A Guide to Understanding the Insurance Claims Process for Totaled Cars

Posted on March 29, 2023 by gcsjunk

If you’ve been in a car accident recently, and your vehicle has been declared a total loss or “totaled”, it can be an overwhelming experience. You may have questions like: What is the insurance claims process? How do I get compensated for my totaled car? Do I need to file a claim with my insurer? Fortunately, understanding the insurance claims process for totaled cars doesn’t have to be complicated.

In this guide we will answer all of these questions and more so that you can navigate the process with ease. We will explain what it means to have a totaled car, how to determine if your vehicle is considered a total loss, how auto salvage works and what steps are involved in filing an insurance claim after totaling your vehicle.

By the end of this guide, you should feel confident about navigating through the insurance claims process for totaled cars. Let’s begin!

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How Insurance Carriers Define a Totaled Car

First and foremost, it’s important to understand what a totaled car is. A totaled car is also known as a total loss vehicle, which is a vehicle that has been involved in an accident and the cost of repairs exceed the actual cash value (ACV) of the car. The actual cash value is determined by looking at factors such as year, make, model, mileage, and condition of the vehicle prior to the accident. In most cases when a totaled car has been declared, your insurance company will deem it as a total loss and compensate you for its ACV minus any applicable deductions like policy deductibles.

Auto Repair Estimates

The first step in understanding the insurance claims process for totaled cars is determining if your vehicle qualifies as a total loss. This typically involves getting estimates from repair shops or auto body specialists. If the repair costs exceed the actual cash value, then the car is usually considered a total loss. Once this is established, you can move forward with filing an insurance claim and being compensated for your totaled vehicle.

Filing a Claim With Your Auto Insurer

Now we need to discuss how to file an insurance claim for your totaled car. To do this, contact your insurer and provide them with all the necessary paperwork including the ACV estimates, repair quotes and any photos of the accident. They will then work with you to process a claim so that you can get compensated for your totaled vehicle. Once everything is finalized and you have received payment from your insurer, you can move forward with purchasing a new or used vehicle as needed.

Scrapping a Totaled Car at an Auto Salvage Yard

Now that we have determined that your car is indeed a total loss, let’s talk about auto salvage. Auto salvage involves selling off any parts of a totaled vehicle that are still usable or recyclable and reusing them to repair other vehicles. This helps save time and money when repairing cars from accidents instead of having to buy new parts every time. Sometimes, Cash for Cars companies and junk car buyers in Louisville are willing to purchase entire vehicles or even parts for cash on the spot. Some auto salvage lots will even tow your junk car for free.

Be Sure to Contact Your Insurance Carrier to Confirm Policy Details

We hope this guide has been helpful in understanding the insurance claims process for totaled cars. Do note that every situation is different and there may be additional steps involved depending on where you live. If you have any questions about filing an insurance claim for a totaled car, don’t hesitate to reach out to your insurer for more information.

Are you interested in selling your totaled vehicle for a high amount of cash in the Louisville area? Contact GC’s Junk Cars at 502-804-5605 to speak with a trusted Indianapolis junk car buyer for details on how to get started! We offer free junk car removal and accept all old or broken auto parts!

Navigating the Aftermath of Totaling a Car: What You Need to Know

Posted on January 17, 2023 by gcsjunk

Being involved in an accident that totaled your car can be a stressful experience. You may be wondering what to do next and how to handle the situation. It’s important to know your rights and understand the process of dealing with a totaled car so you can make sure you get a fair resolution.

In this blog post, we will provide an overview of navigating the aftermath of totaling a car, including understanding auto salvage lots, junk car buyers, and other options for getting compensated after having your vehicle totaled. We hope this guide will help you navigate this difficult time more easily and confidently.

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What is a Totaled Vehicle?

First, it’s important to understand what totaled means in the context of a car. A totaled car, or total loss car, is one that has been deemed with severe damage that would cost more to repair than its actual cash value (ACV). Once your vehicle has been totaled, you will need to file an insurance claim with your auto insurance provider. They will determine the actual cash value of your totaled vehicle.

What To Do With a Totaled Car

Once you have determined that your car is a total loss, there are a few options for what to do next. You can either sell it to an auto salvage lot or junk car buyer in Louisville, donate it to charity, or keep it as-is, depending on the circumstances.

Sell. If you decide to sell your totaled car, auto salvage lots and junk car buyers are two of the most common options. Auto salvage yards buy totaled cars from drivers in order to resell their parts or rebuild them for later sale. Junk car buyers purchase total loss cars for scrap metal. Both auto salvage lots and junk car buyers will typically offer you a lower price than the actual cash value (ACV) of your junk car, but it can still be a good option if you need cash quickly.

Donate. If you don’t want to sell your totaled car, there are other options available. You can donate it to a charity or keep it as-is. Donating your total loss vehicle may be a good option if you don’t need the money, as many charities accept totaled cars and will offer tax deductions for them.

Keep. Keeping a total loss car is an option if the damage isn’t too severe, but it is important to understand that driving a totaled car is illegal in many states.

Get Compensated for a Total Loss Vehicle

Navigating the aftermath of totaling a car can be overwhelming and stressful. Knowing what to do and understanding your rights are key to ensuring you get the fair resolution you deserve. We hope this guide has been helpful in giving you an overview of navigating the aftermath of totaling a car, including auto salvage lots, junk car buyers, and other options for getting compensated.

Is your car totaled or totally junked? If so, trade it in for cash on the spot, then place that profit towards a new car! Contact GC’s Junk Cars at 502-804-5605 to sell a junk car in Louisville, Kentucky for an instant cash payout. We provide FREE junk car removal!

What You Need to Know About Auto Loans and Total Loss Cars

Posted on June 14, 2019 by gcsjunk

If you are in the red with your car loan, you can add yourself to a long list of other car owners in Kentucky. It is not uncommon as you think to receive a low settlement check from your insurance provider when your auto loan vehicle is totaled. If you recently totaled your car, and you still owe money on your car loan, you may be in for a rude awakening. Likewise, if you already made a claim with your insurance company, and received a check that did not seem very fair, you may also be in for some bad news.

Continue reading to learn the most important points about auto loans and total loss cars, including what your options might be if you still owe on your loan or got a low settlement.

Actual Cash Value and GAP Coverage

When it comes to your automotive coverage, your vehicle is probably insured at “Actual Cash Value”, which estimates the value of your car at the time of loss. Such assessments consider depreciation, market value, and more. So, if you were not able to make at least a 20% down payment on your car, you should have been encouraged to opt for GAP insurance, which basically protects against the depreciation loss of a car that is more than the amount of money you owe a creditor on that car. This means if you had a GAP policy, it would pay the difference between what the car is worth and what you owe.

For example: you purchase a car with a 5 year automotive loan. After one year, you total the car. Your car is now worth less than what you still owe, and the insurance check you receive for the accident claim will not cover the amount you have left on the loan because the majority of the payments you’ve made over the last year went straight to interest, and the car depreciated significantly.

This situation happens every day to millions of car owners across the country. If this happens to you, your best option would be to forfeit your loss and consider GAP insurance coverage on your next vehicle purchase. If you have an old auto loan that you are still paying off after totaling a car, avoid combining it with a new auto loan. This is a setup for many problems. Furthermore, it is important to know that warranties are not covered in a total loss situation, so you will be obligated to fulfill your financial duty even though you are no longer have the car.

Where to Get Advice on Total Loss Cars

Call GC’s Junk Cars at 502-804-5605 if you have a totaled car in Louisville and its surrounding areas. Not only do we buy all vehicles, regardless of age, make, model, and condition, we also payout the highest returns for junk vehicles in Kentucky. Just accept our offer and we will come pick up your junk car! No title? No problem! Contact us today to request a free estimate.

Louisville Junk Car Buyers 502-804-5605

What is a Junk Car?

Posted on February 26, 2019 by gcsjunk

If your car was just involved in a serious collision or accident, you may be asking yourself, “what now?” Well, your first step is to contact your automotive insurance carrier to review the details of your particular policy. From there, an adjuster will determine whether or not your vehicle is a “total loss”, which is a fancy surety term for a junk car. If you do not have car insurance, you can still get rid of your car, and even make some money at the same time.

Continue reading to learn how an insurance company defines a junk car, and what your options are for selling on, whether insured or not, here in Louisville.

Total Loss Vehicles

It’s actually pretty simple. Total loss vehicles are simply cars that are too far damaged to be worth repairing. The more technical definition is, “a vehicle that costs more to repair than the actual cash worth before the damage.” So, to explain in plain language, if your vehicle is worth $4,000 before the accident, but then costs $5,500 to repair it back to the condition it was in before the accident, it would be deemed “totaled.” There are some cases in which this does not apply, such as brand new Luxury vehicles with values much higher than average or older cars.

Here is Another Example:

If your car is worth $7,000 but the cost to repair it back to the condition it was in before the damage exceeds that amount, your vehicle would be deemed a total loss because it would not be worth repairing it for that amount of money. Instead, it would make more sense to simply cash in the insurance money under your policy terms, and purchase a new vehicle.

No Insurance?

If you do not have auto insurance, your totaled car can still reap you a nice profit. All you have to do is find a reputable and experienced Louisville junk car buyer that offers cash payments and free haul away. Just be careful choosing a buyer to work with; in the junk car industry, there are thousands of unethical, unprofessional, fly-by-the-night businesses that will rip you off. Always choose a company that has professional grade equipment, technologies, and experience. This shows that they are a trusted junk car buyer that does good business.

Where to Get Started

Call GC’s Junk Cars at 502-804-5605 if you have a junk car to sell in Louisville and its surrounding areas. Not only do we accept all vehicles, regardless of age, make, model, and condition, we also payout the highest returns for junk vehicles in Kentucky. Just accept our offer and we will come pick up your junk car! No title? No problem! Contact us today to request a free estimate.