What If My Car Is Totaled?

Fair Market Value

If your car is totaled, you are entitled to receive the fair market value of the car.  The Kelly Blue Book value may not be the actual market value.  The insurance company sometimes offers Blue Book value which could be less than fair market value.

How to estimate Fair Market Value

To get a better estimate of fair market value, check car ads in newspapers, on the internet such as autotrader.com, and visit used car lots to ask dealers for value quotes.  Doing some homework may enable you to obtain a higher value for your vehicle because you will have specifics with which to counter the adjuster’s value.

You may also ask for a copy of the report the adjuster is using to determine the value of your vehicle.  When you receive the report make sure that the insurance company is giving you credit for all the options on your vehicle and the condition of your vehicle prior to the accident.  The report will also list similar vehicles and their value.

If the insurance company provided a rental vehicle while determining the value of your vehicle, the adjuster will request that you return the rental vehicle when they make their first settlement offer whether you accept the offer or not.  Sometimes you can talk the adjuster into letting you keep the car for another day or two.