Under what conditions can a total loss be claimed for vehicle damage?
3 Answers
Vehicle total loss is divided into two situations: one is actual total loss, which means the vehicle is completely destroyed and cannot be repaired; the other is constructive total loss, which means although the vehicle can still be repaired, the repair cost reaches or exceeds the actual value of the vehicle. The following is the relevant introduction to vehicle damage insurance: 1. Benefits: The insured vehicle can receive compensation for repair costs due to damage caused by insurance liability accidents, as well as reasonable rescue measures taken by the owner for the vehicle. When rescuing the insured vehicle, the insurance company should compensate for the reasonable costs of using others' firefighting equipment. 2. Meaning: Vehicle damage insurance refers to the loss of the insured vehicle caused by natural disasters (excluding earthquakes) or accidents within the scope of insurance liability, which is the most expensive insurance type in most private car insurance policies.
As an experienced car owner with many years under my belt, I believe there are two key points to consider when applying for a total loss claim: First, if the repair costs are too high, exceeding about 75% of the car's current value, the insurance company may declare it a total loss. The car's value is calculated based on its purchase price minus annual depreciation. For example, an older car might only be worth 50,000 yuan, but if repairs cost over 40,000 yuan, it's not worth fixing. Second, if the damage is too severe, such as a deformed frame or damaged safety components, the car won't pass the annual inspection even after repairs, making it safer to scrap it directly. Different insurance companies have varying standards, so I recommend first taking photos to document the damage, then contacting your insurer to file a claim. They will send someone to assess the cost-to-value ratio. After a total loss, the car is auctioned off, and you can use the compensation to buy a new car, but remember to keep all relevant documents.
Friend, I only realized after my recent accident that the key to applying for a total loss is when the repair cost is too high or the car is irreparable. When the repair cost exceeds about 80% of the car's current value, the insurance company will declare it a total loss. For example, my SUV had a market value of 80,000 yuan, and after the accident, the front was completely destroyed, with repairs costing over 70,000 yuan, so the insurance company directly processed it as a total loss. This also considers the type of damage—if the frame or chassis is compromised, the repair difficulty increases, and it's more likely to be rejected for compensation. Insurance policies are very strict, so it's advisable to prepare the accident report and repair quotes when filing a claim. Don't rush to agree with the assessment result; comparing quotes from several repair shops ensures a fairer outcome.
