Cash For Cars vs. Insurance Settlement – A Detailed Guide

Cash For Cars vs. Insurance Settlement – A Detailed Guide
Posted on 11th, Aug 21

No matter how careful you are while driving the vehicle, unfortunately, you could get involved in a collision that leaves your car with complete loss. In this situation, you are bound to take care of yourself as well as your car. You are supposed to get your car repaired to make it again roadworthy. At times, one could reach a situation when a car becomes inoperable, beyond repairs or maybe the fixing up cost exceeds its worth. This is not justified to opt for the repairing option in the situation of high repairing expenses. So, it becomes necessary to calculate the salvage value of your vehicle so that you can get a fair amount from the insurance company.

Also, helps to get the estimated idea if you make up your mind to sell your car to a cash for cars company. But the Biggest Question that people often ask that how exactly do one handles this situation? Let’s have a glance at some of the Detailed Guide that helps you go through the process easily.

Know The Car’s Blue Book Value

To know the car’s blue book value, you need to know your car’s make, model, or year of its manufacturing. So, all the information is available online and once you get the car’s possible estimate worth, you can try to sell it. But the process doesn’t end here as you still need to click on the trade to dealer option. This will let you know the trade-in value for your vehicle. Before choosing to sell it privately, make sure to check the trade-in value, and this way, you will get the retail value. At this stage, you have to tell if your vehicle is in good condition or not.

The retail and trade-in values

If one is not satisfied with the above results, you can go for other options. As you can get the retail value from the national automobile dealers associations. They will let you know the rough estimates of your car. You can also compare them with what you got.

Determine the Market Value

Now it’s time to calculate the market value which can get by adding retail and trade-in value and divide them by two. This will give you an idea of a car’s worth that you can get from car removals if you choose them. In this manner, you can compare this value with the repair amount after a collision to know whether it’s worthful to sacrifice or not.

Consult Your Insurance Company

Insurance Companies have different methods of calculating the salvage value of the vehicle. They determine the worth of your car either retaining or disposing of it by comparing the costs of its original price to that of repairing it. You will get the estimate that they can offer you for your inoperable vehicle. They will give you some percentage that you can get from them as vehicle loss damage.

Calculation of the salvage value

The last step is the calculation of salvage value which is easy to determine. You have to multiply the percentage value you got from the insurance company with the market value. The process seems easy but in reality, it’s critical and requires careful concentration to ensure that all the work has been done with utmost care and without mistake. In case, you are not satisfied with the valuation, you can negotiate if you have excellent negotiation skills. But if you don’t want to get into so-called trouble, contact Metro Car Removals and get your car sold instantly. You will get the Maximum pay-out of $9,999 on the same day of free car removals Adelaide Wide.