Totaling your car can be a devastating and stressful experience. Deciding how to deal with your insurance claim can be even more difficult. Generally a car is considered totaled if it costs more to repair the car than the car is worth. There are a few options that insurance companies allow you to get your claim. Take the money from the cost of the car or get the car repaired. Generally, however, a car that is repaired after being totaled in an accident will receive higher rates from an insurance company because it is at higher risk of breaking down.

Collect your Claim

In the event that your car is totaled, a claims adjuster appointed by your insurance company will appraise the value of your car. From that the Actual Cash Value will be noted. In order to receive the full amount for your cars cost you will have to subtract the deductible from the total. From here you can take the money and apply it towards another vehicle.

Another option is taking the money and repairing your vehicle. Repairing your vehicle can be rather costly and insurance companies aren’t as willing to insure your vehicle. This is because the likely hood of the car having another problem is higher when in a major accident. Taking a car out of a salvage title can be rather costly as well.

Repairing a vehicle is not suggested because of the costs involved and the greater potential for another break down. Never the less, take both options into account and do what is best for you. Gathering as much information before giving your car away to a salvage yard will help you decide what to do next.

Salvage Title

The salvage title means that your car had a major problem such as being stolen, flood damage, totaled car, etc. Obtaining a repaired salvaged car is also generally cheaper. The only problem with this is that the vehicle was involved in a serious accident. Acquiring the proper documents to inure the vehicle can be difficult, time consuming and expensive. Why? This is because insurance companies see the vehicle as more likely to be involved in another accident. Really consider the costs and benefits of a salvaged vehicle, and decide if purchasing salvage is right for you.