All examples here
Your car is worth $8K and is 10+ years old
Your car sustains $4-5k worth of damage by another party.
The other party’s insurance accepts fault and liability
Your car is now totaled because the damage is over 50% the cars worth
The other people’s insurance cut u a check for 8k and take the car instead of fixing it for max 5k ?
Am I getting this right?
Is this how it REALLY works?
byu/Potential_Shoe8393 inInsurance
Posted by Potential_Shoe8393
1 Comment
Yes, for the most part, there are different thresholds as far as the percentage of damage insurance can total it at. Another thing to keep in mind is that it is often based off initial estimate or after some teardown, so that estimate could still increase.