Actions To Take If Car Totaled In Automobile Accident
Anytime that a driver in British Columbia gets involved in an accident, a designated team at ICBC gets to work, making certain calculations. The results of those calculations reflect the method used to complete a simple equation.
The figures used in that simple equation:
• Current market value of the damaged vehicle
• Salvage value of the same vehicle
• Estimated repair costs, which include the cost of a rented replacement for the damaged set-of-wheels.
It has the repair costs on one side, which gets compared to a difference. That difference gets calculated by subtracting the salvage value from the vehicle’s current market value. If the repair costs exceed the calculated difference, the damaged vehicle becomes labeled as totaled. There are additional factors considered by ICBC, when deciding whether the extent of a vehicle’s damage has created a totaled car, truck, van or SUV.
Vehicle’s age and prior condition of car is considered. The ICBC looks at similar vehicles that are for sale on the open market. The Estimator might overlook any accessories that got added, after the original owner had put some money into the his or her recent purchase. They will check if the driver has collision coverage.
Rights of vehicle’s owner, after hearing the figure calculated by ICBC’s Estimators
When you work with personal injury lawyer in Penticton, the owner has right to ask for details on all the steps taken, in order to arrive at ICBC’s calculated value. The vehicle owner could dispute the value proposed by ICBC’s Estimator. Such an action might trigger a claims assessment review.
Owner may get asked to transfer ownership to the insurance company. Once the insurance company acquires ownership, it can recover some money by selling the salvageable car, truck, van or SUV.
Once it has been calculated, the following factors work to decide how the payment will get distributed.
Did the driver at the time of the accident own the vehicle that was hit and damaged? If that is the case, then ICBC’s payment goes directly to the vehicle’s owner.
Was the driver leasing the damaged vehicle? If that is the case, then the payment goes to the leasing company, since it owns the damaged set-of-wheels.
Had the driver chosen to finance the vehicle by making monthly payments? If that were the case, then a portion of each payment would go to the driver, and an equal portion would go to the company that had financed the purchase. The purchaser might find that he or she must make more payments, in order to follow-through with the promise to pay in-full. That would force the owner of the damaged property to pay for an item that could no longer be used for its intended purpose. Hence, ICBC’s decision would force the driver of the totaled vehicle to face some most unpleasant consequences.