Auto Insurance Claims: Total loss disagreement, hyundai santa fe, 2006 hyundai santa fe

Question
QUESTION: My wife was rear ended about 10 days ago in her 2006 Hyundai Santa Fe. The accident was not her fault. My local body shop declared it a total with damages over $12,000. After a week and a half, the at fault driver's insurance finally looked at the car and they want to repair it. NADA value is about $19,500. Not sure what actual cash value is. I do not want to do $12,000 in repairs. What arguments can I make to Liberty Mutual in favor of totaling it and settling the claim with cash? In your opinion, do I have a chance of getting them to total it?

ANSWER: Hi Mark,

This vehicle should be totaled. The point at which the vehicle should be totaled is when the claim will cost 75% or more of the vehicles value. If the vehicle is worth $19,500.00, the total loss point is $14,625.00. With the repair estimate already at $12,000.00 and the likelyhood of additional damage being found during the course of repair as well as the rental car expense and the diminished value of the vehicle (which will be at least $4,000.0), it should be declared a total loss.  

If you would like to discuss this further please call Collision Claim Associates, Inc. 1-866-438-6938 or visit the website at www.collisionclaims.com .

I hope this helps
Richard Hixenbaugh

---------- FOLLOW-UP ----------

QUESTION: I agree it should be totaled. Now the problem is that the insurance company's appraiser came in at almost half the body shop's estimate ($12,200 to $6,200). The two entities are talking but the adjuster says she can only do what the appraiser tells her, and he is telling her it is repairable. The insurance company's appraiser does not even work for the company. He is an independent appraiser they contract with to do their work. Big shock that someone on contract came in that low. Any more advice? Thanks.

Answer
Hi Mark,

This is not an unusual situation. Often the insurance company's appraiser will have a much lower repair cost.  It will be up to your body shop to negotiate the cost of repairs with the insurance company appraiser. Your body shop is ultimately responsible for properly assessing and repairing the damage. You should discuss with your body shop what the differences are between the 2 estimates. The shop may need to call the insurance appraiser to come out to the shop and go over the damage item by item until they reach agreement on the damage and the cost of repairs.

I hope this helps
Richard Hixenbaugh