Expert: Richard Hixenbaugh - 8/30/2009

Question
My vehicle was hit by another driver while parked. That driver's insurance wants to total my vehicle because the repairs was estimated $2,800 and my car is priced at being worth $3100 (but that is without my customizations). They also want to give me a salvage title if I decide to keep the car, but there is nothing wrong with my car except for the damage to the body that their insured caused.

So my question is I have about $3,000 worth of customizations done to my vehicle that you can see does not come standard on the car.  Should my customizations be factored into determining the actual case value of my car?

Because their is no other vehicle within a 300 miles radius being sold of like kind and quality.  I could buy the same year make and model but in order to get the vehicle just like mine, that they want to total and which is still drivable and in good condition (minus the body damage) I would have to come out of pocket over an additional $3,000, or more if you include labor.

Answer
Hi Patrice,

You need to discuss this with the insurance company to be sure they are aware of all of the upgrades. However, you should be aware that the upgrades do not increase the value of your vehicle on a dollar for dollar basis. The $3000.00 in upgrades may onoy increase the value by $500 to $1,000. But you should still make sure you tell them. You will have to have proof in the form of a receipt showing the cost of the part and the date it was purchased.

If the vehicle is still totaled, it will be issued a salvage title. The state requires that when an insurance comapny totales a vehicle that it be issued a salvage title.

I hope this helps
Richard Hixenbaugh