QuestionMy mother was involved in a accident that was not her fault. She owns an older model car that the adjuster has stated he considers a total loss. I am concerned that the adjuster will try to settle for a low amount on the vehicle.
The car is a 1992 Olds 88 Royale and has 130000 miles on it which is very low for this year of auto. Also, mechanically the car is very sound,as we have kept it very well maintained for her over the years. My question is, What if any options do we have it the offer is as low I am afraid it will be? I have checked classifieds to try to find comparatives. Will this help?
Thanks, Mark
AnswerHi Mark,
The offer will be based on the actual cash value of the vehicle immediately before it was damaged. This is the retail value she could have sold it for.
Unfortunately, a car of that age and mileage will not be worth very much to other people, even if well maintained.
The adjuster will either use a vendor to come up with the value, a book value (like NADA or Kelly), or he will call dealerships and get some quotes. You can do the same to make sure the offer is fair. Newspaper ads are not helpful because this is the asking price, and the selling price is often much lower. Thats why calling dealers is helpful for their opinion.
If the value is lower than you like, you might be able to retain the salvage and get the car repaired. But keep in mind the insurance company will deduct the salvage value from their offer, so you will get less. Also, make sure that you only use a reputable repair shop and they assure you the care will be safe to drive.
