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Market value vs replacement cost for older vehicle

by Nickolas
(Sacramento, CA)

When older auto damaged by rear end impact has lower market value as compared to other brand cars with same age and there are no identical or same models on market as damaged auto, is one bound to accept insurance co. Offer to pay their selected market value?

Auto was intended to be kept at accident time and not to be sold. It is still in excellent running condition except for body damage which repair estimate far exceeds the so called market value.

I want to keep it even though the adversary insurance totaled it and talks about "market value"! do nor want to accept the low market value and either drive in the shape it is in or pay extra to get same ag car at higher price. Your ideas will be appreciated.


Hello Nickolas,

Well, you are in a hard position. Please see our pages on total loss here:

As you can see, you are not owed replacement value, even if your car is unique. The actual cash value of the car can be evaluated by looking at other sources like NADA or Kelly Blue Book.

Also, you are getting paid for a car that is certain age, with certain options, etc… Other vehicles that are similar to that could help you get closer to a real vehicle.

Unfortunately just because your car is unique it does not mean that they have to give you a replacement. You can use that fact to try to negotiate a better settlement, but by itself it will not give you a replacement value.

If the car is still in good condition, you could keep it and drive it (with a salvage title), but have the insurance co still pay for the total loss.

Please see our pages on that subject.

Good Luck

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