My car was rear ended and totaled and I understand my ins co won't pay for the outstanding loan, but will pay me a fair market value (which I will use to pay off the loan). Is it possible to have the other party's insurance company pay off my loan, so that I can use the FMV to get a new car. Do I need to obtain a lawyer to do this or will my insurance company do this for me? The accident happened in Los Angeles.
2006-11-22 08:20:53 · 5 answers · asked by aliciac451 1 in Cars & Transportation ➔ Insurance & Registration
They can pay the lienholder directly, but if the value is not as much as the loan they won't be paying it off for you. You don't need an attorney to handle your property damage claim, and it doesn't matter if you use your insurance or the at fault person's, the total loss is still handled the same way.
2006-11-22 09:19:14 · answer #1 · answered by Chris 5 · 2⤊ 0⤋
No, that you were upside down in your loan and owed more than the car was worth is not the responsibility of the person who hit you. You are entitled to get the value of your loss, which would be the value at the time of the accident, adjusted to condition. They will not pay off your loan, nor will they give you replacement value for the vehicle. You can talk to an attorney if you like, but if he is honest he will tell you the same thing.
2006-11-22 08:28:04 · answer #2 · answered by oklatom 7 · 1⤊ 0⤋
Rear end collision is almost always the other party's fault. They should pay FMV and any remainder is your responsibility to the finance co.
In accidents, of course nobody comes out a winner. If anybody thinks there is money to be made, they got it wrong, unless you sue them for personal injury and wage loss. If car is your primary means to earn money (salesman, realestate person etc .. as an example) then you have grounds to collect damages for lost wages based on what you earned the previous 2 years. Proof is necessary. Doctor's certif. is also necessary to prove injuries.
If you get nowhere, courts are there for such purposes. It will be long drawn battle - be prepared. In the meantime, you will be better off to get a new car to get by your daily work and pay for both cars pending the court outcome.
Accidents are a b -i -t-c-h aren't they?
Good luck.
2006-11-22 09:04:09 · answer #3 · answered by Nightrider 7 · 0⤊ 1⤋
If you were rear-ended, you should have the other party's insurance pay, assuming they were at fault. Your insurer might opt to pay fair market value (which they would pay to your finance company). Any amounts owed above that would be your responsibility, which you could claim against the other party's insurer.
I'd only get a lawyer if you get greif from the other party's insurer about paying for your car.
2006-11-22 08:36:41 · answer #4 · answered by MoltarRocks 7 · 0⤊ 1⤋
Actual cash value (ACV) is all any company is going to pay for your car. If you owe more than it's worth you will be responsible for the difference. The insurance company can pay the leinholder directly if you want them to. Save your money, stay away from dirtbag lawyers.
2006-11-22 16:10:12 · answer #5 · answered by Anonymous · 1⤊ 0⤋