Auto Insurance Claims: Auto Insurance Company-auto damages, auto insurance company, own insurance

Question
my auto was hit in the rear on 9-16-11.. the estimate of the damage is $3500.00. unfortunately, before I could get this repair done, a tree fell on it, cracking the windshield on 9-23-11. the insurance company replaced my windshied & My auto received a couple of small dents /scratches.  I put in a claim for the rear but not for the tree damage.  My insurance company is now calling the tree damage pre-existing damage, I did not put in a claim for this.  The  Ins. Co. wants to total my vehicle. it is a 2003 pontiac van, montana. I would like to salvage my van, it is still in fair shape,good mechanically and in pretty good shape prior to the ACCIDENTS. Do I have to settle for this and is this a disadvantage for me. I do not want a car payment as I am about to retire. What price would they give me ? book value or whatever they decide on.

Answer
Hi Brynda,

The Total Loss Claim Process

Step 1: Determining the vehicle to be a Total Loss
When you are involved in a collision, you will report the claim to either to your own insurance company or the insurance company of another at-fault party.  The insurance company will assign a damage estimator to inspect the damage and write a repair estimate. Once the estimate is written, the repair cost will be compared to the value of the vehicle. Generally, insurance companies will declare a vehicle to be a total loss if the cost of repairs is more than 70% to 80% of the vehicle's value.   

Step 2: Doing Your Homework
If you have been informed that your vehicle is a total loss, the insurance company will then take usually a couple of days to determine the value they are going to offer you. During this time, you should do your own research to determine the fair market value of your vehicle. The easiest way to do this is by using the internet. You should check www.autotrader.com . There you can search for currently for sale vehicle like yours, in your area. You should try to locate 5 to 10 vehicles of the same year, make & model, with similar options and mileage.  Print out the listings you find and average the values. This will give you a good average value to use as a baseline. However, you must understand that the prices you find are asking prices and virtually all of those prices will be negotiated downward to some degree.  Now when the insurance company makes you an offer you will know if it is within a reasonable range or not.   

Step 3: Negotiating and Settling Your Claim
Now that you know what your vehicle is worth and what the insurance company is offering you, it is up to you to negotiate if the offer is not reasonable. You can start by sending the documentation you collected in step 2 above and making a demand of what you are seeking to settle the claim. If the insurance company does not properly negotiate with you then you may have to hire a professional vehicle appraiser to properly establish the value of your vehicle.  If you are dealing with your own insurance company you can invoke the appraisal clause of your policy. This is a part of your policy that is there to help settle disputes in value between you and your insurance company.

I hope this helps
Richard Hixenbaugh