"Totalled" Vehicle

[creading]

This is basically an auto insurance question. I reside in California. My daughter rear-ended an SUV while driving my 1991 Acura. The accident took place at less than 19mph.
My Insurance Co. wants to 'total' my car. There is no frame or driveline damage. The hood,headlights, fender, sustained damage and estimates to repair are in the 9K range. The car has a street value of 17-18K. I am wondering if there is anything I can do to convince the Ins.Co. to repair it rather than write it off!?? Any help or thoughts??

 

[I AM ALWAYS LIABLE]

This is basically an auto insurance question. I reside in California. My daughter rear-ended an SUV while driving my 1991 Acura. The accident took place at less than 19mph.
My Insurance Co. wants to 'total' my car. There is no frame or driveline damage. The hood,headlights, fender, sustained damage and estimates to repair are in the 9K range. The car has a street value of 17-18K. I am wondering if there is anything I can do to convince the Ins.Co. to repair it rather than write it off!?? Any help or thoughts??

My response:

You didn't give us much to go on in terms of researching the value of your car. There are 3 types of Acura's in 1991, alone, and many other bits of information are needed.

However, go here to find a evaluation and price concerning your car:

http://www.kbb.com/kb/ki.dll/kw.kc.tp?kbb&&32&split

But, I can tell you without hesitation, any 1991 Acura is not going to be worth in Trade-In value anywhere close to your numbers.

Once you receive a valuation, come back to this thread, tell me the number you received, and we'll go from there as to whether it's worth keeping, or letting the insurance company "total" the car.

IAAL

 

[creading]

I was going on what the dealer told me. It is a 91 Acura Legend L Coupe with all the bells and whistles. Its been maintained soley by the Dealer. The Kelly gives it a 12K value.

 

[TimC]

Most insurance companies go with a 70% or 80% repair cost as the point where they "total" a vehicle. Your estimates put it at 75%.

The real value of the car is not the dealer retail value, but rather the "street value", which is likely much lower.

If you are conviced that the car is worth repairing, ask the insurance company to cut you a check for the the "value" of the car. Then go fix it yourself. In SOME states the insurance company has to offer the car to the insured party FIRST before they can sell it themselves. Many times you can take the check from the insurance company, subtract the "scrap" value of the car, and keep the car.

HOWEVER, in some states this will result in a "scrap" title for the car, which will stay with the car for life. This means that any potential buyer will know that the car was once "totaled". Laws are MUCH more stringent in California than they are in most states, so this should be taken into consideration.

Bottom line, if that is the ins. companies first offer, go back with a counter offer and come to an agreement. There is nothing that says you have to accept their first offer.

 

[I AM ALWAYS LIABLE]

I was going on what the dealer told me. It is a 91 Acura Legend L Coupe with all the bells and whistles. Its been maintained soley by the Dealer. The Kelly gives it a 12K value.

My response:

Sorry, I can't get your value for the car over $6,890.00 (which is the Trade-In value). I think your number is the "Retail value"; e.g., what a dealer would attempt to sell the car to a bonifide purchaser.

So, in any event, if you want to keep the car, what you need to do is get the insurance company's highest offer to buy the car from you. Let's assume my numbers are correct for this example. So, they want to send you a check for $6,890.00, and you say, "Whoa, little doggie . . . I want to keep the car. What's the "salvage value" ?" And then the adjuster will tell you that the salvage value is about $500.00, and you say, "Fine, I want to keep the car, and you can send me $6,390.00, and I'll use that money, along with my money, to have the car repaired". The adjuster will say, "You've got a deal". Insurance companies hate having to arrange for the pick up, and sale of, damaged cars. It costs them a lot of money to do so, so they'll be happy to work out a "salvage deal" with you.

IAAL

 

[TimC]

IAAL, I agree with your logic, as evidenced by my post above, but the caveat here is to try to make sure that the vehicle does not wind up with a "salvage" title. If it does, then the car is essentially worthless when it comes time to sell it or trade it in.

In other words, make part of your couter offer to the ins. company state that the vehicle will NOT be adorned with a "salvage" title. This step will be worth potentially THOUSANDS to you.

Also bear in mind that the ins. company is not going to pay for things like a rental car while yours is being repaired, because they are not paying to HAVE it repaired.

 

[creading]

I thought that I was dealing with replacement cost of a like vehicle?? Not correct?? God, I'm a novice when it comes to this stuff. Basically sounds like I'm screwed if I want a similier vehicle unless I have wads of cash to add to the Ins. settlement

 

[I AM ALWAYS LIABLE]

I thought that I was dealing with replacement cost of a like vehicle?? Not correct?? God, I'm a novice when it comes to this stuff. Basically sounds like I'm screwed if I want a similier vehicle unless I have wads of cash to add to the Ins. settlement

My response:

You're entitled to the "fair market" value, not "replacement" value.

IAAL