I hit a deer and the insurance co. is sending a check for the damages. The amount of the check is for what I was quoted for to repair my damages. Is there any way possible to use the check and put it towards getting a new car entirely? I think that would be fraudulent, but I'm not sure. My damaged car is paid in full but I think I could sell it damaged as is since it only needs minor cosmetic repairs. I'd like to use the insurance check as a down payment on a new car. Is that allowed, or do I have to use their check for repairs ONLY?
2006-11-03 06:03:53 · 17 answers · asked by Anonymous in Family & Relationships ➔ Singles & Dating
It's NOT fraud.
The payment is for the loss of value to the car, not for it's repair (though that's what most people do).
When you trade the car in (or sell it) the amount that you get will be lower for a damaged car.
BTW: If you keep the car, don't claim the damage already done if you have another 'accident'.
I know that you feel 'attached' to your car, but is it really important to put this question in "DATING?"
2006-11-03 06:16:05 · answer #1 · answered by SPLATT 7 · 2⤊ 1⤋
Not sure what name insurance company you have, but the company I have (one of major name companies) will not even forward the check to you. They work directly through auto repair shop.
If your damages are $2000 and your deductible $500, they would send the payment directly to the repair shop for $1500 and you pay your deductible at the repair company. If your car was totaled out, that would be a different story, but then you wouldn't be committing fraud because the check sent would be so you could get a new car.
Maybe yours is different
2006-11-03 06:17:22 · answer #2 · answered by www.treasuretrooper.com/186861 4 · 0⤊ 1⤋
I have used an insurance check to buy a new car, I don't know if its fraud, I don't think so though as long as you don't hide the damage from the dealer you make a trade with.
2006-11-03 06:17:20 · answer #3 · answered by poppyspock 1 · 0⤊ 0⤋
I am an insurance agent... NO this isn't fraud. You paid premium for damages done to your vehicle. For XXXX amount of $ you were guarnteed XXXX amount of $ "if" your vehicle was damaged. Insurance is a purchase just like bread, eat it plain, with butter, or toasted, it's your choice because you bought it.
So, How you choose to spend it repair it or what ever is your business. As long as you do not have a lien holder.
2006-11-03 06:20:53 · answer #4 · answered by T. 6 · 0⤊ 0⤋
usually once they give you the money they dont go back and actually check to see if u used it to fix your broken car, Once the money is given to you, you can do whatever you want with it. It be insurance fraud if your car was already damaged and you tried to collect money out of it.
2006-11-03 06:16:07 · answer #5 · answered by Anonymous · 0⤊ 0⤋
It's legal. The insurance company sent you the check, but no law says you have to use it to fix the car.
2006-11-03 06:15:16 · answer #6 · answered by Anonymous · 0⤊ 0⤋
The money is yours so you can do whatever you want.
When I got my insurance check for my totaled car, I payed off what I was still owing for my car loan and then the remainder went towards my visa balance.
2006-11-03 06:20:49 · answer #7 · answered by Anonymous · 0⤊ 0⤋
If the insurance company made the check out to you personally, you can use it for anything, it's not fraud.
2006-11-03 06:15:13 · answer #8 · answered by Poker Face 6 · 0⤊ 0⤋
It is your money now do what you please. I got rear-ended a couple months ago, the person who hit me, his insurance company assesed the damages to be $1,800. I got the check went across town to another collision shop and got it repaired for $1,300. That is $500 cash in my pocket!
2006-11-03 06:20:08 · answer #9 · answered by drakekse 3 · 0⤊ 0⤋
No, it's your money. The insurance pays for the damages that happened to your property, if you choose to use this money to bring your property back to the previous condition or drink it away is all up to you.
2006-11-03 06:15:53 · answer #10 · answered by Sky 4 · 0⤊ 0⤋