How Much Is My Totaled Car Worth: A Guide to Insurance Claims
If you had to guess what the most recycled product across the globe was, then what would you say? Did you guess the correct answer automobiles?
When you’ve been in a serious crash, your insurance company may say your car is a total loss. Your first thought will likely be, “how much is my totaled car worth?” Should you recycle the parts? How will you recover from your losses?
If these questions are swirling around your head, then you’ve come to the right place. Read on to get answers to all your totaled car questions.
Why Is My Car Considered a Total Loss?
You received the news from your insurance company, and now you’re questioning what to do next. You may wonder why your car got deemed a total loss to begin with.
Here are the factors an insurance company considers when making that important call:
- Your car’s overall value
- The age of your car
- The total cost of repairing the damages
- The cost of a rental vehicle while repairs are done
In general, insurance companies total cars that cost too much to fix. Insurance companies use different formulas. For most, the threshold lies around 75%. In other words, if repairs will cost 75% of the car’s value, then it’ll get totaled.
That doesn’t mean that your car is worthless, though. Find out below how much your totaled car is worth.
How Much Is My Totaled Car Worth?
Your vehicle is a total loss according to your insurance company. Now, you have two options:
- Accept a cash settlement for the value of your car
- Ask for the title and keep the damaged car
Your car’s value gets calculated based on a vehicle valuation database.
It’s no surprise that many customers choose to accept the cash payment. This isn’t always the best option, though.
Scrapping a car means recycling it by selling all the undamaged parts. You could do this process yourself, or sell the whole car to a junkyard. This often results in a higher payout than accepting a cash sum from your insurance.
Financial Recovery After a Crash
Property damage is only one aspect of your losses after an accident. You may also have incurred medical bills. On top of that, you might be missing work due to your injuries.
If this description matches your scenario, then you need to think back to the accident. What caused it?
If someone else was at-fault, then you have legal recourse. Seeking out a personal injury lawsuit may be in your best interests. Reach out to an attorney if you’re considering this route.
Get Your Money’s Worth After an Accident
After a serious accident, you’re likely asking yourself, “how much is my totaled car worth?” This concern is likely paired with worries over medical bills and getting back to work.
If you follow these steps, then even a totaled vehicle won’t slow you down. Are you looking for more insightful information to help you live your best life? Head over to our home and kitchen section for more of our latest content.