my car was totalled in an accident and the insurance doesnt want to pay what my car is worth. what can i do?

Question

it was a chevy tahoe 2007 2wd lt model and fully loaded with oversized wheels and chrome rims. with entertainment system, heated seats, rear sensors etc

we have dealer comparisons and also edmunds.com true market value and kelley blue book but they say no

Answer 1

First, Kelly, Edmunds, all those other things are BUYING/SELLING guides, nothing more, nothing less. When was the last time you bought a car according to these publications, and when was the last time you received the trade in amount at the dealership? You haven't.

Legally you are owed the actual cash value of your vehicle. Nothing more, nothing less. This # is obtained by researching cars of similar year/make/model/mileage/options/condition to yours.

Now....keeping the above info in mind, I do hope you purchased the SPECIAL EQUIPMENT endorsement on your policy for those aftermarket items, the oversized wheels, chrome rims, and entertainment system. If you didn't, they are not included in the ACV of your car (read your auto policy). If it wasn't installed like that at the manufacturer you need an endorsement. There is no room for argument on it.

What can you do? Accept or decline the offer. If you decline the offer, you better have some data to support a higher figure, one that doesn't come from a car guying GUIDE.

Answer 2

DB, If the truck driver was negligent in some way that caused the wreck (of course they were, or there would not have been a wreck), then you may have a right to damage claims. Most of the time though, you don't. That's the way the system works. It's not very fair, but it's better than some countries that penalize everyone, or no one. At least they paid for the wrecked car (mostly). The way to find this out for sure is to get a lawyer. A down payment on a car isn't much, and lawyers can cost alot, so you'd need to be very sure of the outcome or you might wind up in the hole on this deal, worse than you already are. Every city has some lawyer that advertises on tv that they will get you your rightful settlement when you have a wreck or something. Find out who it is, and if they will listen to your situation for free. If they will, you can find out what you need to know, and if there is any further money you can get out of this situation without paying any more than you already have. Good luck Kevin

Answer 3

In order to get more than market value, you must show proof the value, as in receipts for the entertainment center, the wheels/rims, anything that you feel should boost the value. If agreed, those items will be added to the sub total. Things like high mileage, being 2wd as opposed to 4wd, lower the value. You can appeal the decision, or state that you want to get an estimate of your own, the two would be put together, with the average being the pay out. If you owe more then the market value of the car, you will be responsible for the balance owed on the loan.

Answer 4

The bottom line is that, worst case, you and the insurance company are not going to agree on what the value of your car was just before the damage.

So here's what you will have to do.

1) Do NOT cash or endorse any payment they send you unless it specifically excludes the car or is specifically for something else. IF you are not sure.. see a lawyer. If you cash the wrong check the game is over.

2) Document the car as it was before the accident. Get some photos, get some receipts etc..

3) Based upon your documentation, get a couple of estimates from reliable sources.. (not Julio, the mechanic that lives down the street and works part time at 7/11). Get these in writing and find out the cir. vitae (fancy court word for resume) of the person that makes them.

4) Stop dealing with the other person's insurance company if someone else damaged your car. Notify the owner of the car what you feel the car's value is/was and give them a reasonable time to pay. You will be suing him.. not his insurance company. They will be obliged to defend him BUT not in small claims court. If YOU were at fault and YOUR company is refusing to pay you, send them a letter with your demand and give them a deadline (7 to 10 days usually works).

5) No response from anyone...? Wapnerize them. Go down and file papers for a small claims (5k or less) or get a lawyer and sue them for big time (more then $5k).

6) If you are doing it yourself, then contact your experts and see if they will come to court to explain to the judge how they arrive at their estimate. You can always subponea them, but sometimes that alienates them since they lose work for court appearance.

If you have a lawyer doing the work, then he will know what to do.

Usually you will get an improved settlement offer but who knows.. you may have to take it to the mattress.

good luck...

.

Answer 5

1): you lost almost 15% of the vehicle's value the second the tires hit the street.
2): oversized wheels and tires DECREASE the value of an automobile; when you add glue-on 'custom' items on a car you narrow the market appeal to a very small segment.
3): insurance companies by and large use NADA and market values (actual cash value) to make settlements.
4): they are not obligated to locate another vehicle like yours.
5): a lawyer will be a total waste of your money and if you hire one you will be taking the bus for the next eight months before you see a dime from anyone, (and it will be for the exact amount the insurance company offered less your legal fees).

Answer 6

Insurance companies pay Actual Cash Value and that's not Blue Book or Edmunds or Dealer info. It can be more or less than what you have and have researched.

Answer 7

Well, what makes you think they are not paying whats its worth? What evidence do you have that its worth more? They are responsible for the actual cash value of the car... although not all companies go off it.. i suggest you go to nada.com to find the actual cash value.

Sometimes people think there car is worth alot more then it really is.... or they just OWE alot more then there car is worth.. that doesnt mean they owe you that. Also.. they dont pay you for aftermarket items that you added to the car- you insure the factory version of your car- you should have added extra insurance for custom equipment.

Now- after reading all this.. if you can find valid evidnece its worth more (for example- the same exact car with same exact mileage at multiple dealerships being sold for me) they MAY consider it.

But.. actual cash value generally is what it is.

Answer 8

There are ways that insurance companies pay for accidents, If you have a deductible amount on your insurance, that will be deducted from the total amount of insurance monies they will pay you. How far apart are you?? How many miles are on the truck and have you had an accident in this truck before and been paid for the repairs? There are questions we do not have access to in this question. You can also have another appraiser look at your truck. This will cost YOU about $100.00.

Answer 9

Get a statement from them and hire another lawyer to sue them for failure to represent. As your legal company they have a legal obligation to represent your interests top the best of their ability. If you can show that they are not doing their legal duty you have grounds for a law suit against them.
Because they are afraid of creating a standard legal precedent with a duty to report they normally just settle for what ever a litigant (sue-er) asks for.

Note that you can claim replacement value instead of just the book value. In some states you can even force them to find a replacement vehicle at the price they claim a replacement can be found for.

Note that insurance companies are used to being able to low ball and walk away.
Threaten action.
They have nothing to gain compared to hundreds of thousands of dollars in lost legal fees.
Plus the risk of setting an unfavourable precedent.

Answer 10

present evidence of its value. u can nationwide search it on autotrader, get prices from different dealerships. docucment the add ons that you had such as the wheels etc. they do negotiate. do not cash their check or you are done for.