How to Determine Salvage Title Value

If a vehicle is totaled in a collision or fire or is stolen and wrecked, the cost to repair it could be greater than the fair market value of the vehicle. In such cases, it is helpful to calculate the vehicle's salvage title. To determine salvage title value, you'll need to know the fair market value of your vehicle at the time of damage or total loss. The computation is moderately easy and is verifiable using a number of free public resources.

Instructions

1. Obtain your vehicle's blue book value, which is also known as its retail value. Kelly Blue Book sets value upon vehicles using criteria such as make, model and condition.

2. Look up the trade-in value of your vehicle, which is also known as its wholesale value. Trade-in value is determined using the make, model, options and condition of your vehicle. Kelly Blue Book, NADA Guides and Cars Direct can help you find your vehicle's trade-in value.

3. Add your vehicle's retail value and trade-in value. Divide the result by two to obtain the average of these two numbers. The average between the two equals your vehicle's fair market value.

4. Request the percentage used by your auto insurance provider to figure salvage title value. This percentage can range from 10 to 50 percent, depending on the insurance provider. For example, your insurance provider may say the salvage value of your vehicle is equal to 60 percent of your vehicle's fair market value.

5. Multiply your vehicle's fair market value by the percentage given by your auto insurance provider. The result is the salvage title value.

References

• The Auto Appraiser: Salvage Title

Resources

• Cars Direct: About Trade Ins
• NADA Guides
• Kelly Blue Book