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Total Loss Basics: What It Means for You
How insurers decide a vehicle is a total loss and what your options are.
How it's decided
A vehicle is typically declared a total loss when the cost to repair it approaches or exceeds a share of its value.
What you can do
You can accept the payout, or in some cases keep the vehicle. Ask your insurer how the value was calculated and whether it's fair.
Get a second opinion
If you think the car can be repaired, a free estimate from a body shop gives you real numbers to talk to your insurer with.
Check your loan
If you still owe money, the payout goes to your lender first. Gap coverage may cover the difference.