Auto Accident & Insurance pay?
If I was in an auto misfortune & my car was totalled, if my insurance company determines that the good point of my vehicle is more than the amount I owe, will I be paid the additional amount - surrounded by other words, the overage?
Answers:
You'll need to check your policy. If the policy say replacement cost and that is higher than the remaining owed, you win the higher amount. Some just cover the amount of the file.
No, alot of people buy a new saloon and drive it off the lot then hold an accident totaling the car......this is woeful because those people for the most part are makeing payments on a sports car that is sitting in a sliver yard.
You will receive the overage. Hopefully you can shop around immediately for another car. There are some great deals and rebate out there right now.
You will be paid the "actual cash value" of the vehicle smaller number your deductible amount. The insurance payout is not affected by your loan balance unless you are carrying "gap" insurance coverage.
If the actual cash value of the vehicle smaller number the deductible is more than what you owe on the car, you will receive the additional funds since the insurance company is obligated to remuneration you the full actual cash value smaller number the deductible if you have collision coverage.
By the same token if you in truth owed more on the vehicle than what the insurance company determined was the actual cash good point less the deductible then you would be responsible for the shortage since the insurance company would individual owe you what is listed in the contract. The lone way around this sort of problem is to purchase gap insurance.
However, it appears you are one of the lucky few that will in fact have the account salaried off and will still receive additional funds from the insurance company.
Sorry that you lost your saloon though. Good Luck! Source(s): Certified Insurance Counselor, Licensed Insurance Agent & Broker for over 29 years.
Related Questions:
Answers:
You'll need to check your policy. If the policy say replacement cost and that is higher than the remaining owed, you win the higher amount. Some just cover the amount of the file.
No, alot of people buy a new saloon and drive it off the lot then hold an accident totaling the car......this is woeful because those people for the most part are makeing payments on a sports car that is sitting in a sliver yard.
You will receive the overage. Hopefully you can shop around immediately for another car. There are some great deals and rebate out there right now.
You will be paid the "actual cash value" of the vehicle smaller number your deductible amount. The insurance payout is not affected by your loan balance unless you are carrying "gap" insurance coverage.
If the actual cash value of the vehicle smaller number the deductible is more than what you owe on the car, you will receive the additional funds since the insurance company is obligated to remuneration you the full actual cash value smaller number the deductible if you have collision coverage.
By the same token if you in truth owed more on the vehicle than what the insurance company determined was the actual cash good point less the deductible then you would be responsible for the shortage since the insurance company would individual owe you what is listed in the contract. The lone way around this sort of problem is to purchase gap insurance.
However, it appears you are one of the lucky few that will in fact have the account salaried off and will still receive additional funds from the insurance company.
Sorry that you lost your saloon though. Good Luck! Source(s): Certified Insurance Counselor, Licensed Insurance Agent & Broker for over 29 years.
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