I know someone probably says this everyday, but I truly think my vehicle is being undervalued in a total-loss settlement.
For context, it is a Unlimited (4 door) 2017 Jeep Wrangler Big Bear Edition (mid-level trim) with 100,500 miles. I also added additions like hardtop, navigation, keyless start, [new tires within 1,000 miles]. There are no major mechanic issues and I've never been in an accident before. My insurance company used CCC-One and values my vehicle pre-tax at $17,447. Essentially, 3-4k less than any comparable on the print-out. I don't understand how though because the comparables around within ~10,000 miles, base trim sport editions, and some have accidents reported yet they're valued around 20,500-23,000. In fact, the cheapest 2017 Wrangler under 150,000 miles within 100 miles of the zip code (15017) is $19,300 for a base level sport edition with 98,000 miles. My adjuster won't explain the cost-breakdown of why my vehicle's adjusted value to the comparables is so much lower other than stated the factors of mileage, condition, and options.
Edit: On the CCC-One report, my vehicle's condition was listed as "Average".
I think I fair valuation of my vehicle is around ~$20,000. Thoughts if I'm wrong of if the CCC-One report's adjusted value is way off.
I think my vehicle is being undervalued – unbiased opinions?
byu/Leading_Peach_1559 inInsurance
Posted by Leading_Peach_1559
4 Comments
Did you run a Kelley blue book on it? You don’t get retail price you will get somewhere between private party and trade in. Insurance doesn’t owe for dealer profit.
Read through the valuation paperwork (which the insurer should have sent you a copy of) and make sure it’s including all your equipment, particularly whether it’s a hard or soft top and whether the wheel type is correct.
100k miles is probably some sort of tipping point for the value.
IDK what “Big Bear” edition is as NADA only lists the Sport, Sahara, and Rubicon, but looking at a Sahara with that mileage in that zip it’s $17,400 in rough condition, $18,800 in average, and $19,900 in clean. IME (at least in the before times before Covid) the correct retail price on a common vehicle was usually a little under halfway between “rough” and “average” since NADA was always high. So that would be like $17,900-$18,200 or so using that method.
I’m looking at Cars.com and see a bunch of Jeeps listed at prices of mostly $19k and up, though some are in the 17’s. Remember those are *asking* prices though, and not necessarily the real price the dealer would need to sell it. Presumably there’s some negotiation room.
Just from a quick look I’d say if the equipment/options on the valuation are correct, and the car is in average condition, then it might be a little low, but probably not much.
You can force your insurer to go to arbitration over the value in a process called “appraisal” that will be described in your policy. Basically you hire an appraiser, your insurer hires an appraiser, and they work on a value. If they can’t come to an agreement the both agree on a 3rd appraiser and then agreement between any two of the three appraisers sets the value. It will probably cost you $500 though. It’s usually not worth it unless you’re pretty far apart on the value.
retail vs actual cash value, think of it like being paid wholesale really. the dealer thats listing the car didnt buy it for 10k to re-list it for 10k
>the comparables around within ~10,000 miles, base trim sport editions, and some have accidents reported yet they’re valued around 20,500-23,000
The Base Sport edition only matters if the comparables don’t have options added like yours had added options (i.e., navigation system, keyless start). The features you added only count toward the value if they were installed and aren’t removable or plug in options.
>my vehicle’s condition was listed as “Average”.
This is a significant deduction. The comparables were likely being sold by private dealers. Private dealers do mechanical checks, clean carpets, headliners, and seats. Some will have seats and carpets reupholstered to improve the resale value. If your vehicle had an average condition for all condition ratings, then that means there was significant damage to carpets, panels, and engine. There was no way to increase the value based on great paint or undamaged seats.