You keep it and repair the damages. Know that the insurance company gets salvage value from your car once it s been totaled.
This amount is based on a claim adjuster s estimate of what the car may have been worth prior to the accident.
Insurance company totaled my car. Repairs would cost more than the car is worth or. Your insurer will determine whether the vehicle is a total loss based on repair costs. Your insurer will issue payment for the actual cash value of the totaled vehicle minus your deductible on your.
The insurance company that takes over the car will then sell the car to a salvage vendor that works with a local department of motor vehicles. Contact your agent and initiate an insurance claim. When your car is totaled the insurance company has decided the repairs would cost more than the car is worth or that the car is simply beyond repair.
The vendor then works with buyers and dealers to sell the car based on state specific regulations. So if needed repairs would cost 15 000 but the vehicle is valued at 13 000 the insurer is likely to declare it a total loss. While it largely depends on your state s regulations most insurers have to abide.
Your insurance company will pay you to replace the vehicle instead of repairing your totaled one. It s possible that if your car doesn t get totaled it becomes a salvage car. If your insurance company says your car is a total loss aka totaled it means the cost of repairing your vehicle is more or close than the car s value.
Most often a totaled vehicle will be auctioned off to a salvage. State laws require the company to call it a total loss due to the amount of damage. If your vehicle ends up totaled despite your efforts to work with your insurance company you will be given the actual cash value of the vehicle or acv.
That means they sell parts at a higher price and reap the value of those parts. This can vary from 50 of the car s pre accident value in iowa to 100 in texas. It s auctioned off to a salvage yard.
This comes with its own set of issues and it s important to read up and proceed with caution. If you re involved in a car accident there are a few basic steps to follow before and after your vehicle is considered totaled. If the cost of repairs to the vehicle is more than the acv it will be totaled.
Your insurance company may decide your damaged car is a total loss if. It cannot be repaired safely. When your car is totaled one of two things can happen.