When Does An Insurance Company Decide To Total A Car?
627 POINTSview profileDan Lylesagent, Lyles Insurance, Wheelersburg, OhioAn insurance company will total a car out once the amount of damage reaches a percentage of the vehicle's market value. Usually this is around 75%. So for example, if you total a vehicle that is worth $8000, claims adjusters will consider a total when the damage approaches or exceeds $6000.Answered on March 25, 2014flag this answer- 0 POINTSview profileTom LarsenChief Encouragement Officer, Larsen Insurance Agency, Buffalo, NYUsually 70% is the magic number they use. So if the repairs to your car go over 70% of it's current value, then they will total you car and pay you book value. But if you think you can repair it cheaply, you can always buy the car from the insurance company, after they total it.Answered on March 25, 2014flag this answer
7647 POINTSview profileMark Bartlett CLCSBranch Owner, TWFG Insurance Services, Fremont California and the Greater Bay Area Representing Dozens of Insurance CarriersInsurance providers will chose the option that costs the insurance company the least amount of money. But keep in mind it is in the insurance companies best interest that the car is safe and has no potential future costs that can come back on the insurance provider. So using the above example if a $8000.00 valued auto can be property repaired for $6000.00 then the insurance provider will fix the vehicle. If however it seems there are potential issues that can increase the cost and the vehicle can not be adequately repaired safely the vehicle will be a total.Answered on March 25, 2014flag this answer
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