What is the car total loss procedure? Once you are in one
accident, the insurance company must inspect the vehicle and determine whether
the damage was significant enough to declare a complete loss.
Most insurance companies will want to inspect the vehicles
himself. In most accidents, insurance companies have licensed body shops
write estimates and ultimately pay them based on that estimate.
However, when one potential for a car total loss, most insurance policies
companies want their insurance adjuster to inspect the vehicle.
The reason for this is the conflict of interest that arises
from the agreement between the insurance company and the bodyshop. Bodyworks
are engaged in repairing cars. They have every interest in the
repairs so that the car can be repaired and not declared a total loss.
For all practical purposes, that means you will be
wait longer. It usually takes two to three business days for the refinisher to do this
prepare a repair budget. If the loss adjuster or field representative has
to inspect and write their own estimate, then you wait three to five
more days to go to the location of your car.
Before the regulator comes out, he/she will submit everything
relevant information about your car (year, make, model and mileage) to a third party
party company. This company usually is CCC
Information Services Group, Inc. CCC will prepare a preliminary report
determine the value of your car so that the loss adjuster knows what the insurance is
company would look if there is a total loss.
Depends on your state law and the specific insurance policy
company, there will be a car total loss when the insurance company thinks so
the cost to repair the car is 70%, 80% or even 90% of the total value. It is
always a good idea to ask the adjuster what the threshold they are using
determine a total loss.
When the vehicle is estimated by the car total loss
expert, this person will look at the condition of the vehicle. She
will notice how “clean” the vehicle is, what the exact mileage is and what
equipment and options that the car has. All this information will be reflected in
the final evaluation of the vehicle.
The appraiser will then submit the inspection report again
to CCC. CCC sends a final report with comparative prices for the vehicles
at your local market. They determine the market value of the car
is and what a fair settlement offer would be. For more information on how
dispute this report visit:
The expert must then determine who the pledgee belongs to
the vehicle is. If you have a car loan, the insurance adjuster should get it
information so they can contact the bank to determine how much is owed. Over there
are several requirements that insurance companies must meet. If the insurance
company you are dealing with is your own company (you claim the car total loss
against your own insurance company), then they are bound by the terms of the
policy, requiring them to pay the bank first 99% of the time. If you are
make a total loss against someone else’s insurance company (the person who
hit you), then this requirement does not exist (there is no real policy to be
If you have a loan, the loss adjuster will do that
request a surety from the bank. This letter is an agreement between
the bank and the insurance company that pay out x amount to the bank
will release the title of the car directly to the insurance company. This one
process usually takes four to five days.
If the amount you owe for the car is less than what the
insurance company pays for the car total loss, then the insurance company
pays the loan amount and then immediately issues a second check. If the loan
amount is higher than what the car total loss offers, then you are on your head
your loan. You must continue to pay, even if the
car title is transferred to the insurance company.
Once you have received payment for your loss, you can do so
go out and get another car. For more information about the total loss process and how
to protect your interest, please visit: