Expert: William Forster - 5/20/2006

Question
i have a 97 mustang valued at about $4800. i got rear ended & busted out my lights, damaged the bumper, rippled the side rear panel & damaged the trunk. i got an estimate of $3538 in damages. they said if there is damage on the inside, the insurance co. will probably total out my car.  does this sound right or am i being cheated & over-charged? my car is a v6 standard with about 117,000 miles.

Answer
Hello, and thank you for your question! No, you are not being over charged, especially with the damages you have described. As a rule, it takes 3/4 of a vehicle's value (in damages) to total it. You are right at that threshold, perhaps even a hair beyond it. Your value estimate is actually high for this vehicle. A mustang v6 with stick doesn't carry as much value as a V8 automatic, even with low miles. I know that when I lift the hood on a hot rod, I hope to find a V8, and I'm saddened when I find a 6. So is everyone else! It's value can actually be LOWER than book, based upon sellability. A car lot will turn a V8 Mustang MUCH  faster than a 6, so it is inherently more desireable, and valuable. A vehicle's value also differs from region to region. Your insurance company may even call local car lots in your area to get a feel for the retail value of your Mustang. If you are not happy with their settlement offer, ask them to find you another comparable Mustang for that same price. Don't be afraid to dicker with them, but don't piss them off, either. Keep the line of communications open, be friendly, but firm. If this doesn't work, as a last resort, consult an attourney. Have HIM deal with the insurance company, they will know you mean business. My advice? See how much you owe on it, and if it's totaled, will the insurance offer pay off the loan? If NO- you better try to get it fixed, even if it costs you a few hundred out of pocket. Tell the body shop this, also. It's easy to wind up owing a thousand bucks on a car you won't have any more! We body shops are here to help, not cheat you. We love our work!