Auto Insurance Claims: Insurance Claim...Totalled Stolen Vehicle, oldsmobile aurora, 1996 oldsmobile aurora

Question
My 1996 Oldsmobile Aurora was stolen and found in a ravine.  I had a brand new engine put in the vehicle in 02/2008 (parts/labor almost $3,000). The engine has only about 750 miles on it.  The Claims Adjuster says this will not increase the value of my vehicle for settlement purposes.  Why not?  The salvaged engine will no doubt sell for quite a bit of money.  Also, if a new engine or transmission extends the lifetime of a vehicle, why wouldn't that fact increase the value of my car for settlement purposes?  Than you for your time.

Answer
Hi Gail,

The claims adjuster is an idiot. Of course a brand new engine will increase the value of the vehicle. It may not increase the value on a dollar for dollar basis based on what you spent to have it put in.

I have been a vehicle appraiser for over 15 years. If you have proof to submit to the insurance company a new engine should increase the value by $1000.00 to $1500.00. This assumes that the rest of the vehicle was in good condition. If the vehicle's overall condition was not very good, then it may only increase the value by $400.00 to $1000.00.

You will just have to submit your proof of the replacement engine and force them to take it under consideration. Bump you claim to a supervisor or manager. Just don't take no for an answer. You have to fight for what is right.

I hope this helps
Richard Hixenbaugh