How is a total loss vehicle compensated?
1 Answers
If the insured amount is higher than the actual value at the time of the incident after the insured vehicle suffers a total loss, compensation will be calculated based on the actual value at the time of the incident. That is, compensation = (actual value - residual value) × accident liability ratio × (1 - deductible rate). If the insured amount is equal to or lower than the actual value at the time of the incident after the insured vehicle suffers a total loss, compensation will be calculated based on the insured amount.