If you owe more than the value of a car that was declared a total loss how much does the insurance company pay?
Typically the insurance companie will pay the cost of the vehicle at the time of loss, they will not pay anything more. If you purchase a vehicle that is higher than blue book, then consider gap coverage to help with this type of situation.
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If you settle a total loss with an insurance company & choose not to keep the car, you have to send them your signed title and release possession of your vehicle to them in or…der to be paid for the claim. You do have the option of retaining it for less settlement money (due to salvage value and, in certain states, license & fees, taxes, etc...If you choose to retain, you will still not be paid for the repair of your vehicle, it is still totalled. Depending on the state, you also must get a salvage title on the vehicle until you have had it repaired & inspected by the state to be deemed roadworthy before applying for a rebuilt title.
If your car is declared a total loss how much will the insurance company pay back to you if the car was purchased below book value?
Regardless of what you paid for the vehicle, in most cases,if your vehicle is deemed a total loss, you will be paid the local market value of your vehicle. If you happened to …purchase your vehicle for less than that, you lucked out:)
What happens when your vehicle is declared a total loss and you owe more than what the vehicle is worth?
Answer . \nOk - There are a few things that may very well effect the outcome and answer to your question. I am an Insurance Adjuster in CA, NV, and CO. I am by no means an …expert on the entire nation. Just a Few disclaimers\n1. Every state is different - some have similar Laws, but you should also\ncheck the laws in your specific state before taking any of this as Gospel.\n. \nOK! That asside, If your vehicle is deemed a total Loss and you owe a Finance company MORE than the actual cash value of the veh, FIRST! Question the Insurance agency on How they determined the Actual value. They will use one of a few services - ADP or CCC. These companys will do a Market survey and by way of personal sales and dealer quotes in your area - they will find these listings in local publications - they will determine the ACV of your vehicle. Now. YOU Should ALSO be Looking online, In local Papers - At local dealerships, Etc to find out what it will cost to replace your vehicle. If your estimate for a Vehicle with similar Mileage and Similar condition is More than the Insurance Company's - SAY SOMETHING!! it is all negotiation! Find as many Quotes as you can to support your Amount. \n. \nONCE you are satisfied that you are getting a fair cash value for your vehicle - You need to find out if you carry GAP insurance.\nThis is coverage that you might have purchased at the time you bought your vehicle. The finance company is usually the one that sells it and it adds about 500 to the total cost of your Loan - depending on the kind of vehcile you purchase. Start by contacting your finance company - if they say that you don't have Gap insurance - Check with any other insurance policy that you may have. \n. \nNow If you have exhausted all of these posibilities and you still Owe more than your vehicle is worth, Call the finance company right away. with some creative and polite and professional discussion, Most of the time - they will re-write the amount owed into a signature loan - Sometimes they will reduce the amount over all or reduce the interest rate. \n. \nOther than that - there is not much you can do. Lesson to be learned - ALWAYS ALWAYS PURCHASE GAP INSURANCE!!!!!!!!!!!!! IT IS WORTH IT EVERYTIME!!!!
Is it possible to get more than the blue book value of a totaled car if the insurance company offered 6k but you need 10000 to pay 10 percent in taxes plus finance costs for a new car?
Answer . \nYou should expect to get the amount necessary to purchase a similar car in similar condition inclusive of taxes and registration fees. If you owe more on your t…otalled car than what it is worth you are still obligated to the finance company for the balance of the loan.
Answer . The fair market value for your car at the time before you got into the accident. It may not be enough to replace your car, if you have GAP insurance through your b…ank, then it should cover the cost of replacing the vehicle.
What do you do when you total a car and still owe the finance company more than the retail value that insurance will pay and you have no gap insurance?
\n. \n Answer 1 \n. \nI hate to have to be the one to tell you this, but there is not too much you can do. If you feel the insurance company's valuation is wrong, and th…e settlement is unfair, you could discusss your situation with one or more ATTORNEYS ["usually," a first visit is free]. Don't go to any attorney that doesn't offer free first consultations, as there are many who do.\n. \nOtherwise, you're just going to have to make the best of a bad situation. In order to do that, I sugguest:\n. \n1. Discuss your situation with your finance company and, with a whole lot of luck, they MAY forgive PART of your note.\n. \n2. UNLESS there is a PREPAYMENT PENALTY clause in your loan note, take the ENTIRE settlement money and pay it ALL to the finance company. This gets your balance as low as possible.\n. \n3. TO PREVENT DAMAGE TO YOUR CREDIT RATING, AND a lot of continuing collection pressures, continue to make your payments until your loan is fully paid off. Not only will this protect your credit record, and prevent a lot of harassment, it is the right thing to do.
How much will you have to pay to get your car back if it was totaled and the insurance company refuses to pay?
The insurance company will pay you the worth of your car minus your deductible.
If your car is deemed a total loss, the insurance company will only pay up the value of the vehicle. They will have nothing to do with the repairs. If the vehicle is worth $5,…000 and the damage is $8,000, you are going to pay $3,000 out of your own pocket. Once the insurance company pays you that $5,000, they are out of the picture. Just be prepared for a 'salvage' fee to be deducted from your settlement by the insurance company. That is what they would have gotten for your vehicle if you had surrendered it to them.
If you purchased GAP insurance it will pay the difference between what the insurer pays and the amount left on the loan. . If not you need to determine how the insurer came u…p with the amount they say your car is worth. If they used a company called CCC you have a chance to get more money buy questioning how CCC came up with the value. Somewhere on the net is 20 questions you can send to the insurance company about how they detirmined the value of your car if they used CCC that they can't awnser and helps you get a more fair evaluation of your cars worth.
What type of insurance will pay for damage to your car or to replace your car if it is declared to be a total loss?
Yes. Collision coverage pays for damage to your vehicle, minus the deductible, regardless of who is driving it. Also, if you loan your vehicle to someone they are considered a… permissive driver and you are liable for damage they cause in your vehicle even if they have their own insurance. Insurance always applies to the car not the driver.
Physical damage coverage pays for damage done to your vehicle. This is divided into two policy provisions, comprehensive and collision. Collision is if you hit something or tu…rn the vehicle over. Comprehensive is about everything else, including theft, vandalism, animal collisions, fire, glass breakage, etc. So the main thing you will need to determine is what caused the damage. If you hit a deer then it will be a comprehensive claim. If you hit a telephone pole or another vehicle then it is a collision claim.
Attorney General,s office where you live. Also try the Better Business Bureau Added: Contact the State Insurance Commission of your state and file a complaint.
No. That would still be your responsibility.
Will your auto insurance company pay for repairs if the total amount of repairs is more than what the car is worth?
In my experience, in a number of countries, Auto Insurancecompanies will not pay for repairs unless the repair is result ofan accident. Then only what the car is worth.
Does an insurer have to pay you the value of the wreck recovery if a car is a total loss and under insured?
They will only pay up to the limit on the policy.