I haven’t dealt with an accident in a while, and honestly, I never fully understood how the process works. So, I got hit in a parking lot about a week ago. I’m still waiting for the other driver’s insurance to admit fault. I drive a 2013 Highlander with 150k miles on it.
The shop their insurance recommended estimated repairs at $6,100, but another shop I checked out said $7,700. Assuming the other insurance accepts fault, what are my options? Can I legally just take the cash without repairing the car right away? And if so, do I get to choose which quote they base the payout on; like the $6,100 or the $7,700? My car’s bluebook value was $9-11k before the accident, and I was planning to sell it. Now I’m worried it’ll be much harder to sell even after repairs. I’m trying to figure out the best way to handle this because I’d like to move on and get a new car. Any advice?
Yeah, you can take the cash without fixing it, as long as you don’t have a loan on the car. Insurance will pay what they owe based on their approved estimate. What did the insurance estimate the damage at?
@Tatum
Thanks. The shop their insurance recommended said $6,100, but the random shop I went to estimated $7,700. If I’m getting cashed out, can I pick the higher quote?
Morgan said: @Tatum
Thanks. The shop their insurance recommended said $6,100, but the random shop I went to estimated $7,700. If I’m getting cashed out, can I pick the higher quote?
No, they’ll only pay based on their approved estimate, which is the $6,100. If you want the $7,700, you’d have to get the repairs done to prove the higher cost.
Nevan said:
Which state are you in? Honestly, it sounds like it might end up being totaled.
I’m in Illinois. I was hoping they’d total it, and at first, it sounded like they thought so, but I guess it wasn’t enough. My car’s bluebook value is $8,500–11,000, but I doubt I can sell it for that now, even after repairs. Is there a way to get reimbursed for the loss in value?
@Morgan
Not for an older car like that. Diminished value claims are usually only for newer or high-end cars. Also, insurance doesn’t always use bluebook; they might have a lower valuation. Plus, repair costs often go up once they start working on the car.
@Nevan
Do you think they might total it if more damage is found later? I’m thinking of just taking it to their recommended shop. I’ve heard that if you use their shop, they’ll update the estimate if more damage is discovered. Is that true?
@Morgan
Yeah, taking it to their recommended shop is a good idea. If they find more damage once they start working on it, they’ll update the estimate, and it might even end up being totaled. Plus, using their shop usually means you won’t have to deal with extra costs like high labor rates.