When and whether a vehicle involved in a collision is considered to be “totaled” for first-party insurance purposes is an issue of great angst and confusion for most consumers. It is one of the most frequent questions we receive. Many of our clients’ insureds experience nightmares when older, functioning automobiles are being “totaled” simply because the frame is bent or other seemingly minor but hidden damage occurs. Even insurance professionals can get lost navigating the maze of rules and regulations regarding the act of “totaling” a vehicle under a policy. But it needn’t be all that complicated. MWL has drafted and published a new chart which should help take the guess-work out of when a car can be “totaled.” However, claims professionals should refer to their company rules and procedures and/or in-house counsel before making a decision to total a vehicle. The chart – which can be found HERE – is for informational purposes only and should not be construed as legal advice.
If you should have any questions regarding this chart, vehicle total loss thresholds, or subrogation in general, please contact Gary Wickert at [email protected].