When you get into an accident, it’s important to have a plan and know you’re covered. Knowing what happens in the event of an accident or when your car is totaled can ensure that you’re properly prepared. In Maryland, a car is totaled if the cost to repair damages to the car exceeds 75 percent of the car’s fair market value. Certain types of car insurance cover damage in the event that your car is totaled. We will review what happens if your car gets totaled and how to receive auto insurance in Annapolis, MD, to prevent excessive costs due to a totaled car.
At MAIF, we want our clients to be covered in the event of an accident. It’s important to drive with car insurance, especially if your car is totaled or drivers and passengers get injured.
What Happens When A Car is Totaled?
If you have damage to your car in an accident, contact your insurance company and file a claim; the insurer will determine if it is a total loss. You may not be sure if your car is totaled based on its damage. However, once you submit a claim to your company, they will determine if your car is totaled.
The company will take many factors in mind when determining if a car is totaled. They will look at the market value, make, model, and year of the vehicle. If you have a loan on your vehicle, contact your lender to let them know of the damage.
Comprehensive and collision coverage can cover a totaled car. We offer both of these types of auto insurance coverage in the Annapolis and Baltimore areas. Collision coverage covers damage to your automobile (car, motorcycle, etc.) in the event of an accident.
Comprehensive auto insurance coverage covers a total loss that is not the result of an accident. This type of insurance can cover damage from weather, fire, hail, trees, and more.
Insurance companies cover the vehicle’s actual cash value (ACV) at the time of the loss. The vehicle’s mileage and any wear or tear also factor into the ACV. Salvage value is the damaged car’s worth. You can determine your car’s fair market value by looking at cars sold in your area.
In addition, you can negotiate your insurance payout but must have proof to increase the payout. If you want to drive your totaled vehicle, you need to go to the DMV and clear it with your liability car insurance. However, it’s best to begin looking for a new car.
Prepare yourself in the event of a car accident. Receive a free car insurance quote from MAIF online or call 301.476.4887. Make sure that you and your car are covered with MAIF auto insurance in Annapolis.