Auto Insurance Claims: Is my insurance company messing with me?, kelley blue book, auto insurance company

Question
Hi,

I need to know if I am getting ripped off by my insurance company and thus need to hire a lawyer, or clarify if they are treating me fairly? (I already posted this to another expert on this site, but after reading your profile, i thought it be more pertinent to ask you, sorry).

I recently got into a car accident where an on coming car was trying to make a left and cut in front of me at an intersection.

I find out that the other driver and I share the same auto insurance company (AAA).  After making my claim, AAA states that the accident was 80% his fault and 20% mine, (when i believe it was 100% his fault).  The autobody shop authorized by AAA stopped (not finished) their damage report once they reached a total loss amount of around $7500.

Now AAA says my options is to leave my car with them and settle for this $7500 amount or take back my car minus the salvage price, and see if i can get it fixed cheaper somewhere else.  

My car is a 2002 Toyota Corolla 68kmiles, which has a market value of at least $8000 - 95000.  Even the Kelley Blue Book value has a mean value of around $8500.  

I think AAA is trying to save money on both sides by making me pay for some of the overall damage.  Either option they give me, results in me paying to fix my car, or buying a crappy used car. I just finished paying off the Corolla a few months ago. Please help.

Answer
Hi Dario,

The insurance companies job is to find ways to rip you off. That way they save money. By assigning each of you a percentage of fault, they will be able to raise the premiums of both of you.

If the cost to repair the vehicle is more than 70 percent of its retail value then it is a total loss.  The insurance company is supposed to pay you the retail value of your car.  However, retail value is not a specific number. Kelley Blue Book shows how much a dealer might ask for a vehicle but not what they actually will sell it for. The get the most accurate value of your car you should go to www.edmunds.com their values are based on actual dealer sales. If the insurance company will not negotiate with you, you will need to invoke the appraisal clause of your policy and you will need to hire an appraiser who will negotiate a fair settlement with the insurance companies appraiser.

I hope this helps
Richard Hixenbaugh