QuestionWhile traveling out-of-state, my wife hit a cow that had gotten loose late at night and was in the middle of a dark road. She ended-up in the ditch, which resulted in additional auto damage. Glad to report that the SUV did as designed and crumpled around her and she was able to walk away unhurt. (Kudos to OnStar which pinpointed her location and send help). Unfortunately, the cow didn't make it. Adjuster has not gotten back to us, however my guess is that the damage is around $12,500 to $15,000(front end torn off, damage on remaining three sides). My questions are as follows:
1) In determining the market value of the SUVs, will they use the current selling prices of similar SUVs in the vicinity of the accident or in our home area? The distance is 400 miles.
2) Will the insurance company pursue a claim against the owner of the cow, and if so, will we also be able to pursue a claim for our deductible ($1,000), rental car costs and other out-of-pocket items?
3) Should we expect a premium increase? (Been with our carrier over 10 yrs with no claims)
4) The loan balance on the car is likely higher than market value. When we purchased the vehicle, we had the dealer provide GAP insurance. What kind of obstacles should I anticipate from the GAP insurer? For example, with they claim the value of the car is higher that what are auto insurer claims, and thus deduct the difference? (or any other atypical condition that typical arises with GAP insurers)
Thanks for any assistance you can provide.
AnswerHi Pat,
1) You can count on your insurance company making you a low ball offer for your vehicle. You should research the value yourself before thay make an offer. Check, www.nada.com, www.kbb.com, www.edmunds.com and www.autotrader.com. The last one will allow you to check currently for sale vehicles like yours in your area. You should be searching within 100 miles of your residence.
2) Your insurance company will pursue the "farmer" for reimbursement of what they paid out plus your deductible. You can ask them to include your rental, however, you may need to do that your self. Call the "farmer" and get his insurance info.
3)Since this was a not at-fault event, you should not see any premium increase.
4)This is where your value research will payoff. If you do your best in negotiating the value of the vehicle with your insurance company the GAP insurer should have no problems. You may want to keep the GAP insurer advised of the offers you are getting from your insurer before you accept anything. This was you can be sure you do not get burned.
I hope this helps
Richard Hixenbaugh
