You have likely heard about cars getting totaled before. A totaled vehicle is one where the cost of repairing it would be higher than the car’s actual cash value. Generally, you will be better off taking the settlement offer from your insurance company.
When you need collision repair, you must work with someone who knows what they’re doing. You don’t want a company to fool you into thinking your vehicle is totaled! Drivers in Durham, North Carolina, can trust Brown Brothers Body Works for their collision repair needs.
When your vehicle is totaled, an insurance claims adjuster in Durham, North Carolina, will need to come out to assess the condition. The adjuster will look at the year, make, and model of your car and come up with a value based on its condition and mileage. Additionally, the resale value of the metal and parts, also known as the salvage value, is taken into consideration.
When your car is totaled, you have two options. You can either take the cash settlement based on the ACV or you can retain the salvage title and try to sell it independently. Many customers choose the settlement. However, you should keep in mind that if you still owe anything on your vehicle, then the settlement will first go toward the lienholder. You will receive anything left over. Some drivers choose to repair the car because the cost is less than buying a new car, then plan to drive that car until it is no longer feasible, with no intention to resell.
In a settlement, you will not receive the same amount as money as you paid for the car. The moment you buy a car and drive off the lot, it loses approximately 20% of its original value. It will continue to lose roughly 10% of its value for each additional year for the first five years. You can look up the Kelley Blue Book value to get a general estimate for how much you can expect to receive for your used car. Remember, vehicles that have been in an accident are not worth as much.
When your car still needs repairs, you can take it to the professionals at Brown Brothers Body Works. We will do everything we can to get your vehicle back up-and-running after a collision, so reach out to us today!