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Auto Insurance Claims/accident
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Question
My vehicle was involved in an accident in which one of your clients struck my car while it was parked. Now the insurance co. wants to total my car because of the damage. The estimate is approximately $300.00 less than the car is worth. Do I have the right to decide if thay total this car?
The insurer will pay the lesser of the retail value of the vehicle before the loss, or the cost to repair. This is what a court would award. In some states, they are required to total the vehicle when the repair cost gets to 75% to retail value. This law protects the claimant because generally it's a bad idea to repair a car with that much damage. It's hard to ensure there won't be problems later.
In most states, you can retain the salvage after they total it. But they will deduct the value of the salvage, because after settling a total, they normally will sell the salvage. So they deduct what they think they could have sold it for. You could then use the proceeds to repair the salvage and then use the car. But you'll probably end up paying some out of pocket. And the car may never be right.
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Answers by Expert:
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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