I have no idea how this works, I've heard that the insurance company will provide me with a new car but what if I want a used car, is that possible?
2006-06-30 14:13:53 · 5 answers · asked by Anonymous in Cars & Transportation ➔ Insurance & Registration
The insurance company will give you a check for your car, unfortunately, it may not cover the total amount.
But wait there's good news! Honda has what is known as 'gap' insurance which bridges the gap between what u owe on the car and what the insurance pays. Check out your contract!
Good luck
2006-06-30 14:21:32 · answer #1 · answered by Anonymous · 2⤊ 0⤋
First what makes you think it's a total. Please see how high the repair estimate is first ( unless flood or fire damage).
The insurance company hires a company to determine the true market value not fair market so blue book may not be used in your states. Most companies now use ccc to determine value get a copy of this and if your repairs are 60% of the value or less ask to speak to a supervisor to get your car repaired.
If the value of your car is less than you owe on the loan you will be upside down and can try to get your finance company to finance a new loan including this amount. If the car is worth more than you owe the remainder will go to you, we always pay the loan company first.. Another person wrote about gap insurance so I wont.
Insurance companies write checks they don't find a car for you so because your car is fairly new expect to owe money. This all takes time and it is an negotiation so keep making your payments.
2006-06-30 21:22:04 · answer #2 · answered by trailsman1961 3 · 0⤊ 0⤋
The insurance company will pay you "fair market value" for your car. You can check the Kelly Blue Book site to get an estimate of what they may offer you. http://www.kbb.com They will NOT buy you a new car!
If you owe more on the loan than the book value, you'll be left in the lurch as you'll still have to pay off the rest of the loan unless you have "gap" insurance.
If you owe less than the book value, you migh have enough for a down payment on a replacement car; it all depends upon how the numbers work out.
If you own the vehicle free and clear, you can do anything with the insurance proceeds that you wish. It won't be enough to buy a new Civic but might be enough to get a used 05 Civic similar to your old one. Or you could buy something for less and pocket the difference. For all the insurance company cares, you could by 15,000 Wendy's hamburgers with it.
2006-06-30 17:11:25 · answer #3 · answered by Bostonian In MO 7 · 0⤊ 0⤋
They just give you what ever they say the car is worth according to blue book values for that year make and model car.
Buy what you want after you get the check.
2006-06-30 14:17:07 · answer #4 · answered by Biker 6 · 0⤊ 0⤋
One option is to learn how to drive.
2006-06-30 14:17:33 · answer #5 · answered by Anonymous · 0⤊ 0⤋