QuestionMy wife was involved in an accident Dec. 15th. We still do not havethe car back. The other driver was 100% fault as acknowledged
by both parties and State Farm who we are both insured by. The car
should have clearly been totalled considering the original estimate was 5,500.00. Every time they fix one thing, something
else is found wrong. Afterthe $5500.00, they have found suspension damage, frame damage, fan won't cool, rear right wheel
sensor light coming on. Kelley blue book states that 2008 Sonata
is worth between 10,000 qnd 11,000 with 30 K miles. Who in Texas
do I complain to that the damages exceeed what the car is worth
but State Farm is so deep into it financially, they will never
total the car now? This hurts me especially since I bought gap
coverage through Hyundai financing. They would pay the difference
between what the car is worth and what I paid for it. Should I get
an attorney?
AnswerJames,
Fortunately, you have found the right expert to help you with your situation. If you want the car to be totaled, you are at the mercy of the insurance company, on the other hand, it would be very hard for an insurance company to deny that a vehicle is totaled if a salvage title is required, the following law governs when a vehicle should be deemed a salvage vehicle:
Transportation Code, Chapter 501, Subchapter E, provides that a person who acquires ownership of a nonrepairable or salvage motor vehicle, regardless of the year model, must apply for a Texas Nonrepairable or Salvage Vehicle Title prior to further transfer of ownership. Whether a vehicle is a nonrepairable or a salvage motor vehicle is determined by the pre-damaged actual cash value of the vehicle and the cost of repair as given in the definitions below.
SALVAGE MOTOR VEHICLE: A “salvage motor vehicle” is a motor vehicle that:
(1) has damage to or is missing a major component part to the extent that the cost of repairs, including parts and labor other than the cost of materials and labor for repainting the motor vehicle and excluding sales tax on the total cost of repairs, exceeds the actual cash value of the motor vehicle immediately before the damage; or
(2) is damaged and that comes into this state under an out-of-state salvage motor vehicle certificate of title or similar out-of-state ownership document
that states on its face “accident damage,” “flood damage,” “inoperable,” “rebuildable,” “salvageable,” or similar notation.
A salvage motor vehicle does not include an out-of-state motor vehicle with a “rebuilt,” “prior salvage,” “salvaged,” or similar notation, a nonrepairable motor vehicle, or a motor vehicle for which an insurance company has paid a claim for the cost of repairing hail damage, or theft, unless the motor vehicle was damaged during the theft and before recovery to the extent that the cost of repair exceeds the actual cash value of the motor vehicle immediately before the damage.
NONREPAIRABLE MOTOR VEHICLE: A “nonrepairable motor vehicle” is a motor vehicle that:
(1) is damaged, wrecked, or burned to the extent that the only residual value of the vehicle is as a source of parts or scrap metal; or
(2) comes into this state under a title or other ownership document that indicates that the vehicle is nonrepairable, junked, or for parts or dismantling only.
A vehicle for which a Nonrepairable Vehicle Title is issued on or after September 1, 2003, may not be rebuilt, retitled, or operated on the public highways.
Now, you may also be able to force your hand by utilizing a diminished value claim. I would suggest you contact an expert regarding this type of claim as it is common for insurance adjusters to play dumb. You would surely have a couple thousand dollars worth of diminished value if your vehicle is repaired, but it would take a qualified expert to document your loss so that the insurance company will take you seriously. If your diminished value claim is enough of a threat, then it is possible the insurance company will change their mind and total the vehicle.
www.pettydetailsllc.com
We are experts in diminished value, and information is always free at Petty Details, LLC!
I hope this helps.
Justin
