Once car climed as totaled can it be sold in retail market?

What is the name of your state? What is the name of your state? VA
There was an accdient around 2 weeks back. Some body hit my car from back. He was at fault, police filed a case on him.
I reported a claim on that accident to my insurance company. My insurance company declared the car as totaled and offering $4550 to sell the car or $ 3500 to keep the car. I didn't accept any of those offers because my car value is around $9000 prior to accdient. Both NADA and KBB showing the same values of $9000 as pre accdient value on my car. when I asked my insurance company why such a huge difference( almost 50% less than market value) insurnace guys are telling that the car was previously totaled and sold in salvage market by another insurance company( it seems that it was stolen and wrecked), because of that reason they are calculating market value as $4500 . And they are suggesting me to ask my dealer.
when I asked my dealer , he was not agreeing that it was totaled in previous case and he is suggesting me to ask more from my insurance. Ultimately I am loosing around $4000 .
Now my question is: 1)Whom should I sue now ,Insurance or dealer?
2) If a car was declared as totaled and sold under salvage title by insurance company , can a dealer (assuming that he get it repaired)sell that car in retail market?
3) If a car is under good condition prior to accdient ( even though it was totaled previously) should insurance company has to pay pre loss value as per KBB or NADA?
I couldn't under what to do ?
Please help me in this issue.
Thanks in advance. Samay

[ellencee]

Post this in the Auto & Other Accidents section of this forum. You'll probably have more of a chance in getting the assistance that you need.

You can request a title history from your state's auto-title department and the phone number and address is probably available from whomever you purchase your auto tags.