Expert: Richard Hixenbaugh - 6/22/2011

Question
I reside in California and am in Texas for a few months to help my son with his children.  I bought a 1997 Honda Civic to drive while I am here.  Five days later it was side-swiped.  The insurance company wants to total it but pay me only $2,600.00.  We paid $3,500.00 because it was owned by a Honda Master Mechanic and had many new features and parts, and was in great condition.  Market value on Autotrader.com lists similar cars for between $3,600 and $4,500.  The insurance company says they are not compatible cars.  I just want enough money to buy another car and pay the sales tax and registration.  Any suggestions?

Thank you.

Jenny

P.S.  Added to that, it was a new policy by the person who hit us, paid by debit card, and the claim wasn't even processed for seven days after the accident.

Answer
Hi Jenny,

This is a common problem.

It is up to you to prove them wrong. If the comparable vehicles you are finding are showing values of $3600 to $4500, you need to demand that they explain to you in detail why they do not feel they car comparable. Demand that they provide you with a copy of what they used to come up with the value. Then you can review it for errors.

If all that fails, you may need to hire an independend appraiser to appraise the value of your car.

I hope this helps
Richard Hixenbaugh