Auto Insurance Claims: stolen car insurance claim, car insurance claim, appraisal clause

Question
Dear Richard,

How do insurance companines go about determining the value of my stolen car?

Thank you,
Dan Courtney

Answer
Hi Daniel,

Insurance companies use several methods of determining the value of a vehicle. Be aware that they will often low-ball you initially.  You should research the value before they contact you with an offer. That way you will know if the offer is fair. You should check out the following websites to determne the retail value of your vehicle.

1) www.nada.com
2) www.kbb.com
3) www.edmunds.com
4) www.autotrader.com

The last one will let you search for currently for sale vehiles like yours in your area.  Average all value info you find to develope and average value then compare that to what the insurance company offers you. If there is a big difference in what you find and their offer you can invoke the appraisal clause of your policy. This would require that you hire a professional appraiser to appraise the value of your car. That appraisal can then be sent to the insurance company to help you negotiate a better price.

I hope this helps
Richard Hixenbaugh