well as their certification in Estimating. I have authored over 120 feature and training articles for the largest trade journal devoted to the collision repair industry, and have given expert testimony in court dozens of times. Licensed physical damage appraiser in Pennsylvania and reciprocal states.

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