On Tuesday, June 24, 2014 9:20:11 AM UTC-4, Robert Green wrote:
"trader_4" wrote in message

news:d32937b5-62e1-4a12-9ad3-



But I think it maybe you figured out what he's

talking about. He said "The insurance company only has to pay 75% of

fair market value." Perhaps what he meant was the insurance company has

to total it if the cost of repairs are more than 75% of fair market value.



Yep. He had the percentage right, but not how it's applied (pretty

uniformly across the US). I thought the explanation I posted was the most

informative even though it was not of the OP's state because I knew what the

general salvage principle was. I was surprised to see the Holton firm said

words to the effect, "we don't do auto accidents, but if we did, here's how

it would go." They seem to imply they'll do it for clients, and that's how

it works down here. I've gotten my lawyer to do things I know he would

rather not, but he does them because I pay him and often only need a letter

on a lawyer's letterhead to get something accomplished.



I've been bent over the salvage rules a few times because I run cars for a

long, long time and know the TRUE value of a primo well-cared for car you've

worked on all its life. It sure isn't what the Bluebook says. There really

needs to be a factor for "one owner" cars that can level out the sting of

being forced to total out and not repair such cars.



One thing I learned from the Holton site was that the 75% figure not only

includes repair but supplemental claims such as projected rental during the

period of repair. So on a $10K FMV car, you can get totaled even if repairs

are less than $7.5K. Good to know I guess. )-:



Sadly, there aren't many ways to come out ahead, if any. Many people

believe if the car is worth 10K then insurers should pay up to $10 to repair

or restore it. Not so. If repairs equal $7,500 then they can "total you"

and force you to take the $10K payout. Or nothing. It's in the 30 page

contract somewhere. I can see their business reasons for setting things up

that way. The likelihood of restoring a beloved one-owner, perfectly

maintained 10 year old vehicle to its pre-crash state is not very good and

they (smartly) like to cut their losses.



The ways out of the "I've been totaled but I still want my old car" dilemma

all come with associated costs and may not save any money in the long run.

You may be able to find an insurer that will cover the cost of repairs

should you insist on getting your old car back but I imagine the premiums

would be high enough to make it more sensible to self-insure. Sometimes you

can get "classic car" insurance if the vehicle is old enough and meets

certain other parameters, which often include limited mileage.



Some states regulate the auto insurance industry very tightly so I am not

sure how flexible insurers can be but I've found if you look around someone

will write a "rider" that covers you - usually for a respectable premium if

you're asking for something risky to be covered.



Ironically, I've just started to see ads where insurers are offering

"replace with new" coverage so I'd say the terms are flexible given enough

shopping and competition. This is one of those areas of the law where it's

not really a case of being "made whole" after an accident. In the OP's

case, if it was a drunk driver and not a tree that caused the damage, he

would be likely to have been "made wholer" by the other guy's insurance

because of the criminal liability.



The other ways have been discussed already, and buying the car back for

salvage is probably the best and most cost effective way of getting your car

back. In some states, retitling a salvaged car means paying some pretty

hefty fees and taxes if you're not a wholesaler.



I bought a car back for salvage once and discovered just how many things

break that you can't see in a 40mph front end to side of other car crash.

Nowadays I'd take the check and give a fallen soldier a hearty salute on the

way to the junkers. Or North Carolina, which has a remarkable cottage

industry of salvage recovery going on.



--

Bobby G.

One simple solution to that is to not insure a car for collision if
it's not worth it and you can absorb the loss. If the car already
has a blue book value less than 10K, is paid off, you're probably better off
saving a couple hundred bucks a year.