by calinhonda » Sat May 07, 2011 03:32 pm
Hello!
A few days ago, my car was declared total lost. I filed the claims with the other insurance. They sent me a settlement offer saying the car is declared total loss. What king of charges should be included in the offer. They included the trade-in price for my car. Are there any other charges which should be included in the offer? Is it mandatory to be included title registration fee of the new car I would buy?
Thanks for help!
Calin
A few days ago, my car was declared total lost. I filed the claims with the other insurance. They sent me a settlement offer saying the car is declared total loss. What king of charges should be included in the offer. They included the trade-in price for my car. Are there any other charges which should be included in the offer? Is it mandatory to be included title registration fee of the new car I would buy?
Thanks for help!
Calin
Posted: Sat May 07, 2011 05:14 pm Post Subject:
Loss of use, that is unless they offered to pay for a rental car or reimburse you for one.
Diminished value or "DV" is the loss in market value that occurs when a vehicle is wrecked and then repaired. A reasonably intelligent consumer will not pay the same price for a wrecked, then repaired vehicle, as they will for a vehicle with no prior accident history. Even if the repairs were done well, the vehicle will still lose value. More than likely, is not included in your settlement offer.
Trade in value is not what you are thinking it is. In fact, trade in value will always be much lower (usually) than what an insurer will settle with you. The trade in value is based on a profit margin with a dealer in reference what he will value the vehicle at a price in order for him to make a profit. The insurer will base the value or Actual Cash Value or what the vehicle will be worth in your market. It's not to replace the vehicle or so you may buy a new one (depending on the vehicle) it is what the vehicle is worth in th e current market before the accident occurred. The value is based on the vehicle's over all condition, mileage, options, prior damage unrelated to the recent accident etc.
As far as licensing or registration fees, some insurers offer it some don't. You will need to discuss this with the insurer.
Posted: Sat May 07, 2011 07:36 pm Post Subject: Thank you!
Thank you very much, sir! You answered my question very well. I appreciate it.
One side question: Two days ago, I received a detailed report (more than 10 pages) explaining the breakdown of the car value. The report was done by a independent company (CCC ONE) upon the request of this insurance company. I am pretty happy with the final outcome of this report. However, the insurance company reported the car had not A/C system (car allowances). Because of this, the value of the car is decreased by around $200. I had a hard time negotiating with them about other issues related to this accident. I have no hope they will understand me. What should I do next?
Respectfully,
Calin
Posted: Sat May 07, 2011 08:17 pm Post Subject:
Does the vehicle actually have A/C? If so, that needs to be corrected-even if it will not bring you more money. What other issues are you having?
Posted: Mon May 09, 2011 10:08 pm Post Subject:
I do have A/C. They said 50% my fault and 50% their insurer. Good news: they will reconsider after talking to them this week.
Also, I really appreciate the link you have shared in the first post. I found it informative, helpful and easy-to-use.
Respectfully,
Calin
Posted: Tue May 10, 2011 12:22 am Post Subject:
Good for you! And thank you for the props on the website. It's design is for the consumer, so that they may educate themselves and be informed and not end being the victim of either poor quality collision repairs or being dupped by an insurance company.
Posted: Tue May 10, 2011 12:32 am Post Subject:
Excellent link, trench!! Nothing but GOOD INFORMATION there!!
Posted: Wed May 11, 2011 10:22 am Post Subject:
Excellent link, trench!! Nothing but GOOD INFORMATION there!!
Thank you sir!
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