Do You Want to Keep a Car That Was Totaled?
Following a car accident, your vehicle may be declared a total loss. Even if this is true for insurance paperwork, you may want to keep your totaled car, such as if the vehicle holds historical significance or sentimental value. There are several important steps and considerations, particularly in regard to insurance negotiations, title changes, and future insurability, if you want to keep a damaged vehicle.
Talk to a legal professional about the legal and financial considerations involved when retaining a vehicle that has been deemed totaled in a Clearwater, Hudson, or Tampa collision. Then, you can make an informed choice.
Keeping a Totaled Car Influences Insurance Negotiations
When you decide to keep a totaled car, the insurance settlement process changes.
- Reduced payout. Insurance companies typically offer a cash settlement equivalent to the car’s market value before the accident, minus any deductible. If you choose to retain the car, the insurer will deduct the vehicle’s salvage value from the payout. This means you will receive less money upfront.
- Salvage value will be negotiated. The salvage value is the estimated worth of your totaled car as it stands. It’s crucial to negotiate this amount with your insurance company to ensure you receive a fair settlement.
- Settlement timing. Retaining your car may extend the time required to finalize the settlement, as additional paperwork and inspections may be necessary.
Plus, if you decide to keep your totaled car, you will need to navigate the process of title changes.
Initially, your car will be issued a salvage title by the Florida Department of Highway Safety and Motor Vehicles, indicating that it has been declared a total loss. After the necessary repairs are made to restore the vehicle to a roadworthy condition, you can apply for a rebuilt title. This involves a thorough inspection by an approved facility to ensure the car meets all safety standards.
Insuring a Rebuilt Vehicle
Once you pass a rebuilt inspection, there may still be hurdles to making your car road ready. Insuring a vehicle with a rebuilt title can be more challenging as many insurance companies are hesitant to provide full coverage for rebuilt vehicles due to the perceived increased risk. You may find it easier to secure liability insurance, but comprehensive and collision coverage might be limited or come with higher premiums.
Providing detailed documentation of repairs, including receipts and inspection reports, can help in securing insurance. It can also be helpful to do some insurance shopping, comparing quotes from multiple insurance providers.
Whether you want to keep a totaled car because it is an antique vehicle or the car holds personal memories that are irreplaceable, discuss your situation with a Florida personal injury lawyer. A knowledgeable lawyer can guide you through the legal and insurance-related nuances of this process.
Is keeping a totaled car something that interests you? Many have strong sentimental or historical attachments to their vehicles. To explore keeping the car, talk to the attorneys at Roman & Roman. Connect with over 100 years of combined legal experience today, schedule a confidential consultation.
Although the law firm of Roman & Roman has offices in Clearwater, Hudson and Tampa, we handle cases and claims throughout Florida. We also meet personally with our clients if at all possible, rather than impersonally over the phone or on the Internet.
