If car totaled, how much paid?
Bill
does the insurance company pay you?
How do they determine value?
Say they just want to pay $1000.00 and it would cost me $5000.00 to get
another car in similar running condition (I do a LOT of work on my car
including rebuilding the engine when needed, etc. I keep it in tip top
reliable running condition.)
I'm trying to figure out if I should just have liability insurance or if it
would be worth it for full coverage.
clams_casino
>If an older car (say 10 years old) is in an accident and totaled, how much
>does the insurance company pay you?
>
>How do they determine value?
>
>
>
Typically you'd get the value of the vehicle (mileage adjusted)-
determined by any number of sources, but an Edmonds on-line estimate
somewhere between the trade-in value and private party sale price is
probably a good estimate. Not knowing your vehicle, I'll suggest
between $1-2k for a typical 10 year old car.
>Say they just want to pay $1000.00 and it would cost me $5000.00 to get
>another car in similar running condition (I do a LOT of work on my car
>including rebuilding the engine when needed, etc. I keep it in tip top
>reliable running condition.)
>
>I'm trying to figure out if I should just have liability insurance or if it
>would be worth it for full coverage.
>
>
>
>
Collision coverage is typically questionable for a car >5 years and
probably an expensive luxury >7 years, but much depends on the year,
model, mileage, your cash flow, etc.
BigDog1
Determining if you need collision/comprehensive insurance on your car
is easy. If you can't replace what you're driving now without going
into debt, then you need the insurance. How much deductible is also
easy. Depends on how much you afford to pay without disrupting your
budget.
As to what they'll pay you in the event you get "totaled", that's also
easy. Age, mileage and condition. Either Edmunds or Kelly Blue Book
will get you in the ball park. What you think it would cost to
replace the car is irrelevant. All that matters is what the car is
worth on the open market in your area. The insurance company will try
to low ball you, but there's no way they'd try to get away with one
fifth.
Everyone thinks their car is worth top dollar, but it rarely is.
Truth is, reliable junk is still junk.
Al
Personally, I would not insure a vehicle worth less than about $7,000
or so, maybe $10,000 for round numbers. In my state that still leave
people like me vulnerable because of something called "no fault."
Basically, that means everybody takes care of their own damage except
for a potential $400 small claims lawsuit. Still, safe drivers can
make out by self insuring small assets.
Dave C.
In general...you shouldn't buy full coverage insurance for a car older
than 5 years old, unless it is more valuable than average for some odd
reason. For example, you've done a rotisserie restoration on a single
owner 1970 Chevelle SS and now it's worth say, $100,000. Blue book
value would be zip. But you can have the car appraised and insure it
for the appraisal value. -Dave
krw
wrote:
>On Jan 16, 9:23�am, clams_casino <PeterGrif...@DrunkinClam.com> wrote:
>> Bill wrote:
>> >If an older car (say 10 years old) is in an accident and totaled, how much
>> >does the insurance company pay you?
>>
>> >How do they determine value?
Usually from the NADA guide, which compiles the sales by member
dealerships, by model and year. www.nada.com
Other alternatives:
www.kbb.com
www.edmunds.com
>> Typically you'd get the value of the vehicle (mileage adjusted)-
>> determined by any number of sources, but an Edmonds on-line estimate
>> somewhere between the trade-in value and private party sale price is �
>> probably a good estimate. �Not knowing your vehicle, I'll suggest
>> between $1-2k for a typical 10 year old car.
>>
>> >Say they just want to pay $1000.00 and it would cost me $5000.00 to get
>> >another car in similar running condition (I do a LOT of work on my car
>> >including rebuilding the engine when needed, etc. I keep it in tip top
>> >reliable running condition.)
>>
>> >I'm trying to figure out if I should just have liability insurance or if it
>> >would be worth it for full coverage.
>>
>> Collision coverage is typically questionable for a car >5 years and
>> probably an expensive luxury >7 years, but much depends on the year,
>> model, mileage, your cash flow, etc.
>
>Personally, I would not insure a vehicle worth less than about $7,000
>or so, maybe $10,000 for round numbers.
That is a personal decision. Answer the question: "what can I afford
to lose?". Insurance is a loser so you are (generally) better off
self-insuring. Of course that assumes there is no loan on the
vehicle. Most lenders will insist on full coverage.
>In my state that still leave
>people like me vulnerable because of something called "no fault."
>Basically, that means everybody takes care of their own damage except
>for a potential $400 small claims lawsuit. Still, safe drivers can
>make out by self insuring small assets.
Which state? Most have totally botched "no fault".
Rod Speed
> If an older car (say 10 years old) is in an accident and totaled, how much does the insurance company pay you?
Varys with the company. Some will pay the agreed value, others
will pay the value they determine and you get to like that or lump it.
> How do they determine value?
Again, that varys.
> Say they just want to pay $1000.00 and it would cost me $5000.00 to get another car in similar running condition (I do
> a LOT of work on my car including rebuilding the engine when needed, etc. I keep it in tip top reliable running
> condition.)
> I'm trying to figure out if I should just have liability insurance or
> if it would be worth it for full coverage.
Even the operations that do pay an agreed value wont necessarily
agree to a value thats well away from the market value like that.
Essentially because there is a real potential for fraud in that case,
deliberately writing the car off to get that much higher value.
You can however get that sort of much higher value in some situations like
exotic unusual cars etc. And you wont like the premium they want to change.
Rod Speed
> Bill <billnomailnosp...@yahoo.com> wrote
>> If an older car (say 10 years old) is in an accident and
>> totaled, how much does the insurance company pay you?
>> How do they determine value?
>> Say they just want to pay $1000.00 and it would cost me $5000.00
>> to get another car in similar running condition (I do a LOT of work
>> on my car including rebuilding the engine when needed, etc. I keep
>> it in tip top reliable running condition.)
>> I'm trying to figure out if I should just have liability
>> insurance or if it would be worth it for full coverage.
>
> Determining if you need collision/comprehensive insurance on your car
> is easy. If you can't replace what you're driving now without going
> into debt, then you need the insurance.
That is just plain wrong. If you dont need much
debt, that can be cheaper than the insurance.
> How much deductible is also easy. Depends on how
> much you afford to pay without disrupting your budget.
Your budget is irrelevant with an unusual event like that.
> As to what they'll pay you in the event you get "totaled", that's also easy.
Wrong again.
> Age, mileage and condition. Either Edmunds or Kelly Blue Book
> will get you in the ball park. What you think it would cost to replace
> the car is irrelevant. All that matters is what the car is worth on the
> open market in your area. The insurance company will try to low
> ball you, but there's no way they'd try to get away with one fifth.
> Everyone thinks their car is worth top dollar, but it rarely is.
> Truth is, reliable junk is still junk.
You dont know that it is junk.
The Real Bev
> Bill wrote:
>
>>If an older car (say 10 years old) is in an accident and totaled, how much
>>does the insurance company pay you?
>>
>>How do they determine value?
>
> Typically you'd get the value of the vehicle (mileage adjusted)-
> determined by any number of sources, but an Edmonds on-line estimate
> somewhere between the trade-in value and private party sale price is
> probably a good estimate. Not knowing your vehicle, I'll suggest
> between $1-2k for a typical 10 year old car.
Regard the insurance company's offer as a starting bid. The perfect settlement
would be if THEY found you an exact replacement for your demolished car and
delivered it to your door. What they offer is far less, so figure out
everything you can to get closer to perfection:
The cost of the new registration (not trivial in many cases)
Mileage to check out possible purchases
'Car wanted' ads if you place any
Recent replacements -- trans, clutch, tires, etc.
I sued AAA in small claims court and ended up with several $hundred more than
their initial offer AND they had to pay court costs. The good news is that
they added in something for pain and suffering, and I hadn't expected that.
>>Say they just want to pay $1000.00 and it would cost me $5000.00 to get
>>another car in similar running condition (I do a LOT of work on my car
>>including rebuilding the engine when needed, etc. I keep it in tip top
>>reliable running condition.)
>>
>>I'm trying to figure out if I should just have liability insurance or if it
>>would be worth it for full coverage.
>>
> Collision coverage is typically questionable for a car >5 years and
> probably an expensive luxury >7 years, but much depends on the year,
> model, mileage, your cash flow, etc.
--
Cheers, Bev
Far away in a strange land
Bob F
Whatever an equivalent used car would cost you. If the insurance company is
being unreasonable in what they offer, tell them you will just continue to rent
a car on their tab until you can find the replacement at their price. When I did
that, they suddenly became a lot more reasonable.
h
"Bob F" <bobn...@gmail.com> wrote in message
news:hitpjg$ucg$1...@news.eternal-september.org...
Get the cheapest coverage legally allowed, with the highest deductible you
can get. Put the money you're not spending on insurance into your savings
account. If your car is totaled make the best deal you can with the
insurance company. Then, go after the idiot/drunk/whatever who hit you and
insist that his/her insurance company "make you whole". In other words,
since you did nothing wrong you should not have any out of pocket expenses.
That includes your deductible and any unreimbursed expenses from the
accident such as medical bills and replacement car costs.
Example: My ex-husband was driving on the highway, at the speed limit, in
the right lane. A semi side-swiped him and smashed him into the jersey
barrier. The car was totaled, he was fine. The truck left the scene without
stopping, but my ex managed to get the license number. My ex's insurance
paid about $1k (blue book value of the car), but it was an old Subaru in
pristine condition with only 175k miles (my Subarus last at least 250k
miles), so he was expecting to get at least 4 more years out of the car. He
found a similar Subaru for $4k and asked the truckdriver's insurance company
for the remaining $3k. They laughed, he sued in small claims court (the
driver and the driver's employer) and won. The insurance company eventually
had to pay up.
Of course, this only works if you are not at fault in the accident. I've
been hit twice in my life, both times rear-ended while stopped at a traffic
signal. Minor damage, fully-covered by my insurance, guilty driver's
insurance had to pay my $1k deductible. If you're the person who usually
causes the "accidents", however, then definitely buy all the insurance you
can.
Sanity
"Bob F" <bobn...@gmail.com> wrote in message
news:hitpjg$ucg$1...@news.eternal-september.org...
Read the fine print in your policy. The insurance company is only
responsible for a rental for 30 days OR until they offer you a payment. If
what you were saying is true, I'd buy a 1000 dollar car, total it and rent a
car the rest of my life on the insurance company's tab.
Bob F
What, do you suppose, renting a car for 30 days will cost an insurance company?
I didn't say they would cave in to you. I said they would become more
reasonable.
My case involved the other guys insurance company, which may make a difference.
The fact he got the ticket didn't hurt either.
Sanity
"Bob F" <bobn...@gmail.com> wrote in message
news:hivlj8$dig$1...@news.eternal-september.org...
First of all, it's a very rare occasion that a person with a 1000 dollar car
has collision or comprehensive. Without that he would not have rental car
coverage. But assume he did have that coverage, the insurance company would
look at the loss and immediately cut a check for a 1000 so as not to allow
the customer to rent a car and build the payout to a higher payout.
Secondly, the option of finding an equivalent replacement car is not the
option of the policy holder but that of the insurance company. And if as you
claim it was the 'other' guys insurance company, they have no responsibility
to pay for a rental car for you. Their liability is to pay you fare market
price for your car.
Bob F
OK. You are right. You know it all.
Fact is - it worked.
Sanity
"Bob F" <bobn...@gmail.com> wrote in message
news:hivskn$63v$1...@news.eternal-september.org...
Know it all? Compared to you, YES. I've only been an executive of one of the
largest insurance companies (35 years worth) till I retired. Yes, you sure
bullied an insurance company. You didn't take any crap from them. You had a
set of brand new spark plugs and Walmart seat covers in your car and no damn
insurance company was going to offer you only a $1000 for a car that was
probably worth $500. Next time I have a problem with my insurance company,
I'm going to write you to get your expertise to help me swindle the
insurance company.
clams_casino
> Next time I have a problem with my insurance company, I'm going to
> write you to get your expertise to help me swindle the insurance company.
That'll be a first - swindling an insurance company. Yea ..
right. At best one MIGHT get a fair outcome, but don't hope for it.
Bob F
Which is exactly what I did.
Using the one piece of extra leverage I had.
Sanity
"Bob F" <bobn...@gmail.com> wrote in message
news:hj10id$ver$1...@news.eternal-september.org...
You are my hero. You brought the giant insurance industry down to their
knees. You threatened them and they cowered. I'm glad it wasn't my company
that you did it to. By the way, does your mommy let you go out by yourself
after you watch the Wiggles on TV?
clams_casino
>>
>
> You are my hero. You brought the giant insurance industry down to
> their knees. You threatened them and they cowered. I'm glad it wasn't
> my company that you did it to. By the way, does your mommy let you go
> out by yourself after you watch the Wiggles on TV?
So are insurance companies more scummy or less scummy than financial
bankers?
Bob F
LOL!