How do you calculate if your car is a total lost?

Question

How do you calculate if your car is a total lost?

Answer 1

If the cost to repair your vehicle is at least a certain percentage of the value of your vehicle. Or if the repairs exceed the value

Depending on what state you are in it differs.

Usually its around 75%. So if the cost to repair is 75% of the total value of your car, it will be considered a total loss.

Answer 2

They take the cost of repair then compare it to the BOOK value (look up the book value on KBB.com).  If the book value is less, then they consider it totaled and just write you a check for the book value.

In another words, if you can go buy another (same year, make, model) car cheaper, why try fixing it?  In some ways it is very unfair.  Because if you were to actually try and buy another car, you still have to pay sales tax (not included in the book value).

Good Luck...

Answer 3

Some insurance companys also factor in:

Cost of repairs + cost of hire car for time of repairs + cost of insurance for hire car, and then compare that to the list price of the car.