| If you would like to get a fair settlement for the | | | | salvage dealers, even if you have to call dealers that |
| total loss of your auto, you have found the right | | | | are over 100 miles away from you. Document at |
| article. It will take a little work, but I think I can shed | | | | least three bids on the salvage for your vehicle, and |
| a little light on what you need to know in order to | | | | if possible, ask the salvage company if they maintain |
| get a fair settlement. As the owner of a claim | | | | auction sales records and see if they will give you an |
| service company and a licensed adjuster who has | | | | average sale price for vehicles like yours that have |
| settled thousands of total loss claims, I will reveal the | | | | been sold at auction in the last 6 months to a year. |
| tricks to getting an insurance company to take you | | | | Document all of this and determine your vehicle's |
| seriously. Let me dispel some common | | | | salvage value so that you can compare it with the |
| misconceptions that apply in almost every State: | | | | value the insurance company gave you in step 3. |
| 1. Your vehicle is not a retail vehicle. What dealers | | | | Most of the time, insurance companies/adjusters |
| would ask for your vehicle is not what your vehicle is | | | | simply use a percentage of the car's value to |
| worth. Your vehicle is a private vehicle, and the value | | | | determine salvage value (crazy and inaccurate!). |
| of your vehicle will be reflective of this fact. | | | | Okay, so if you have completed steps 1 through 4, |
| 2. Frame damage has nothing to do with whether | | | | you should be ready to move on, if you haven't |
| your vehicle is considered a total loss or not. | | | | completed steps 1 through 4, then this is probably |
| 3. You cannot force the insurance company to total | | | | why you need help with your settlement; you can't |
| your vehicle, nor can you force them not to total it. | | | | follow directions. Just kidding! Moving on....... |
| 4. Any vehicle can be repaired; it is simply a matter | | | | 5. Write a well thought out demand letter and give |
| of cost. | | | | the insurance company a time limit for responding. |
| 5. The salvage value of your vehicle is very | | | | Indicate in your demand that your offer to settle will |
| important. | | | | be rescinded at the end of your time limit, then |
| 6. Insurance adjusters do not have the authority to | | | | follow up by telephone every two business days until |
| change company policy, but claims managers, litigation | | | | your time limit expires. |
| adjusters, claims presidents, and vice presidents of | | | | 6. When calling the insurance company, unless the |
| claims departments usually do. | | | | adjuster is responding favorably, just request to |
| 7. Staff insurance adjusters are normally not experts | | | | speak with the vice president of claims, and then |
| on determining vehicle value and may not even have | | | | settle for a claim supervisor. Unless you are an |
| an adjuster's license (ask them for their license | | | | experienced negotiator, try to avoid getting into a |
| number). | | | | detailed conversation with the claims department, |
| Okay, if you understand those seven things then you | | | | simply ask them when you can expect a written |
| are ahead of most people. I think most people | | | | response to your demand. Try and get the |
| believe (rightfully so) that insurance companies use | | | | supervisor to provide you with a fax number or |
| computers and formulas to determine vehicle values. | | | | e-mail and then correspond only in writing. If they will |
| This practice is the main problem that consumers | | | | not provide you with a fax number or e-mail address |
| face. How do you argue with a computer or formula? | | | | (some won't), then try and record your |
| I'll tell you how, you have to call its bluff! Each vehicle | | | | conversations with the claims office, and advise them |
| should be evaluated on its own merit, and the | | | | that you're recording the conversations, not because |
| adjuster should be able to utilize common sense. | | | | it's required, but because they will be more likely to |
| Instead, processes, computers, and formulas keep | | | | be careful if they know they are being recorded. Of |
| adjusters from using logic, and when you (the victim) | | | | course, you can use snail mail, but who wants to wait |
| don't agree with the result of the process, then the | | | | on the mail? The point is to document what you are |
| adjuster is trained to simply advise you that their | | | | doing so you can review it later if you need to. |
| offer is the final offer. So what do you do; how do | | | | 7. Be willing to give in a little bit on the value that you |
| you call their bluff and get them to act human? Here | | | | expect to receive. If the insurance company is |
| is the process: | | | | increasing their offer to you, then in the spirit of fair |
| 1. Gather every scrap of documentation on your | | | | business dealings, you should reduce your demand. |
| vehicle that you can find and get it in front of you. If | | | | Always move in small increments, don't give away |
| you have no oil change receipts, other maintenance | | | | the house or settle for too little (insurance adjusters |
| records, the purchase invoice, list of options, etc., | | | | are trained to move as little as possible to try and |
| then you will have a hard time proving your vehicle | | | | settle low, so why shouldn't you do the same, but in |
| was taken care of and "above average" no matter | | | | an attempt to settle high?). Be confident in your |
| how good it looks. (you need to prove your vehicle | | | | negotiation, but don't be over-confident. Remember if |
| doesn't fit with the "formula") | | | | you fight for every penny, you will likely spend at |
| 2. Demand a written salvage value quote from the | | | | least a few hundred dollars fighting, you know? And |
| insurance company (in writing), but if the adjuster | | | | it is possible that you have overlooked something |
| verbally gives you a quote, write it down for | | | | that an adjuster or attorney has already found. |
| comparison later. | | | | 8. If all else fails, hire a qualified expert to write a |
| 3. Use the internet! Go to the websites for NADA, | | | | detailed and industry accepted market value report. |
| Edmunds, Kelley Blue Book, AutoTrader, Cars.com, | | | | Submit the report to the insurance company along |
| Craigslist, E-bay Motors, etc. Carefully document your | | | | with a final demand letter and a small claim petition. |
| vehicle's value according to all of these publications. | | | | That's it, if you can follow the steps outlined in this |
| The more information you have, the harder it is for | | | | article, you can get a fair settlement for your auto |
| the insurance company / adjuster to argue with you. | | | | total loss. There are people out there that will help |
| 4. Pick up the telephone and call auto salvage lots in | | | | you to navigate through your claim for free, you just |
| your area. Ask them to give you a salvage bid on | | | | have to find them. Sometimes, it's just in the petty |
| your wrecked vehicle. Do this with at least three | | | | details! Good luck! |