I was in an accident and the at fault drivers insurance company is saying its a total loss. I am financing the vehicle and just got it at the beginning of the year. I don't believe I have GAP, but do know I need to pay the deductible. Since the accident was not my fault, am I still out of a vehicle? What actions should I take?
No, you do NOT pay the deductible, if the other person's insurance is paying. You only pay the deductible if YOUR policy pays you.
Are you still out a vehicle? Most likely. If you agreed to pay $100,000 for a 1978 Chevy Chevette, you got a bad deal. The insurance company is only "on the hook" for the actual cash value.
They don't owe loan payoff, they don't owe replacement cost, they don't owe any taxes, negative equity, late fees, interest payments, none of that.
So, if you owe less on the vehicle than it's worth, you'll have some money in your pocket. If you owe MORE on the vehicle than it's worth, you'll have to write a few checks to get out of the loan.
As far as action, your best bet is to get a clear idea of your car worth - like at www.kbb.com, private party sale value. That way, you won't be surprised when the adjuster calls.
Contact your insurance company!
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment