After the insurance company says a car is a total loss, they will often try to deduct storage fees from your total loss settlement. Or the insurance company will try to deduct repair fees paid to the collision repair shop out of your total loss settlement.
A common example we see is the insurance company first says the vehicle is repairable. They write a very low estimate, if they even write an estimate at all. The insurance company never sends an adjuster to inspect the car but are only writing repair estimates through photographs. The collision repair shop starts to break the vehicle down, order parts, and begin repairs. The shop submits supplements to the insurance company and then after weeks of delay (or months) the insurance company says the vehicle is totaled.
Insurance Company takes too long to make an offer
After the insurance company totals the car, then the delays continue as it becomes difficult getting an offer from the insurance company for the value of the car. Or, if the insurance company makes an offer, understanding how they got to their valuation or receiving a copy of the valuation report.
If you’re lucky, the insurance company will negotiate with you and review comparables you send them . But most times, despite the deficiencies in their total loss valuation, the insurance will refuse to negotiate with you.
At this point, sometimes months after the car accident, you finally give up and just accept the amount the insurance company is offering.
Then, a bad deal gets worse.
For the first time, the insurance company tells you they aren’t going to pay for some of the charges the collision repair shop incurred – writing the estimate, breaking down the vehicle, taking photographs for the insurance company, ordering parts, and storing the car.
Now the insurance company is subtracting the charges from the collision repair shop out of your total loss settlement.
A Florida auto insurance policy requires the insurance company to pay you the actual cash value of your vehicle.
By deducting storage fees from your total loss settlement, or by deducting repair fees from your total loss settlement, the insurance company is not fulfilling the requirement under the policy to pay you the actual cash value.
Insurance companies are slow. Since COVID, their response times have been slower than ever. Then they want to blame you, their insured, for incurring fees that help them do their jobs.
Generally, insurance companies cannot deduct storage fees from your total loss settlement. We have helped others who did not receive the full value of their vehicle from their insurance company.
If your insurance company used CCCOne to value your total loss, read our article on How to Dispute a CCCOne Total Loss Report.
Call us at (407) 848-5800
Our law firm always offers a free consultation. We may be able to help you without having to hire us.
If you do need to hire us, we represent clients on a contingency fee. That means we don’t get paid unless we make a recovery for you.
If we are successful, your insurance company has to pay your attorneys’ fees and court costs in addition to the amount they owe you for your total loss claim.