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Bad Faith Insurance Question

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aquarius29

Junior Member
What is the name of your state (only U.S. law)? Texas

In July of this year I had a "minor" auto accident in my 2005 Chrysler Pacifica which I had only purchased 4 months prior. The damage was to the front bumper. Well after taking the car in to the collision center which was referred to me by the insurance company they quoted the damages to be $1,900. I received a check from the insurance company for $1400 and I would be responsible for $500. However days later I received a call from the collision center stating that the car would be deemed a total loss! Of course my first reaction was How in the hell could something so minor be deemed a total loss and what happened to $1,900?! After going back and forth with my insurance company they repeatedly assured me that the car suffered severe internal damages and the car was of no use it needed to be totaled. To make a long story short, I was told they would pay off the balance to my lein holder and they (the insurance company) would receive a salvage title and that the car would be good for nothing but probably parts. Today how ironic is it that after surfing on Craigslist the Chrysler Pacifica that I onced owned...same VIN, my car was on there in a for sale ad at a used car lot. I called the lot as an interested buyer and asked if the vehicle had any previous accidents,etc. I was told no he had the original title and that he purchased this from an INSURANCE AUCTION... Is this legal for an insurance company to do such a horrible thing!! I am so furious right now and just need some direction. Please adviseWhat is the name of your state (only U.S. law)?
 


ecmst12

Senior Member
The insurance sold the car at auction, of course they did. That's what they always do with a totalled car. The one being shady is the used car dealer not disclosing that it has a salvage title.

What kind of internal damage did you do???
 

aquarius29

Junior Member
what do u mean what kind of internal damages did I do?? Also, how could they go and sell the car at an auction if they told me the car was non-repairable? If thats the case they could have just paid the claim and had it repaired for me to keep.
 

ecmst12

Senior Member
They sold it as a salvage vehicle. Usually it's for parts or scrap but sometimes people will do like your unscrupulous dealer did and buy it to repair and resell to an unsuspecting buyer who doesn't run a Carfax.
 

aquarius29

Junior Member
Thats my point they(the Insurance Company) didn't sale it as a salvaged vehicle. The car lot stated that they had the original title and that the car had no previous accidents.
 

Zigner

Senior Member, Non-Attorney
what do u mean what kind of internal damages did I do?? Also, how could they go and sell the car at an auction if they told me the car was non-repairable? If thats the case they could have just paid the claim and had it repaired for me to keep.
You had the option to purchase it back from the ins. company as a salvage vehicle.
 

aquarius29

Junior Member
Why would I have to buy my car back from the insurane company as a salvaged vehicle oppose to them accepting the claim and paying for it to get fixed. My point is the damages were not as extensive as they made them to be which is why the car is now being sold at a car lot listed as being in perfect condition..... For the amt. of damages that the insurance company stated the car had suffered I can almost guarantee that this car lot did not put all of that money into this car to have it fixed. Especially with the price they are selling it for...
 

Zigner

Senior Member, Non-Attorney
Why would I have to buy my car back from the insurane company as a salvaged vehicle oppose to them accepting the claim and paying for it to get fixed. My point is the damages were not as extensive as they made them to be which is why the car is now being sold at a car lot listed as being in perfect condition..... For the amt. of damages that the insurance company stated the car had suffered I can almost guarantee that this car lot did not put all of that money into this car to have it fixed. Especially with the price they are selling it for...
You just don't get it.
The DEALER is not being honest about the title.
 

fcobarr

Member
You can't be sure of anything without facts. Why don't you just confront the dealer, tell him you used to own it and it was in an accident. Then, see what he says.

There are all kind of crooks out there working in insurance, salvage yards and yes, used car lots (and every other business under the sun). As far as you doing anything, no, i don't think there is anything you can do or deserve. They totalled your car and you signed all the necessarry paperwork accepting their decision.
 

aquarius29

Junior Member
You can't be sure of anything without facts. Why don't you just confront the dealer, tell him you used to own it and it was in an accident. Then, see what he says.

There are all kind of crooks out there working in insurance, salvage yards and yes, used car lots (and every other business under the sun). As far as you doing anything, no, i don't think there is anything you can do or deserve. They totalled your car and you signed all the necessarry paperwork accepting their decision.
LMAO, How could you first state "you cant be sure of anything without the facts" and then say U dont think there is anything I can do or deserve. So are you tellin me that you have facts since you feel that you are capable of tellin me what I dont deserve? Yeah, I signed paperwork based on appareantly BOGUS information that the car was not repairable!! How the hell could it not have been repaired if I am seeing the vehicle with my own eyes in a sales ad listed as Perfect Condition. Then to make matters worse I am finding more and more information about this particular insurance company not paying their CLAIMS for what should have been considered minor fender/benders!!
 

Zigner

Senior Member, Non-Attorney
LMAO, How could you first state "you cant be sure of anything without the facts" and then say U dont think there is anything I can do or deserve. So are you tellin me that you have facts since you feel that you are capable of tellin me what I dont deserve? Yeah, I signed paperwork based on appareantly BOGUS information that the car was not repairable!! How the hell could it not have been repaired if I am seeing the vehicle with my own eyes in a sales ad listed as Perfect Condition. Then to make matters worse I am finding more and more information about this particular insurance company not paying their CLAIMS for what should have been considered minor fender/benders!!
I really have to apologize for all of the answers you have received up to this point. We, apparently, forgot that we need to give you the answer you WANT to hear. :rolleyes:
 

ecmst12

Senior Member
Run a Carfax report on your VIN. See what comes up.

The insurance company used a salvage company to handle the auction. The salvage company HAS to have a salvage title issued before they can sell the car. I work with one of those companies, they play by the rules. They HAVE to or the state will shut them down.

But used car dealers are NOTORIOUSLY shady. More then once I have had someone total a car, and when I run the value report, it comes back with a salvage title. I go back and tell the owner, and they had no idea that the car was a previous total loss.
 

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