Insurance totaling a car

[stinkbelly]

When a car is in an accident when does the cost of repair cause the insurance company to total a car?

[stickbowcoop]

Typically cars are considered totaled when the cost to repair it is higher than the actual cash value (or a close percentage, my last insurance agent told me if repairs hit 75% they totaled) of the vehicle. At least in the past that is how it has worked.

[stinkbelly]

So I guess if you have an older car that is only worth a couple of thousand dollars and someone bumps you, it could be totaled.

[Cottonfish]

Either when the repair cost exceeds the pre-loss market value of the vehicle, or when the cost of repair/projected rental/potential diminution of value MINUS the salvage value (what the car is worth in it's wrecked condition) exceed the market value. The 25% figure mentioned above is a traditional general ball-park expectation of salvage value. A total loss can be declared for other, unique conditions also - submersion in water (anticipated electrical damage), severe structural damage, parts not available, etc.

Stu

[stinkbelly]

Do you have any options once an insurance company says a car is totaled due to repair costs?

[6.5 shooter]

60-80% of the cars value.

[yaqui]

Sometimes you can buy the car back at a lower price, and still get the insurance money. And then have your car fixed. It depends on the damage, but talk to your insurance company to make sure they will still insure the vehicle AFTER you have it fixed. I have done this once before, came out slightly ahead, since an auto body guy owed me a favor, and there was no frame damage.

[WItoTX]

Do you have any options once an insurance company says a car is totaled due to repair costs?

Total the car, then buy it back from them with the money they give you. Then stick the rest into fixing it, if there is any left over. Your insurance agent will help with this.

[flywise]

Total the car, then buy it back from them with the money they give you. Then stick the rest into fixing it, if there is any left over. Your insurance agent will help with this.

This^^^
But you will only be able to carry basic liability from that point on....if that matters

[6.5 shooter]

This^^^
But you will only be able to carry basic liability from that point on....if that matters

And will only be worth 1/2 retail with a salvage title.

[Huntindad]

Do you have any options once an insurance company says a car is totaled due to repair costs?

I figure it is all negotiable. agree on a "totaled " amount and as part of the settlement, you keep the vehicle.

[Etxbuckman]

This^^^
But you will only be able to carry basic liability from that point on....if that matters

Theres a handful of carriers that will insure with full coverage with a salvage title.

[Draco]

Total the car, then buy it back from them with the money they give you. Then stick the rest into fixing it, if there is any left over. Your insurance agent will help with this.

Try to talk the adjuster into not totaling it by telling him that you want to keep it. I had one put the price just under threshold because I wanted to keep it. He was willing because it saved the insurance co. money. No salvage title and I drove it for a while, then sold it for about what claim was. I got almost double what it was worth and didn't have to deal with salvage title.

[Atfulldraw]

Theres a handful of carriers that will insure with full coverage with a salvage title.

Yep, progressive is one of them.

I have full coverage on a vehicle with a salvage title.

[kmitchl]

A friend had a nice older Duramax that got enough water to get the carpets wet in Harvey. Insured with USAA. They totaled the truck but would not consider letting him keep it for the salvage value. The adjuster said that is their policy since Hurricane Sandy. After Sandy there were cars with water damage that would set off the airbags for no apparent reason.