by Guest » Wed Feb 11, 2009 11:56 am
I have a 1999 blazer that I still owe 850.00 on to a lienholder and a week ago I hit a patch of ice and totalled it. Nothing has been said about paying off the loan and the adjuster has already done his break down of what they are offering me for the blazer. I have not settled anything yet, but concerned that the amount that they are giving me (which is lower than I expected) is what they expect the loan to be paid off with. with full coverage does the car always get paid off if it is wrecked and non repairable?
Bev
Bev
Posted: Wed Feb 11, 2009 05:44 am Post Subject:
with full coverage does the car always get paid off if it is wrecked and non repairable?
No, the payment is always Actual Cash Value (value of the vehicle prior to the accident. The agreement between the vehicle owner and the lien holder has nothing to do with what the insurance company owes. I could buy a 1985 Escort for $50,000. That does not mean the insurance company is going to pay that much of the vehicle is a total loss.Posted: Wed Feb 11, 2009 11:55 am Post Subject:
I have not settled anything yet, but concerned that the amount that they are giving me (which is lower than I expected)
Bev you need to work this part out first...what did they value your vehicle to be? and what do you think it's worth and why? have you looked at the evaluation? if not you need to get a copy of it so you can make sure that all the information is accurate..(ie mileage, make, options etc)...it's no uncommon for them to miss something...is what they expect the loan to be paid off with.
most likely minus your deductiblewith full coverage does the car always get paid off if it is wrecked and non repairable?
nope as tcope said, the amount paid (on first party claims like yours) is the ACV (actual cash value) minus your deductible...if you are upside down in your car, then unless you have GAP insurance to pay the balance, it is your responsiblity to pay that.If you'd like I will run a value for you i need yr/make/model (2 or 4 door 2 or 4wh drive, LS, LT or ZR2 package), all options and if there is any unrepaired prior damage, also your state...
Posted: Fri Feb 13, 2009 06:12 am Post Subject:
Hi Bev- nice to see you comment...I told you these guys would help you out!
I bet if you're nice, they'll even be willing to help you figure out close to how much you're entitled to.
No, the payment is always Actual Cash Value (value of the vehicle prior to the accident. The agreement between the vehicle owner and the lien holder has nothing to do with what the insurance company owes.
tcope is right on target. ACV is basically the depreciated value of something. Car insurance settles on an acv basis. For example, if you have 50,000 miles on your tires and they get slashed, you'll be paid for the value of tires with 50,000 miles on them, and not for a new set of tires.
The amount owed on the loan, as you know, has nothing to do with how much your car is worth in the event of a loss. But, knowing what I do about the loss, you will be able to pay off the loan. I know the issue is getting the new car later.
Lori was spot on with this-->
have you looked at the evaluation? if not you need to get a copy of it so you can make sure that all the information is accurate..(ie mileage, make, options etc)...it's no uncommon for them to miss something...Quote:
And make sure that you're not getting whacked for some BS charges like license fees and junk like that...you'll see that, once in a while too.
InsTeacher 8)
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