5 Common Mistakes When Filing a Total Loss Claim
When your car is involved in an accident and declared a total loss by your insurance company, it can be a stressful and overwhelming process. Many drivers make common mistakes that can affect the final settlement amount they receive for their vehicle. One of the biggest errors is agreeing to the total loss value without consulting an attorney.
Here are five common mistakes to avoid when filing a total loss claim:
1. Agreeing to the Total Loss Value Without Legal Advice
One of the most significant mistakes drivers make is signing documents that agree to the insurance company’s total loss appraisal without first consulting with an attorney. In many cases, the insurance company will offer you a settlement based on their own valuation of your car. However, this valuation is often lower than what you could receive with the help of an experienced property damage attorney. Always contact an attorney before agreeing to the total loss value. We often find that clients can secure more money for their vehicle by challenging the insurance company’s initial offer.
2. Not Understanding the Definition of Total Loss
A car is considered a total loss when the cost to repair it exceeds a certain percentage of its value. Insurance companies may use different methods to calculate the value of your car. Some drivers may misunderstand the terms of total loss, thinking that the offer they receive is final, when it might not be. An attorney can help ensure that you understand the process and whether the total loss determination is accurate.
3. Failing to Request a Copy of the Appraisal
When an insurance company declares a vehicle a total loss, they will conduct an appraisal to determine its value. It’s crucial to request a copy of this appraisal and review it carefully. Many insurance companies may undervalue your car, using outdated information or incorrect pricing. An attorney can assist in reviewing the appraisal and comparing it against your car’s true market value to ensure you’re being offered a fair settlement.
4. Not Keeping Track of Vehicle Documentation
To maximize your total loss claim, it’s essential to maintain detailed records of your vehicle’s history, including maintenance, upgrades, and repair records. Insurance companies often look at the overall condition of the vehicle before determining its value. If you fail to provide this documentation, the insurance company may offer you less than what your car is worth. An attorney can help ensure that all relevant documents are submitted to get you the highest possible payout.
5. Delaying Your Claim Submission
Waiting too long to file your total loss claim can result in complications that affect the outcome. Insurance companies typically have a limited timeframe to settle claims, so it’s important to act quickly. Working with an attorney can ensure that your claim is filed promptly and that your interests are protected throughout the process.
Why Contact an Attorney Early in the Process?
It’s always in your best interest to contact an attorney before agreeing to any total loss settlement offer. We specialize in helping clients secure the compensation they deserve, whether through negotiation or legal action. In many cases, we are able to get our clients significantly more money for their vehicle than they would have received from the insurance company’s initial offer.
If you’ve been involved in an accident and your car has been declared a total loss, don’t sign anything without speaking to an attorney first. Contact us today to schedule a consultation, and let us help you get the best possible outcome for your total loss claim.