Insurance companies will always use language witch suits them and your best avenue to increase your
total loss vehicle insurance settlement payout is to pay close attention to their wording.
Top switches.
Time of loss
ACV vs Replacement
Kilometer valuations
Damage
Out of area comparables
We see a constant flip flop on these major issues.
Vehicle insurance companies will project whatever fits into their interest and there are ample companies out there that assist them in doing this. Now that market has turned to a trend of downward projections 2023 following these steps will help lead to an increase for your total loss vehicle insurance payout in Canada.
Most provincial vehicle acts will state that the value is based at the time of loss. Which in 2023 will actually be an advantage to the customer as we and others see a major decrease in overall vehicle values across North America. The sooner you start attaching dates to your research the better. This will help increase your value as the trend is to wait for the market comparables to change.
ACV (Actual cash value) vs replacement. This is the age old argument. I fight with adjusters all the time on this issue and not one insurance company will admit to one or the other. The answer will always be what is best for them. Your best avenue for total loss insurance payout increase is to stick with values that you see in the marketplace. Yes, we have to account for damage and kilometers but there always seems to be comparable out there that match even the worst vehicles.
Kilometer valuations are the single most important factor when dealing with total loss vehicle insurance payouts. In our opinion, every single kilometre is worth money high or low. Insurance companies will apply low valuations to your total loss vehicle in Canada or will hire an outside firm to do an assessment on your vehicle with usually the same result regarding kilometre values. Pay close attention and break down the cost per km of their assessment and counter with what you think is a fair assessment.
Damage to a used vehicle is very common. Insurance companies will obsess over the smallest scratch to pay you less. When searching for your comparables pay close attention to the vehicles in your search condition. Most, if you look close enough have comparable damage. Highlight that and submit to your adjuster.
Keep them in check with the search radius they use for compare vehicles. In our experience they will always stray from their own guidelines to find comparables that suit their interests. To increase your total loss vehicle insurance payout find comparables in your area only. So many times we hear from our customers that there aren’t any. 1, either they haven’t gone to enough sites or they haven’t given it enough time. We find in a lot of cases just waiting a day or two you will see compares pop up in your area. This is absolutely huge as prices vary substantially across the county.
I would 100% advise that you get yourself and appraisal done on your vehicle. I know, I am just trying to get work here, but it really is the best avenue available to get more for your vehicle. Appraisals create a second opinion that relives the pressure of have having to do this alone. If you feel strongly about your position on value so will an appraiser. Appraisals highlight “current” market value and counter total loss vehicle insurance payout first offers.
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