Looking to get a cash settlement after my car was declared a total loss
A few days ago, someone hit my old but trusty car on my way to work, and now their insurance (State Farm) is saying it’s a total loss. The valuation they’re giving won’t even cover a new used car of the same caliber. The damage is mostly cosmetic, with repairs costing about $1,000 to get my car back on the road, but they estimate around $4,000 for all the cosmetic fixes.
My mechanic suggested I reach out to them and propose a lower payout in exchange for not totaling the car. However, every time I call State Farm, I’m immediately sent to their total loss department. Is there any chance I can pursue a cash claim to keep my car, or am I completely out of luck?
I’m sorry to hear about your situation; that sounds really frustrating. When an insurance company declares a vehicle a total loss, it’s often because the cost of repairs exceeds a certain percentage of the car’s value. However, since you mentioned that the mechanical repairs are only around $1000, it might be worth pursuing your options.
Here are some steps you can consider:
Gather Evidence: Document the current condition of your car and gather receipts or estimates for the cosmetic repairs. Make sure you have a clear understanding of its pre-accident value.
Contact State Farm: While it seems you’ve been redirected to their total loss department, try calling again and expressing your desire to discuss a cash settlement instead. Explain your situation clearly and mention that you would prefer to keep the vehicle.
Request the Total Loss Value: If you haven’t already, ask for a breakdown of how they determined the vehicle’s total loss value. This can give you leverage to negotiate if you believe the valuation is low.
Negotiate: Offer to accept a lower cash settlement instead of them totaling the car. Sometimes, they may entertain this option if the repairs are feasible.
Consult with Your Mechanic: Since your mechanic suggested your plan, ask if they can provide additional support or documentation about the repair costs and feasibility.
Consider Seeking Help: If you’re not getting anywhere, consider involving a consumer advocate or seeking legal advice to help you navigate the process.
While it may be a challenging situation, persistence can sometimes yield better results. Good luck!