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"Borderlining the threshold of a total loss"?

by Curious in the Southeast

I called my insurance company today to inquire about the status of my claim, after allowing sufficient time for a promised call back that never came through, and was told that the auto body shop my car was towed to has determined my car to be "borderlining the threshold of a total loss".

Now, I have been advised that a new adjuster has been assigned to my case. I was told I will hear more within the next few days as he must assess my car himself to make a determination.

I am currently using a rental car so I have been adequately supplemented in the meantime, but I must admit, I am starting to collect some ants in my pants regarding the future outlook of my vehicle. I'm already skimming the surface on alternate options in the case that my car is a total loss, but I'm not allowing myself to wade waste deep in the instance that they choose to repair my car. I'm trying to find a realistic balance between the two so that I'm not caught with my pants down.

Can you help me form a general idea of what to expect given this situation? Because the insurance agency quoted my car as being "borderline" on the threshold, does this mean they are more than likely to sway to one side over the other? Is my car really* "borderlining" or is this some insurance lingo that I need to decode?

I am refraining from becoming a pushy pest but I must admit, I will maintain my proactive attitude towards this as I continue to educate myself on the fine lines of auto claims. I'm a first-timer here.

Thanks for your time and your assistance in this matter.

Comments for "Borderlining the threshold of a total loss"?

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Nov 03, 2007
 ccc valuescope class action suite
by: Anonymous

hello,
i would first find out what the "threshold percentage" is for totaling your car out in your state. in order to determine this percentage they must first assign a value to the vehicle. if ccc valuescope is the third party who assigned the totaled out value to your vehicle then google ccc valuescope and read about the class action suit against them and about 15 other major insurance companies for undervaluing claims for totaled out vehicles. this will help educate you in how this whole process works
Nov 03, 2007
 Answer
by: Hector

The situation you described (a borderline total loss) occurs when a body shop inspects the car and they think they could fix it, but the value to fix the car is very close to the value of the actual car (or what insurance companies believe the value is).

In such case, an actual adjuster from the insurance company is sent to inspect the car. Insurance carriers want to avoid the conflict of interest from the original estimate. The first body shop or mechanic is in the business of repairing vehicles. They could “skew” the estimate so you car is repaired (making them money) when in reality should have been totaled.

A borderline total loss is a very hard situation. If the total loss threshold was in effect, then it is questionable if the car can be fixed correctly (the insurance company will argue that it will).


When insurance adjusters (and a body shop for that matter) write an estimate, they DO NOT get behind the damage, they simply look over the car as is. This will lead to in accurate numbers. Once you get under the “damage” to fix the car, 80% of the time there will be hidden broken parts that need to be replaced. The cost of repairing and replacing those parts could the put the car past the total loss threshold value.

To make sure that the insurance company is accounting for everything, you can request a “tear down.” This cost the insurance company money (they must pay for this to the shop), so they try to have estimates done without one. You really need to know before they start repairs if the final total amount will really total your car or no.


Regarding your more specific inquiry: does this mean they are more than likely to sway to one side over the other?

Yes, it means that the bodyshop thinks the car can be fixed, but as mentioned above, the insurance company must first double check. If the shop thinks the car is a total loss, the will tell that to the insurance company so the car be towed away.

In such case, the adjuster must inspect the car so they can assess the Fair Market Value.


I hope this helps.


Good Luck,
Hector

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