What happens if my car is totaled?

If your car is totaled in an accident, there are a few different routes for you to take. Insurance plays a large role in this process, as they can ensure you get money back for the car. This is what happens if your car gets totaled:

  • The insurance adjuster is the one who will determine whether your car has been totaled or not. If they find it to be a total loss, they can cut you a check for the value of the car (pre-wreck).
  • Understanding why your car is  considered a total loss includes
    • your car cannot be repaired safely
    • the car’s value is less than it’s repairs
  • The insurance company may decide to replace your car with a new one. If you have a new car and the Guaranteed Replacement Cost,  your insurance company can replace your car at no extra cost.
  • If you were financing your car, the check goes to the financing company.
  • If you were leasing the car, the check goes to the leasing company.
  • If you own the car, the check will then go to you

You can keep the car if you have plans to repair any of the damage from the accident. However, if your car was classified as being totaled and you decide to fix it up, you will  receive what is called a salvage title and you will not be able to register the car until all damages are fixed on it.