Can my car be declared a total loss?

Can my car be declared a total loss after an accident? Fortunately, in most accidents, the cars involved only suffer dents or minor scratches. But this is not always the case, as in one out of every seven accidents, the cars are declared a total loss. That is, according to AutoTrader.com, 12% of vehicles involved in an accident are declared a total loss.

The reasons for a vehicle being declared a total loss are not always related to a collision during circulation. Some cars are completely discarded after a fire, or when they have been submerged in one of the frequent floods that occur in Florida.

The formula that insurers usually use to declare a total loss is when the cost of repairing a vehicle exceeds 80% of its current market value. An owner may feel that the damage to their car is not that severe, but the insurance company may prefer to pay rather than repair it.

Then, the owner will receive the cash value determined for the vehicle, minus the deductible agreed upon in the policy.

Vehicles depreciate over time. If you want to know the current value of your vehicle, you can go to the Kelley Blue Book website at www.kbb.com and find out.

If, when declared a total loss, the current price of your vehicle is $10,000, you could receive $8,000 from your insurance company, minus the deductible that appears in your contract.

Keep in mind that if you took out a loan to buy your car and have not finished paying it off, it is your obligation to fulfill the financial commitment you made, unless you have insured your loan with a complementary policy.

Call Univista Insurance and get an affordable car insurance policy with great coverage. Can my car be declared a total loss after an accident?

Call us today for a full qualification! 305-508-9575. You can also quote for free here.