by Ginseng » Sun Oct 02, 2011 03:21 am
HI everyone,
First of all, thank you for keeping such a friendly and knowledgeable community. I'm really glad to have found this place. Now, on to my dilemma.
Last week, my wife was rear-ended while at a full stop. The other company had accepted responsibility and our paid-off 2006 minivan was declared totalled. We're faced with the prospect that the settlement on ACV may leave us having to put out thousands to replace it with a vehicle we want and trust. To complicate matters, she has had back surgery in the past (with implanted hardware) and the orthopedist has determined there was soft-tissue trauma to her shoulder.
Am I naive in thinking that we'll be made whole, meaning being put in a state much like we were before the accident? We took great mechanical care of the care but it has a couple of cosmetic issues. We don't want to profit from this, we just want things to go back to the way they were...with us not being out any money. Mortgage, tuition, retirement being better things to spend our modest means on. Just like if this had never happened. Is this a pipe dream? Should we retain a lawyer? Any advice would be greatly appreciated.
W
First of all, thank you for keeping such a friendly and knowledgeable community. I'm really glad to have found this place. Now, on to my dilemma.
Last week, my wife was rear-ended while at a full stop. The other company had accepted responsibility and our paid-off 2006 minivan was declared totalled. We're faced with the prospect that the settlement on ACV may leave us having to put out thousands to replace it with a vehicle we want and trust. To complicate matters, she has had back surgery in the past (with implanted hardware) and the orthopedist has determined there was soft-tissue trauma to her shoulder.
Am I naive in thinking that we'll be made whole, meaning being put in a state much like we were before the accident? We took great mechanical care of the care but it has a couple of cosmetic issues. We don't want to profit from this, we just want things to go back to the way they were...with us not being out any money. Mortgage, tuition, retirement being better things to spend our modest means on. Just like if this had never happened. Is this a pipe dream? Should we retain a lawyer? Any advice would be greatly appreciated.
W
Posted: Sun Oct 02, 2011 05:09 am Post Subject:
I know a lot of the insurance experts here will probably advise you not to speak to a lawyer right away. While that advice certain has its merits, personally, I would get a few referrals from people you trust and talk to a few lawyers and see what they have to say.
I know the 33% sounds like a lot to pay a lawyer. But in the short span of my life, I've seen that the value of settlements can be up to 500% higher by using a lawyer. Of course the details of every case are different, so there's no way to determine if it was the lawyer, the details specific to that case, the insurance company, etc.
But no matter what you do, do not sign any medical releases or any other releases unless you completely understand what you are agreeing to. Even when I was just settling the property damage portion of my wife's accident, they buried all kinds of other releases in the paperwork. So watch out!
I know some will say the insurance company's goal is to "make you whole", but in my experience, their job is to minimize the money they pay you. They have decades of combined experience working to that end. What do you have?
Just some things to think about.
Good luck to you.
Posted: Sun Oct 02, 2011 01:18 pm Post Subject:
Thank you for that sensible advice. I am definitely leaning toward hiring a lawyer. It just doesn't seem right or satisfactory on one level that settlement is based on something as bare as the cash value of an automobile. There's all the time and effort wasted to actually research and purchase a replacement.
W
Posted: Sun Oct 02, 2011 11:54 pm Post Subject:
There's all the time and effort wasted to actually research and purchase a replacement.
I'm sorry, just to clarify since I wasn't clear: my advice to speak with a few lawyers pertains to the personal injury portion of your claim. You want to make sure that you and your wife are protected in the event that she has complications.
As for the property damage, you typically have to deal with that on your own. And you generally don't get paid for that wasted time and effort of looking for a replacement. If you do get a lawyer, he may be able to advise you on your property damage case. But you'll still have to fight it out with the insurance company.
Unfortunately for you, "cosmetic issues" are extremely visible while "great mechanical care" is a little more difficult to see. You can get the adjuster's report in writing to find out how they came up with their valuation, including what condition they listed your car as.
Good luck to you.
Posted: Mon Oct 03, 2011 02:29 am Post Subject:
Thank you, sir.
Wilkey
Posted: Mon Oct 03, 2011 06:04 am Post Subject:
If you are thinking of getting an attorney to handle your property damage you won't find one. Some may tell you they will assist you but that will probably just be a few calls and that is all. Attorneys don't handle property damage on a continence basis. Actually, personal injury attorneys now very little about property damage. There is no money in it for them. If there were... it would be 33% of the property damage settlement. As such, you'd walk away with far less using an attorney. But as I said, they won't really help with the property damage, only the injury portion of your claim.
It's not difficult to replace a vehicle... most people can do it in a day or two. Esp. with the ability to search online.
Posted: Tue Oct 04, 2011 06:05 pm Post Subject:
We're faced with the prospect that the settlement on ACV may leave us having to put out thousands to replace it with a vehicle we want and trust.
Unfortunately, the concept of indemnity does not entitle you to more than the ACV of the vehicle (as far as the property portion of your wife's claim is concerned). To understand this better, you have to think outside the collision box.
If your wife drove that day to a dealer with her 2006 minivan and said, "I want a new vehicle that I can trust," the dealer would offer her something for the minivan as a trade-in and you would still be facing thousands of dollars in additional cost to obtain the new, trusted vehicle.
When the insurance company writes you a check for the same/similar amount of money that the dealer would have given you, you have been "made whole". You are not "out any money" to any greater extent than if the vehicle was undamaged and you wanted to sell it or trade it in. To expect a whole new (2011) vehicle is not how auto insurance works -- none of us has "replacement cost" coverage.
An attorney will not get you more, and even if they did, as tcope has said above, you would end up with less.
The personal injury side of the claim is entirely different. Although it does not sound like your wife has any serious injuries, her medical expenses and "pain and suffering" will be compensated by the at fault party's insurance company. If you don't feel they are being fair, and find yourself at an impasse in negotiating a settlement, THEN you would consider the possibility of using an attorney to help obtain a larger settlement -- at a cost of 30%-40% of the settlement. That could end up leaving you with less than the insurance company is already offering.
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