Insurance Declares My Car a Total Loss
My 2015 Honda was recently damaged when a large tree branch fell on it, leaving a significant dent in the roof. While the car is still drivable and operates fine, I contacted my insurance company to see about getting the damage repaired. After they evaluated the situation with photos, they determined that the car would be classified as a total loss, estimating repair costs at around $10k and offering me a $13k settlement.
I’m not sure what the salvage value is yet, but I’m thinking about keeping the car since it’s still functional. I also got a repair estimate from a local auto shop, which came in at $3.5k. Should I share this lower estimate with my insurance? Would they consider it and potentially change their decision? The whole total loss classification feels confusing, especially since my car drives well and has plenty of life left in it.
I’m located in Washington state, and it looks like I might have to go through a rebuilt title process if I decide to keep it. Any guidance on how to handle this situation would be greatly appreciated. Thank you!
It sounds like you’re dealing with a challenging situation, and it’s understandable to feel confused about the total loss process, especially since your car is still drivable. Here are some steps you could consider taking:
Communicate with Your Insurance: Yes, you should definitely share your independent repair estimate of $3.5k with your insurance company. This may prompt them to reconsider their total loss decision, especially since the difference between the repair costs and their total loss threshold is significant. Be clear about your concerns and the fact that your car is still functional.
Understand Total Loss Criteria: In many states, including Washington, insurance companies declare a vehicle a total loss if the cost of repairs exceeds a certain percentage of the car’s value (often around 70-80%). It seems that your car’s repair costs are well below this threshold according to your own estimate.
Consider the Salvage Option: If your insurance still insists on declaring a total loss, you may have the option to keep the vehicle and negotiate the salvage value. Make sure you understand the implications of keeping a vehicle with a salvage title, as this can affect its resale value and insurance premiums in the future.
Research Rebuilt Title Process: If you opt to keep the car and repair it, you will indeed need to go through the rebuilt title process. Research the specific steps required in Washington State, such as getting a vehicle inspection and obtaining a new title that reflects the rebuilt status.
Negotiate: Be prepared to negotiate with your insurance company if they stand by their total loss decision. The lower repair estimate could leverage your case.
Seek Additional Help: If you’re feeling overwhelmed, consider seeking advice from a legal professional or an insurance adjuster who can provide more personalized guidance based on your situation.
Overall, presenting your repair estimate to your insurance company could potentially change their position, so it’s worth a shot. Good luck navigating this, and I hope it works out in your favor!