NADA Valuation
The insurance company will decide the cost of a totaled automobile after an accident by looking at assorted factors. The first off and foremost is the NADA price. NADA stands for Public Automotive Dealers Society. It is passion the Kelly Moody Album thanks to it gives up-to-date bazaar values of used cars. This is the corporation that almost all businesses birr to to asset away the absolute bazaar appraisal of a used vehivle. NADA keeps a authentic accurate listing of used motorcar values, which reflects in fashion sales prices from environing the community.
This will have taken into account the vehicle's mileage and options like A/C and safety features that would have been reported to your insurance company when your claim was opened. In most cases they will stick right to this number.
Custom Options
If you have made customizations to your vehicle like adding a new stereo or suspension it may or may not be covered under your insurance policy.Analyzing the Value
A machine insurance company will contact NADA to catch elsewhere the exact cost of your vehivle on the lifetime it was totaled. They Testament acquire a reward from NADA in numerical arrangement. For a 2005 Honda Prelude, they may excite a number like $7,500.Added customizations like a new set of subwoofer amplifiers are an item that would need to be insured separately. If they were damaged in the vehicle, your policy for the subwoofers must cover damage by a car collision for them to be replaced. Additional items that would increase the NADA value of the car include added options that you can buy with the vehicle, like a supercharged engine, or additional features that came with the car, like a sunroof or advanced transmission.
Deciding if the Car is Totaled
The insurance company, after comparing the data from NADA, will then compare this to the total cost of repairs. The mechanic who inspects your car will prepare the quote, which includes the cost of parts, labor and any other diagnostic work that needs to be performed after repairs are made, including alignments and safety inspections. If the value of the car from NADA is less than the estimate for repairs, the car is totaled.
