Total Vehicle Loss Claims
There are several things you should know about total loss claims in North Carolina. First, any total loss claim is separate from any claim you may have for medical bills or injuries from the crash. Second, any total loss claim is paid to the owner of the vehicle not to the driver. Third, North Carolina law (11 NCAC 04.0418) requires any vehicle damaged in an amount which exceeds 75% of the preaccident actual cash value to be considered a total loss.How Much Can I Expect to Receive for My Total Loss Claim?
In our opinion, most insurance companies do not properly evaluate and pay total loss claims. According to the North Carolina Commissioner of Insurance Consumer Guide to Automobile Insurance, a total loss claimant is entitled to the actual cash value of the vehicle which represents the local market value of the totaled vehicle. The Consumer Guide indicates there are two methods for determining the local market value: 1) By using the local market price of a comparable vehicle; 2) If no comparable vehicle can be located, dollar estimates from at least two qualified dealers within the local market area.
In our experience, most insurance companies pay less that they should for total loss claims. Many insurance companies apply undefined condition reductions to improperly reduce the value of comparable vehicle. These reductions can cost consumers hundreds or thousands of dollars.
If you have a question about car or truck that was totaled in an accident, call the attorneys at Hendren Redwine & Malone for more information about your rights to recover from an insurance company.