by JJ5 » Fri Feb 20, 2015 12:07 pm
With 100% liability on the other party who hit us, and a direct settlement with their insurance co, and I want to keep the car, here is my question.
If salvage yards say "salvage value" is $1000, and the insurance co says Retained Value/Totaled Buyback(salvage value) is $5000 ,what do I do to buy the car back at current salvage value of $1000 ?
Everybody I have talked to says the salvage value is $500-$1200.
Everybody being a local salvage yard, a nation salvage service,
three employees from my insurance co salvage department, and even the state insurance commission says it sounds very high.
Is there a definition/rules for salvage value?
I was told that these totaled cars may be sent out of the country where the car can be sold as is.
Am I losing $4000 in the settlement because the car is being resold and not salvaged?
Has someone redefined "salvage" to mean "resale in a third world country" ?
Am I competing with a crook in West Africa or South America to buy my car back?
I did not sign any policy contract with this insurance company.
This insurance company has 100% liability for damaging our vehicle. I just want to buy the vehicle back for a fair "salvage Value".
I was told early on in the process that the salvage value would be low, in the $1000 range and there was a bidding process involved. That Salvage yards "don't pay much" and that I could retain the vehicle for that low amount.
Now it seems the rules of the game have been changed and "salvage" value is anything the third party insurance co wants it to be.
What is the most effective and efficient way to deal with this issue?
Thank You in advance.
If salvage yards say "salvage value" is $1000, and the insurance co says Retained Value/Totaled Buyback(salvage value) is $5000 ,what do I do to buy the car back at current salvage value of $1000 ?
Everybody I have talked to says the salvage value is $500-$1200.
Everybody being a local salvage yard, a nation salvage service,
three employees from my insurance co salvage department, and even the state insurance commission says it sounds very high.
Is there a definition/rules for salvage value?
I was told that these totaled cars may be sent out of the country where the car can be sold as is.
Am I losing $4000 in the settlement because the car is being resold and not salvaged?
Has someone redefined "salvage" to mean "resale in a third world country" ?
Am I competing with a crook in West Africa or South America to buy my car back?
I did not sign any policy contract with this insurance company.
This insurance company has 100% liability for damaging our vehicle. I just want to buy the vehicle back for a fair "salvage Value".
I was told early on in the process that the salvage value would be low, in the $1000 range and there was a bidding process involved. That Salvage yards "don't pay much" and that I could retain the vehicle for that low amount.
Now it seems the rules of the game have been changed and "salvage" value is anything the third party insurance co wants it to be.
What is the most effective and efficient way to deal with this issue?
Thank You in advance.
Posted: Fri Feb 20, 2015 01:05 pm Post Subject:
The insurance company needs to base their salvage value on something. How are they arriving at $5,000?
Posted: Sat Feb 21, 2015 12:24 am Post Subject:
Could it be this?
Special Report on Salvage: Marketing American Salvage to International Buyers
Why overseas buyers are such a powerful force in the domestic auction market.
By Caryn Smith
March 1, 2011
http://www.a-r-a.org/article.asp?paper=102&cat=155&article=753
excerpt 1:
"Further complicating the issue, only a handful of countries have the high repair standards that the United States has adopted, which provides buyers from less regulated countries other opportunities for revenue on salvaged cars than just parts. Once a salvage vehicle enters another country, the U.S. title branding is not relevant and the repair of such vehicles is rarely subject to inspection.
Let’s look at what is driving this increased international market.
According to estimated calculations based on public records provided by the larger auction companies, about 1 million of the 3.5 million cars salvaged each year are exported out of the United States. Why the rise? What is so appealing about the American salvaged vehicle? "
excerpt 2:
"The international market is big business. Profit is a strong motivator for companies that facilitate the sale of salvage-branded vehicles, whether or not the auto auctions or private companies buy directly from insurance companies, banks, and dealers specifically for exporting. "
Maybe this seedy practice is hard to explain to the legal U.S person that has to pay 5x-10x more for their salvage while the crooks profit.
Posted: Sat Feb 21, 2015 02:39 pm Post Subject:
Could it be this?
No. Where did they get the actual $5,000 value from? They need to tell and show you this. Why not $4,999 or $5001. Where did they get that _exact_ $5,000 number from?
Posted: Sat Feb 21, 2015 11:58 pm Post Subject:
Thanks for your help.
Waiting for a written answer to that question.
What is the definition of "Salvage Value" ?
The term "Salvage Value" implies the high bid from three salvage dealers = salvage value , right ?
I have no contract with this insurance co. Their insured damage our vehicle.
I am not bound by their contorted definition of salvage value.
As I see it, "Salvage Value" = "Salvage Value" period.
I have been told "retained value" = "salvage value" = what salvage dealers will buy the vehicle for to sell the parts and recycle the core metal that is left.
Selling complete totalled vehicles to unsuspecting buyers in third world banana republics is not a legitimate substitution for a definition of "Salvage Value".
That is not Salvage.
That is something else.
I do not want to pay $ 4000.00 over legitimate "Salvage Value" for the vehicle.
I do not want to pay sales tax on the $3000.00 over "real salvage value" when
I go to register the salvaged vehicle.
I do not want to be a party to our vehicle to go to a third world country to be sold to a unsuspecting buyer for top dollar.
I do not want some scum middleman crook to profit on our vehicle in the process.
Nobody I have talked with says a real salvage dealer will pay much more than around the $1000.00+ range for this vehicle and that I should be able to purchase the vehicle for that price. Period.
This whole process stinks.
Add your comment