by gitanos13 » Fri May 22, 2009 08:30 pm
My 2002 Mercedes-Benz C230 Kompressor was recently declared a "Total Loss" by my insurance company, after I was rear-ended by a 2500 Silverado (Uninsured Motorist). I have accepted the fact of the "Total Loss", and they will pay the remainder of my loan.
My issue however is that I want to keep the car and when looking over the report, the insurance company has under valued my car, deducted too much for mileage and they are asking for a high "salvage value" if I decide to keep the car.
I have done my research on KBB, NADA, Edmunds and even MotorTrend. My car has 137,474 mile (I know it's high), however the most I found be deducted for that high mileage was $1,900 and my insurance wants to deduct $2,430. They valued my car at about $6,800 and the average I get with similar miles (actually higher 137,500) is $8,300. Even the dealer where I bought it from, sent me two KBB print outs (one from when I bought it and one from the date of accident) and he told me that the car went up about $700 in value ever since I bought it (Feb. 2009).
The "salvage value" the insurance quoted me is $1,500, but calling several dismantling yards the range was between $500 - $1000.
I feel my insurance is trying to short change me and when I asked how they came up with the figures, the answer was well we don't use KBB or anything like that we use Audatex. I found out that Audatex is bias since they only tailor and offer their services to insurance companies and they even provide training, not to mention they provide no public access or services for anybody to use like KBB or NADA. I don't feel that represents the market.
Even I did searches on craigslist, Autotrader and Cars.com and I even found one car with more mileage than mine (141,000) selling for $7,500.
For the life of me I can't figure out how they arrived at the mileage adjustment and I read somewhere that you can search for the National Average and ask the insurance company to at least drop their rate per mile calculation to the National Average ($.35/mile???)...but it's nowhere to be found.
Is there anything I can do to better negotiate this. I mean I have my research, which I feel represents a more accurate picture of the Market (Fair Market Value), plus I know that here in California if you end up in court, the court only admits KBB as an official source.
I am not trying to be greedy, just get what's fair for me, since the insurance co. does have a feduciary duty to me based on our agreement. Any help will be greatly appreciated.
Thank you.
Ramon.
My issue however is that I want to keep the car and when looking over the report, the insurance company has under valued my car, deducted too much for mileage and they are asking for a high "salvage value" if I decide to keep the car.
I have done my research on KBB, NADA, Edmunds and even MotorTrend. My car has 137,474 mile (I know it's high), however the most I found be deducted for that high mileage was $1,900 and my insurance wants to deduct $2,430. They valued my car at about $6,800 and the average I get with similar miles (actually higher 137,500) is $8,300. Even the dealer where I bought it from, sent me two KBB print outs (one from when I bought it and one from the date of accident) and he told me that the car went up about $700 in value ever since I bought it (Feb. 2009).
The "salvage value" the insurance quoted me is $1,500, but calling several dismantling yards the range was between $500 - $1000.
I feel my insurance is trying to short change me and when I asked how they came up with the figures, the answer was well we don't use KBB or anything like that we use Audatex. I found out that Audatex is bias since they only tailor and offer their services to insurance companies and they even provide training, not to mention they provide no public access or services for anybody to use like KBB or NADA. I don't feel that represents the market.
Even I did searches on craigslist, Autotrader and Cars.com and I even found one car with more mileage than mine (141,000) selling for $7,500.
For the life of me I can't figure out how they arrived at the mileage adjustment and I read somewhere that you can search for the National Average and ask the insurance company to at least drop their rate per mile calculation to the National Average ($.35/mile???)...but it's nowhere to be found.
Is there anything I can do to better negotiate this. I mean I have my research, which I feel represents a more accurate picture of the Market (Fair Market Value), plus I know that here in California if you end up in court, the court only admits KBB as an official source.
I am not trying to be greedy, just get what's fair for me, since the insurance co. does have a feduciary duty to me based on our agreement. Any help will be greatly appreciated.
Thank you.
Ramon.
Posted: Fri May 22, 2009 09:58 pm Post Subject:
I know that here in California if you end up in court, the court only admits KBB as an official source.
How do you KNOW that Ramon? No ins. company uses KBB, many use NADA...did you get a copy of their print out? did you go over it to make sure everything (re: your vehicle) is correct? If not do that first...Does your policy have an appraisal claus? Pull it out and see if it does (all states don't)....As to the salvage value, if they have a contract that this is what they will get for the salvage then, you can't do anything about that...If they don't then you might have some room to negotiate...Ask them how they arrived at the salvage value EXACTLY...
In the meanwhile do a local 'market survey' call three or four good used car dealers, ask them what they would ask for your vehicle (pre-accident of course) on their lot...get names, phone numbers etc...remember 'ask' and 'take' are two different animals...
Let us know about the report, and what they say about the salvage value.
Posted: Sat May 23, 2009 08:37 am Post Subject: In regards to court and KBB
Calling several different attorneys and retaining one for my pain and suffering, I was told such information in regards to courts and KBB.
Generally it is my experience that Attorneys usually do not negotiate the property part of accidents, especially when it's a case with UM and possible "Total Loss" on the grounds that they don't really make money on it.
As far as Market Survey is concerned it is my understanding that asking the dealers what they would give me for the car is considered "wholesale" and what they would let a car go for or "Take Price" is retail, or the actual replacement measuring tool. Now I don't really know and maybe I've been misinformed, hence recurring to this forum.
As mentioned before, using NADA, it gives me a value of about $8,200 (mileage and options - leather, CD changer, 19+ inch premium wheels, etc.)
As far as the Ins. Co. using Audatex, it is on the brakedown they sent me and the adjuster personally told me. And as for everything being right on the vehicle, well it's not. They did not include the CD changer for example or the leather covered steering wheel (I assume that the Custom Rims are in a Gray area).
I will let you know about the salvage value though, I have not asked them how they arrived at that figure.
Thanks.
Posted: Sun May 24, 2009 11:35 am Post Subject:
As far as Market Survey is concerned it is my understanding that asking the dealers what they would give me for the car is considered "wholesale" and what they would let a car go for or "Take Price" is retail, or the actual replacement measuring tool. Now I don't really know and maybe I've been misinformed, hence recurring to this forum.
You are owed what it would cost to replace a vehicle like the one you had prior to the accident...so that is 'take'...As mentioned before, using NADA, it gives me a value of about $8,200 (mileage and options - leather, CD changer, 19+ inch premium wheels, etc.)
I ran it in NADA gat about the same (leather seats, cd changer wheels, do not add value to this particular vehicle in fact 'no' leather or power seats deduct)...only options I show on the vehicle (that matter) are Bose stereo, nav. system, power sun roof, sport package..then deductions for no pwr/leather seats or manual tranny...but that's per NADA...the options could matter onn their system...so make sure they have them in there..just fyi, never seen where a leather wrapped steering wheel adds value...I will let you know about the salvage value though, I have not asked them how they arrived at that figure
Ask them about it...let's see what they say....did you mention what state you're in? let us know that as well.Add your comment