How Does Insurance Compensate for Flood-Damaged Vehicles?
3 Answers
The disassembly fee, inspection fee, engine oil, and other repair and maintenance costs for the engine of a flood-damaged vehicle can be compensated under the vehicle damage insurance. If the vehicle is covered by water ingress insurance, the cost of damaged components such as the engine connecting rod, piston, and cylinder block caused by water ingress can be compensated.
Last time my neighbor's garage was flooded half a meter high, the claims process was really exhausting. First you need to check if you separately purchased water immersion coverage when buying your auto damage insurance - actually after the recent insurance reform, auto damage insurance already includes water immersion. Remember if the water level passes the dashboard it's basically considered a total loss, the insurance company will calculate compensation based on your car's depreciated value, but water-damaged used cars can't fetch good prices which really sucks. If it only reaches the tire level, they usually make you go to designated repair shops to remove seats, dry carpets, and replace rusted electrical modules. Most importantly never attempt a second engine start, otherwise if water enters the engine they won't cover a penny! My neighbor was too anxious to move the car and ended up paying 40,000 yuan extra in repair costs.
Experience with over a dozen flood-damaged vehicles: First, take photos of the waterline with the license plate visible, and record a video of the entire vehicle's interior and exterior condition. Call the insurance company to report the VIN and file a claim—they will send an adjuster with a damage assessment form. The key is to assess the flooding extent: if water reaches the oil dipstick, the engine is considered damaged; if the carpets are soaked, the entire wiring harness needs to be removed. During the assessment, closely monitor their inspection of the airbag control module and ABS pump—these must be replaced after flooding but are often skimped on by repair shops. If repair costs exceed 80% of the vehicle's current value, it’s more cost-effective to request a total loss payout. Remember not to sign the assessment form until you review it—last time, they tried to overlook a detail like water in the fog lights.
