How to Dispute an Insurance Total Loss on a Car
Insurance companies will often total a vehicle if the cost to repair said vehicle is 75 percent or more than the actual cash value. Actual cash value is determined by the cost of the vehicle minus the cost of depreciation, wear and tear and any prior physical damage. If your insurance company deems your vehicle a total loss you may receive less for your car than you believe it's worth. Thankfully, there are ways to dispute a total loss.
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Instructions
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Request a copy of the vehicle analysis form from the insurance adjuster and review it for any inaccuracies. For example, did the adjuster label your vehicle a two-wheel drive when it's really a four-wheel drive? Was your vehicle listed as a manual transmission as opposed to automatic? Is the mileage recorded correctly? If inaccuracies exist, alert the adjuster and request a new assessment.
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Prove to the insurance adjuster that it would cost less to repair the vehicle than it would to write it off as a total loss. Be prepared to show receipts for add-ons and upgrades you have made to the vehicle.
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Research the price of similar vehicles with similar mileage within 100 miles of your home through newspapers, edmunds.com and kbb.com. Keep detailed records of this information and present it to the adjuster to prove the value of your vehicle is more than the offer.
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Use the appraisal clause in your automobile insurance policy. The appraisal clause, located in most automobile policies, stipulates that if the policyholder and the insurance company cannot come to an agreement on the value of the auto in question, each side may select an independent appraiser. (Each side is responsible for the cost of hiring his own appraiser.) The two appraisers then review the information and try to come to an agreement; if they cannot come to an agreement, they rely on a third appraiser who will have the final say. It's each party's responsibility to pay half of the cost of the third appraiser.
To find an independent appraiser, contact your local body shop for recommendations or look online at companies such as Insurance Appraisal Services.
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