Insurance Company Underestimates My Vehicle’s Value by Selectively Comparing to Low-End Cars
I was recently in an accident where the other driver, a company delivery vehicle, was at fault. The insurance company has declared my vehicle a total loss and is offering me an unreasonably low amount for its actual cash value (ACV). My car is a 2005 Ford Crown Victoria police interceptor with 248,000 miles on it.
My vehicle has been exceptionally well-maintained, with recent replacements of both the front and rear suspension. Additionally, the entire drivetrain has been swapped out for lower-mileage components, and it features several rare options that aren’t typically available on standard models.
To my dismay, the insurance company is offering just $1,770. They’ve arrived at this figure by referencing two comparable vehicles listed over 800 and 1,000 miles away. Both are LX models, not interceptors, meaning they lack essential upgrades like oil and transmission coolers. Furthermore, they’ve deducted over $700 from the price of these comparables based on their assessment of my car’s condition, which they claim is inferior to the average Crown Victoria for sale.
As a professional mechanic, I can confidently say that my car is a standout and serves as a showcase for my business. It certainly hasn’t been maintained like a typical 250,000-mile vehicle, but the insurance company refuses to acknowledge this or justify why my car should be valued less than those they used for comparison.
For context, the total cost to repair my vehicle is $2,250, making their lowball offer even more frustrating as it clearly shows the difference between a total loss and a repairable vehicle.
I’ve also done some research on AutoTrader, where cars with over 300,000 miles are still selling for around $3,400, even in noticeably worse condition than mine.
It feels as though they are trying to shortchange me, forcing me to make a decision about my car without allowing room for negotiation.
I know I’m not obligated to accept their offer. What steps can I take to contest this valuation?
I’m sorry to hear about your situation—it sounds incredibly frustrating! You’re correct that you don’t have to accept their offer, especially if you believe it’s unfair and does not accurately reflect the value of your car. Here are some steps you can take to challenge the insurance company’s valuation:
A list of the unique features or options that make your police interceptor different from standard models.
Find Comparable Sales: Continue searching for similar vehicles, particularly other Crown Victorias that are in similar condition and have similar mileage. Aim to find cars in your local area, as geographic location can impact value significantly.
Get an Independent Valuation: Consider hiring a professional appraiser or getting a written valuation from a reputable dealership or mechanic who specializes in classic or modified cars. This can provide an unbiased opinion on the worth of your vehicle.
Communicate with the Insurance Company: Call or write to the insurance adjuster handling your case. Present your evidence and explain why their valuation is inadequate. Be clear and specific about your vehicle’s unique condition and enhancements.
File a Formal Complaint: If negotiations don’t work, you can escalate the matter by filing a complaint with your state’s insurance regulator. They can intervene and may be able to help resolve the dispute.
Consult an Attorney: If you continue to face difficulties, you might want to consider consulting with an attorney who specializes in insurance claims. They can provide legal advice and may help negotiate a better settlement on your behalf.
Be Prepared to Negotiate: Understand that insurance negotiations can take time. Stay firm in your position, but be open to discussing various options they might propose.
Document everything you do during this process, as it will help bolster your case. Keep pushing for a fair assessment, and best of luck!