Everything you need to know about Totaled Cars
- WHAT IS TOTALED CAR?
- WHEN IS A CAR TOTALED?
- WHAT HAPPENS WHEN YOUR CAR IS TOTALED?
- COVERAGE TO USE FOR A TOTALED CAR.
- TOTALED CAR INSURANCE PAYOUT?
- WHAT IF YOU STILL OWE MONEY FOR YOUR TOTALED CAR?
- WHAT TO DO WHEN YOUR CAR IS TOTALED?
WHAT IS TOTALED CAR?
If you’ve been in an auto accident and your automobile is totaled (also known as a total loss), it indicates that it cannot be repaired or that the cost of repairs exceeds the value of the vehicle.
WHEN IS A CAR TOTALED?
When the cost of repairing a vehicle equals or exceeds its pre-damage value, an insurance company will declare the vehicle “totaled.” If an automobile cannot be safely repaired or repaired at all, an insurance may also declare it a total loss.
WHAT HAPPENS WHEN YOUR CAR IS TOTALED?
When your vehicle is totaled, you submit a claim under the relevant type of coverage to obtain compensation for the vehicle’s value, less any applicable deductibles. The type of coverage you’ll utilize to make the claim will depend on the circumstances surrounding the total loss of the vehicle.
COVERAGE TO USE FOR A TOTALED CAR
|CAUSE OF TOTALED CAR
|COVERAGE TO USE
|Weather related event or vandalism
|At-fault driver’s liability insurance
HOW MUCH IS A TOTALED CAR INSURANCE PAYOUT?
The actual cash value (ACV) of a totaled car will be paid by the insurance carrier. The ACV is the value of a car right before it was damaged, taking into account elements like age, manufacture, model, and condition.
You will be compensated for the agreed-upon value, less any applicable deductible. The payment may also cover the taxes and expenses related to getting a replacement car in some areas.
WHAT IF YOU STILL OWE MONEY FOR YOUR TOTALED CAR?
The insurance provider will pay the leasing company first if you are leasing your vehicle. Your insurance won’t give you any money if you have a vehicle loan; the loan will be paid off first. You will receive the difference in value if your car is worth more than what you owe.
You still owe your lender the difference if you owe more than your automobile is worth. If you have gap insurance, it can shield you from this danger. Otherwise, the remaining loan sum is your responsibility.
WHAT TO DO WHEN YOUR CAR IS TOTALED?
- Fila an Insurance Claim
- Tow the vehicle to an Approved Body Shop
- Gather your Documents
- Research your Car’s Value
- If your car is financed, check the Status of Your Loan
- Start Shopping for a New Car
And remember, always shop around and compare quotes before choosing a vehicle because different cars may have varied insurance costs.