Your car will be considered totaled if it has been involved in an accident or damaged by hail or any other means. What does it mean to be a totaled or total loss car?

If your car is beyond repair or if the repair cost exceeds the car’s value, it is usually considered totaled. An insurer will determine if a vehicle is a total loss in most cases.

If you lease or finance your vehicle, comprehensive coverage is usually required. The coverage is optional if your car is fully paid off. If your car is totaled by hail damage and you don’t have comprehensive coverage for it, you might have to pay out of pocket to get a repair or a replacement.

Is Hail Damage Enough to Total A Car?

To be considered “totaled,” a vehicle must have repair expenditures of at least 70 percent of its fair market value. Severe hail damage, particularly on an older, less expensive car, might cause this. However, a hail-damaged vehicle may be nonetheless mechanically sound. 

A hail damage title will be granted to a vehicle with sufficient damage to qualify for a salvage title. However, you can still repair the body panels. It means that the car can still be insured and licensed as a vehicle with a clean title.

What Happens If My Car Is Totaled Due to Hail Damage?

Hailstorms are a natural phenomenon, and although we can prepare for them, it is difficult to predict the extent of damage they can do to our cars. Extreme hail damage can cause severe hail damage, making the situation worse.

You can’t decide whether your car should be considered a total loss. These are the steps you need to take before and after your vehicle is declared totaled.

• Call your insurance company and file a claim.
• Your insurance will use the car’s repair costs to evaluate whether it is a complete loss.
• Your insurer will pay for the cash value minusvany deductible you have on your comprehensive coverage.
• Hire a reputable body shop like Hail Free Solutions to tow your vehicle and assist you with hail repair services.
• Do some research about the car’s worth, including accessories and after-market products.

How to File a Total Loss Claim?

Your auto insurance will determine whether your car is totaled or not. It won’t be repaired or returned. Instead, you’ll get a check for the car’s actual cash value (ACV), less your deductible, if you have one. Then, your insurance company takes ownership of the vehicle and returns it to you. Because your insurance company buys your broken automobile instead of repairing it, some people call the procedure a “forced sale.”

These documents will be required to get the process underway:

• Vehicle bill of sale (or sales receipt)
• A Statement from the Odometer
• Certificate of Title
• The power of attorney

How Is My Car’s Value Decided?

The hail-damage assessment process differs depending on which hail insurer you choose. Hail insurers usually use hail-damage assessment firms or their estimators to evaluate hail damage to vehicles and estimate hail-repair expenses. Although hail damage estimators may use different methods to assess hail damage, most hail-damage assessments involve estimating hail depth and using a formula that determines hail size relative to your car’s damage.

Insurers often utilize a variety of criteria, including the age, condition, mileage, and resale value of your automobile, to estimate your car’s real cash value at the time of the accident. The selling price of similar vehicles in your region is also considered.

What Happens Next If You Total a Financed Car?

If your car has been totaled, you may still owe the money, but the damage wasn’t your fault. If you are covered, your insurance company will send a payment for the actual cash value, less any deductible, to your lender. Your lender’s contact information, along with the account number, should be provided to your agent.

To maintain your credit rating, it would be best to make your monthly loan or lease payment on time. You are responsible for any balance remaining on your vehicle if you don’t have insurance or have insufficient coverage.

By adding loan or leasing gap coverage to your car insurance policy, you can help prevent a lender from charging you for totaled vehicles.

What To Do With Your Totaled Vehicle: Keep It or Hand It Over?

The standard procedure is for your insurer to take ownership of your vehicle after a total loss. You will need to hand your title over to the insurer and then physically deliver it to them. For a replacement title, contact your state motor vehicle department.

If you owe money on your vehicle, your lender will have the title certificate, and you must authorize them to turn it over to your insurer.

Also, you will need to authorize the shop that holds your vehicle to release it to the insurer. Be sure to remove all personal belongings before allowing the shop to release your car to the insurer.

Depending on the extent of the damage, not all states allow you to keep the vehicle. Some owners choose to keep their cars, even if it is not permitted by law.

It was the most common scenario when an automobile was declared a complete loss due to aesthetic damage, emotional worth, or the owner’s knowledge of automotive repair and resale. The settlement amount will be reduced in these cases because of the expected salvage.

If you decide to keep the car, it will have a salvage or branded title. Its value will likely decrease due to the significant damage it sustained. It means that you might not be able to ensure it even if it is repaired. Additionally, the salvage title may make it difficult to sell. You may not get physical damage coverage if the vehicle can still drive.

Contact Hail Free Solutions to learn more about our hail repair services and what you can do with your hail-damaged vehicle.