Car Considered Total Loss but Still Driveable
Hi everyone,
A couple of weeks ago, I had a collision with a deer while driving our 2015 Subaru Outback. Although the damage is purely cosmetic, our insurance company (Meemic) has classified it as a total loss.
We believe the car still has at least another 100,000 miles left in it, and the last thing we want to deal with right now is the hassle of buying a new vehicle. We haven’t saved enough to pay in cash, and I’m not keen on taking out a loan and paying interest on something I don’t view as a valuable investment.
Can anyone provide insight into the insurance implications of continuing to drive a car that’s deemed a total loss? What should we be prepared for moving forward? Thank you!
It’s frustrating to have your vehicle deemed a total loss when you still feel it has a lot of life left in it. Here are some points to consider moving forward:
Insurance Terminology: When your insurer declares a car a total loss, it means that the cost of repairs exceeds a certain percentage of the car’s value. In your case, since the damage is cosmetic and you believe the car is still driveable, you might want to discuss with your insurer the reasons behind their decision. They might offer a settlement that you could negotiate.
How to Proceed with Driving: If you decide to keep the car and continue driving it, make sure to understand that while you can drive it, it may not be covered under your policy if you have a total loss declared. Check your policy for any clauses about using a vehicle that has been deemed a total loss.
Insurance Coverage: You should maintain your current insurance coverage as long as you intend to drive the vehicle. Just ensure that your liability and collision coverage are adequate for your situation, especially since you’ve been involved in an accident.
Inform Your Insurer: It’s a good idea to inform your insurer of your decision to continue driving the vehicle, even if they have deemed it a total loss. That way, you won’t run into issues later on.
Potential Future Claims: If you have another incident while driving a vehicle that has been declared a total loss, it might complicate claims. Insurers often treat totaled cars differently in terms of liability and coverage, so keep that in mind.
Consider Repairs: If the car is only cosmetically damaged, you might want to consider getting quotes for repairs and see if they are affordable. If the sum is lower than the total loss threshold, it could change your status with the insurer, but this may vary by state.
State Rules: Be aware that laws regarding driving a totaled vehicle vary by state. Some places may require you to have a salvage title or handle other legal documentation before continuing to drive the vehicle.
Future Vehicle Planning: Since you’re not ready to purchase a new car, planning your finances for future repairs and possible vehicle purchase can help. Set aside a little each month to build that reserve for a potential replacement or further maintenance down the line.
It’s a tough situation, but with careful planning and communication with your insurer, you can navigate this while maximizing the use of your car!