How You Can be Able to Know if a Car is Totaled
Despite the fact that a car is still driveable, there is a high chance that it is totaled and considered a total loss. What makes a car to be totaled is if the value of the car and the damages to repair it amount to 70% then that car is considered totaled. Below are some of the ways that you can be able to know if a car is totaled.
It is easy to know if a car is totaled when you know how old it is. Most people drive cars for more than ten years and although it may look like it is in good condition, it may not be cheap to fix it and minor accidents can have a major impact on such cars. When going to repair one thing, you may discover that other things need to be repaired as well and this can even end up costing the total cost of the car.
In most cases, the worth of your car is another thing that can determine if your car is totaled. Car worth is not always what is in the books but it can be measured in terms of mileage of the car as well as other features and even the area you are in can also determine the worth of your car. Statistics show that new cars depreciate fast and damages can increase the depreciation and that is why simple upgrades can come in handy to increase the value of your car.
When considering if a car is totaled, you also need to consider the overall cost of repairs since various additions in a car can raise the total repair cost after an accident. Additional features repairs can make the cost of the car to seem higher than if you were to concentrate on fixing the primary features. As if the cost of repairs are not enough, you may have to deal with labor cost as well making the repairs costlier.
In case you do not want to give up your car, you can get to keep it since the insurance company can help you to get paid some salvage amount. With salvage amounts, it is important not to take the first offer you get and to know that the value of your car will be much lower after the amount is paid. Do some research, and list down current repairs you have done on the car since it will give you a higher bargaining power for the overall amount to help you get a new car.
When a car is totaled, the lender gets the proceeds fist and you get what is left over. In the event that a car is totaled, you need to remember that the insurance will cover the cost of the car and not the financing and for info. you can learn more on this homepage. When it comes to your finances, taking gap insurance will be ideal for you since it will help to cover the cost of financing in case your car gets totaled which will give you some peace of mind with your finances.