What If my Car is a Total Loss?

 
 
 
 
If you were in an auto accident and your car was totaled, (also known as a “total loss”), then your car cannot be repaired or the cost to repair is more than what it’s worth.

car total loss

 

Who pays for my car’s property damage?  If the auto accident was not your fault and the fault of another, the at-fault party’s insurance company will pay for your car.   If the auto accident was your fault and you have collision on your auto policy, your insurance carrier will pay for the car.

Once you determine which insurance company is responsible for paying the damage to your car they will pay fair market value, even if you owe more than the car’s value on your car loan.  Anything in excess you owe after the insurance company has paid fair market value is your responsibility.

After the insurance company pays fair market value, they have the legal right to sell your car to recoup their loss.

If you disagree with the insurance company’s evaluation there are options.  Contact the law firm of Carey Leisure & Neal at 727-799-3900 or go to our website at www.careyandleisure.com for your free, no obligation consultation.