If you’re an Oklahoma resident who’s faced with a total loss automobile situation, you may be wondering what to do next. Are you asking yourself any of these questions (We hear them quite a lot around here)?
What is considered a total loss in Oklahoma? How do I file a claim? Who should I call to help me?
These are all valid questions, so our team here at Collision Safety Consultants of Oklahoma is here to help provide you with some answers. In this blog post, we’ll discuss what total loss means in Oklahoma and provide advice on how to proceed when faced with this type of situation. Let’s dig right in.
In Oklahoma, a total loss is defined as when the cost of repairs to an automobile exceeds the vehicle’s value. This can be due to damage from an accident, severe weather, or even theft. To determine if a car is a total loss, insurance companies will consider the make and model of the vehicle, the extent of the damage, and the availability of parts. If it is determined that a car is a total loss, the insurance company will then pay out the vehicle’s value to the owner. While this may seem like a fair outcome, it can often be challenging to determine the value of a total loss vehicle, so it’s important to consult with experienced total loss professionals like us to ensure you’re getting the most reasonable outcome possible.
Getting assistance with filing a total loss claim in Oklahoma is a simple process, as long as you follow the steps outlined below.
1. First, you’ll need to contact your insurance company to let them know that you’ve had a total loss (or believe you’ve totaled your vehicle). Be sure to have your policy number handy so that they can quickly look up your account.
2. Next, the insurance company will likely send out an adjuster to inspect the damage and determine the value of the loss. Be sure to cooperate with the adjuster and answer any questions truthfully so that the appraisal is accurate.
3. Once the adjuster has made their determination, you’ll need to sign some paperwork authorizing the insurance company to pay for the total loss.
4. Finally, the insurance company will cut you a check for the total loss value, and you’ll be free to use that money as you see fit.
And that’s all there is to it!
Filing a total loss claim in Oklahoma is a relatively simple process, as long as you follow the steps above. Just remember to contact your insurance company as soon as possible after the accident or loss occurs and cooperate with the adjuster throughout the process. If you have any questions, give us a call so we can help you get the best possible total loss outcome.
If your vehicle is totaled or deemed a total loss, there are a few things you should do.
First, don’t panic. It’s not the end of the world, and you will get through this. Second, contact your insurance company to start the claims process. They will help you navigate the financial steps related to total loss after the accident/totaled vehicle. Third, find a new car. This may be the most difficult part, but it’s important to remember that there are other options out there. You will find a new car that you love just as much as (or even more than) your old one. Finally, don’t forget to take care of yourself. Dealing with a total loss can be stressful, so make sure to take some time for yourself and relax.
In the state of Oklahoma, the Oklahoma total loss threshold for automobiles is 60% of the fair market value determined by the insurance company when you report a total loss. This means that if the cost to repair an automobile exceeds 60% of its fair market value, the insurance company will declare it a total loss and offer the customer a settlement based on the vehicle’s current market value.
Determining a vehicle’s value might seem pretty straightforward, but customers need to be aware of a few key factors that can affect their total loss settlement.
- Insurance companies typically use wholesale values to determine the market value, which may be significantly lower than the retail value.
- The total loss threshold does not take into account the value of aftermarket parts or accessories, which may need to be replaced if the vehicle is totaled.
- Thresholds may change over time. It’s important to note that the total loss threshold isn’t permanently set in stone — insurance companies may have some flexibility when making a total loss determination.
Here’s an example of a total loss in Oklahoma:
Let’s say that a car is worth $10,000 on the used car market (using popular and reputable resources such as Kelley Blue Book, among others). If the repairs necessary to fix damage to the vehicle would cost more than $6,000, as appraised by the insurance company and their body shop partners, then the car would be considered a total loss. In this case, the insurance company would likely pay out the vehicle’s fair market value to the policyholder minus any deductible that may be applicable. There are a few exceptions to this rule, such as if the car is less than five years old or if it has unique historical value, but in general, this is how total loss works in Oklahoma.
The importance of having insurance
All drivers in Oklahoma must have automobile insurance because, in the event of a minor accident or something more severe like a total loss, drivers will have some financial protection against the cost of damages. Without insurance, drivers would be responsible for paying for all repairs and medical bills out of their own pockets, which could be absolutely devastating financially.
In the case of a total loss, drivers would be responsible for paying for a new car outright instead of being given financial support from their insurance companies. Additionally, drivers who cause accidents without insurance may be sued by the other parties involved. Consequently, automobile insurance is essential for protecting your finances and your legal liability, so don’t try to skip out on it to save a few bucks now. You’ll likely regret it later!
While total loss automobile insurance coverage is technically not necessary in Oklahoma, we can’t advise it enough. Here are several reasons why customers can benefit from total loss coverage.
- First, total loss coverage can provide peace of mind in the event of an accident. Accidents are very stressful situations, and when it comes to the financial aftermath, total loss coverage can take some of the burdens off your shoulders.
- Second, total loss coverage can help to protect against financial losses from the accident itself. Because of how total loss coverage works (reimbursing policyholders), you can make sure your insurance company takes care of you financially instead of the other way around.
- Third, total loss coverage can help to ensure that customers can replace their vehicle if it is totaled. You’re going to need a way to get around, and total loss coverage can help make that possible.
There are a few things customers should keep in mind when shopping for automobile insurance policies to make sure they’re getting the best coverage for their needs. These are general best practices you should follow, but you’ll want to take each of these very seriously when it comes to total loss coverage specifically.
To begin with, it’s essential to know what kind of coverage is required by law in your state (as we discussed earlier in the blog). Each state has different minimum requirements, so you’ll need to ensure you’re at least meeting those before shopping around.
Once you know the minimum requirements, it’s time to start looking at different policy options. Be sure to compare not just the price but also the coverage levels and deductibles. It can be helpful to use an online comparison tool to make this process easier. It’s also important to understand what kind of discounts are available, as some insurers offer discounts for things like having a clean driving record or being a student. There may also be discounts available for bundling your automobile insurance with other types of coverage, like homeowners insurance.
Finally, don’t forget to read the fine print! It’s paramount to understand what is covered by your policy before committing to it. This will help you avoid surprises later on down the road. You’ll definitely secure the best total loss coverage for your needs and budget by following these tips.
Don’t wait until it’s too late to get covered – accidents can happen at any time!
If your vehicle is totaled in an accident, the insurance company will pay you the car’s actual cash value (ACV). The ACV is based on the vehicle’s make, model, year and mileage, and overall condition. The insurance company will use a valuation guide to determine the ACV, such as the Kelly Blue Book. Once the ACV has been determined, the insurance company will subtract any outstanding loan balance or lease payments from the total, and the difference is what you will receive from the insurance company. It’s important to note that you will be responsible for paying the difference out-of-pocket if you owe more on your car than it’s worth. Therefore, it’s always a good idea to keep your car’s ACV in mind when making financial decisions about it.
If you have total loss coverage, you will be reimbursed for the full value of your vehicle, up to the limit stated in your policy. If you have a loan or lease balance, the insurance company will pay it off for you, and then you’ll also be able to use the total loss payout to purchase a new vehicle if you so choose.
After your vehicle is declared a total loss by the insurance company, what does the process of getting your new car look like?
In most cases, the insurance company will give you a settlement check that you can use to purchase a new vehicle. If you still owe money on your previous car, the insurance company will subtract the amount you owe from the settlement check. Once you have your settlement check, you can use it as a down payment on a new vehicle. You may also use the money to pay off any remaining debt on your previous vehicle and pocket the difference. Whatever you decide to do with your settlement check, getting a new vehicle after your previous one has been declared a total loss is relatively simple.
Now that you have the check in hand, you go shopping for a new vehicle just like you would if you were buying one outright. When you find a car you like, the dealer will help you secure financing and finalize the purchase. In some cases, your insurance company may even have a program that allows you to replace your totaled vehicle with a new one through their network of dealerships.
Total Loss Final Thoughts
Before you read this article, you probably didn’t know too much about what is considered a total loss in Oklahoma, but we’re hopeful that this information has been helpful and valuable.
We recognize that total loss can be a stressful and confusing experience, but it doesn’t have to be. By familiarizing yourself with the process and knowing what to expect, you can make the experience as smooth and stress-free as possible. The certified appraisal team here at Collision Safety Consultants of Oklahoma is always available to answer any questions you may have about total loss, so don’t hesitate to contact us to chat. We’re here to help!