auto insurance questionM

[PAULCLINE360]

My name is Paul. I live in Florida. I recently had an accident which was my fault. Although there was not much damage to the outside of my car, the engine was damaged resulting in my car being a total loss. I owe more than the insurance will pay for the car. The insurance company says they will pay the money to the lien holder of the car which is the bank. This will leave me without a car and I will still have a payment to cover the deffiency. Is this legal or can I force the insurance company to pay me the money?

 

[I AM ALWAYS LIABLE]

My response:

Yes, it's legal. It's not only legal, it's also proper. The insurance company can't help it if you were "upside-down" on the value of the car versus the balance you have left owing.

The insurance company, by law and contract, is only liable to pay you for the fair market value of the vehicle as it exists on the date of loss.

IAAL