Auto Total Loss – Determining and settling the value of your car!

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

bound by).

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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: