I recently hit a deer and filed a comprehensive claim with $500 deductible.
Insurance is stating my vehicle is worth $3700, so $3200 after deductible. They said salvage value is $900, so they are willing to cut me a check $2300 if I buy it back from salvage.
The issue is I found a shop that will repair it for $2000 (official estimate in letterhead), and I want to have them cut a check for me for $2000 so it does not get totalled. I called and insurance insists and wants to pay it out for the $2300 and declare it a total loss.
How can I negotiate with them so I can keep the car with a clean title, but still get paid at least $2000 to get it fixed?
Thanks
Insurance wants to total my vehicle, but i can get it repaired for less than total value. How can I negotiate so they DON'T total my vehicle?
byu/PomegranateOld8 inInsurance
Posted by PomegranateOld8
8 Comments
Every state has a threshold where they must total out the car. You don’t indicate what state you’re in. But it has hit that threshold, there isn’t really an negotiation here. They must declare it a total loss. It’s state mandated. Some states it’s 100% of the value of the car. Some states, it’s more like 70%. Some states use a formula, where it’s the sum of the repairs plus salvage value vs the value of the car.
You can’t. You can either take the money and get it totaled out. Or decline the money, fix it yourself, and keep your title.
No arguing with insurance, they have to follow rules.
Why not buy it back from salvage, take the $2300, have the shop fix it for 2k, then pocket the rest? I saw another comment in here that had mentioned the salvage title, on a vehicle this old with this many miles who cares?
Is there frame damage?
So insurance states the value at$3,700 and insurance is willing to cut you a check for $2300 and let you keep the car. Am I getting this correctly?
In my state if the damages are more than 50% of the value, the vehicle is totalled. My question for you would be: If you accept the offer and fix the car for $2k. What is a salvaged vehicle title that you own worth then? You cannot negotiate the title with the numbers you are providing. If you can prove the repairs are only $1k, that may be possible. You would have to document this!
Your car is going to be considered total no matter what. However you can still keep your car and repair it anyways. That is if the car is paid off, if it has a loan your bank has to sign off on you keeping it.
You will be paid the value of the vehicle minus your deductible and minus the amount the insurance would get for junking it.
Once the vehicle is repaired you have to go through the hoops DMV has in place to change the title from junked to a salvaged vehicle.
I have suggested this in other threads and get an argument when I do. I also don’t have any feedback as to it being successful. Here it is.
You have a shop that will do the repairs for $2000. Have the repairs done. Pay for them. Get the paid invoice and send it the adjuster. I believe that your insurer is contractually obligated to pay for the repair less your deductible, regardless of their internal total loss policies, because your policy does not prohibit you from doing so. And there would be no title issue because there would be no total loss.
Just once, I would like to see somebody do that and report the results.
I would do it if I wanted to keep my car.
Just take the check and move on. Don’t over complicate your life with this sort of shit.
That shop says $2k but that’s just what they can see.