We wrecked our 08 Dodge Caravan with only 300 miles what should we do?

Question

We puchased our new grand caravan saturday and my wife was in a accident on Friday. Were looking at I'm guessing 12000 dollars in damage and I talked to the dealership and they said they would deduct 2000 dollars from the book value because of the carfax. How should I handle this with my insurance company. They refuse to total a 08 caravan with 300 miles. Were just heartbroken and confused.

We do have rental car insurance. I just thought they might be something a insurance company has to do to cover the lost of value the vehicle is going to have because of its history. The wreck was ruled our fault and thank god nobody got hurt.

Answer 1

is your insurance company going to pay to have the car repaired? if so let them do it and you can take it to any body shop of your choice. i do however suggest that you get more than one estimate. it could also be possible that when a body shop gets to working on it they may find hidden damage which will cause it to be totaled

Answer 2

You will not be able to make a deprecation claim against your own company (collision or comprehensive). Every state that I know of (with the exception of GA) - the courts have held that first party diminished value claims are not covered under the collision and comprehensive coverage. (In GA, they have a formula that is used to determine diminished value).

State law also governs when a car is deemed a total loss. In most areas, a car is a total loss when the cost to repair the vehicle equals or exceeds 75% of the car's value.

Some companies will total a current year model at 50% - but that's by choice. They figure they will get a high enough return on the salvage to make it economically feasable to total the car. However, they are not required to do this - this is just a decision that that company made.

Even if the insurance company totaled your car - you would probably end up "upside down" on your note. When they go to value the vehicle - they would have to value it as a used vehicle (which it became the minute you signed the papers and drove it off the lot). So there is a very good chance that you would end up still owing on the van - even if they total lossed it. They don't pay what ever you purchased it for. If you purchased Gap coverage from the dealer -that would fill in the difference between the amount of the loan and what the ins co would pay for the total loss vehicle.

Answer 3

If you didn't purchase gap insurance (the value difference between what you paid for your new vehicle, and the thousands of dollars lost in driving it off the lot) you don't want the insurance company to toal it anyway.

You loss should be nothing, assuming it is professionally repaired. Most large insurance companies require use of an "approved" shop, so you shouldn't have to worry about that, either.

Your only real quandry, assuming everyone is healthy, is how to get around while your car is being repaired. Assuming it's not famously tied up in some sort of who caused the accident litigation, you should be able to get it into and out of the shop in a couple of weeks, maximum.

You should find out if your insurance covers your rental vehicle, and use their guidelines when arranging for one. If not, shop around and do your best to get a great deal for a short time frame while yours is in the shop.

Carfax accident reports don't necessarily mean devalued car. Lack of showing a properly repaired reciept to counter this information might.

Answer 4

Assuming you have full coverage, likely with a brand new vehicle, if the insurance says it is not totaled, let them pay for having it fixed. If it is restored to like new condition by replacing bent or broken parts, how would you be out anything, let alone the imaginary $2000 the dealer came up with?

Insurance should pay for your repairs, less your deductible amount if any, and you car will then be like new, just drive and enjoy it.

Answer 5

check with your states board of insurance , in some states the insurance company has to pay the depreciated difference caused by the wreck, some of it may depend on who's fault it was.

Answer 6

THEY WILL NOT TOTAL THIS VEHICLE BUT YOU WILL NEED TO SIT DOWN WITH THE INSURANCE COMPANY AND TALK ABOUT DIMINISH VALUE BECAUSE THIS ACCIDENT WILL HURT YOU WHEN YOU TRY AND SELL IT.



GOOD LUCK

Answer 7

It would be much cheaper to pull the engine and transmission and put in diff minivan. that is if they still work.

I would never buy an 08.

Is the new car smell worth the money you lose driving it off the lot?

Answer 8

Not many alternatives.
Have it repaired and drive it till it drops. If you try to sell it, you MUST reveal the accident.