QuestionI was involved in a hit and run accident in which I actually got the drivers license plate number. We had an adjuster come out and review the vehicle and it came back that they wanted to total loss the vehicle. Well, we put about $3000 in new parts like a transmission, tie rod ends, brake boost, and a fuel pump in it so we don't want it total loss at all. They are offering an amount that is ridiculously low and we couldn't even buy another van with it. The vehicle drives fine and the damage is all cosmetic. It just needs an alignment and the side fixed from the hit and run driver. The adjuster told us that if we didn't accept the total loss then we have to withdraw our claim according to Florida law. I want to know if that is even true and if this sounds like I need a lawyer involved. What should i do? Please help me.
Answer Hello Rachel,
I am attaching a link to my blog which explains the actual Florida law that relates to total losses. As you will see, one major element is the age of your van.
In a nutshell, insurance companies will not pay to repair a vehicle if the damages exceed 80% of the value of the vehicle. There is the key - value. In order to determine a fair value for your vehicle, you need to calculate as an insurance company would. Also, it is usually not advisable to take the first offer. But in order to negotiate up, you need to understand what a fair value for your vehicle is. Follow this simple formula:
1. You must determine a fair, actual value for your car. Begin by locating some online sources.
2. Insurance companies will usually set your value somewhere between the dealer price and the trade-in value. But the key is that they also take other factors into consideration. Translated, that means if your car is not in "excellent" condition, subtract value. If your mileage exceeds 15,000 per year, deduct more.
Be fair. Is your vehicle really worth as much as you had hoped or did your repairs actually exceed it's value? Those are the hard questions you will need to answer.
Generally speaking, the adjuster is right - but bear in mind I don't know the age of your van. Except for older vehicles, once a car is totaled the insurance company must take possession. Keeping it is not your option, according to Florida law. So technically, yes, the only way for you to keep it would be to withdraw the claim. Unfortunately you would then be stuck with a "rolling total", which literally has no value. And the cost to repair would exceed its value. Not good choices. You are probably better off to accept a fair value for the total loss.
Read this article and you should have a better understanding of your choices. Good luck.
http://www.floridaautoinsurancecentral.com/2011/05/06/who-decides-if-your-car-is
Jane Pytel
http://SolutionsForYourInsuranceClaim.com
http://FloridaAutoInsuranceCentral.com
