Are you dealing with a total loss claim? You don’t have to lose money!
North Carolina’s Total Loss Rule, 11 NCAC 04 .0418, clearly states that auto insurers use the “retail” cost, not the “base” value, or the “take” price of comparable vehicles available for sale. However, many insurers take advantage of the fact that most claimants are unaware of this regulation. As a result, they often disregard their obligation to adhere to the Total Loss Rule.
When auto insurers use the “base” values or “take” prices, they undermine the fair compensation drivers deserve when facing a total loss claim.
If you disagree or you are not sure that the insurance company ACV offer is fair, give Danny a call now before your time runs out!
Danny has been appraising vehicles since 2003. He is known for being straightforward and honest, providing insights that other appraisers might not share about the claims process.
When you hire Danny Wyatt, you ARE NOT a claim number, you are a person. Danny’s customers’ file starts with the first name and last name.
Where do auto insurers get their vehicle values?
Auto insurers often rely on companies like CCC Intelligent Solutions, Mitchell, and Solera/Audatex, which primarily serve insurers’ interests. Among these, the CCC ONE® report is the most widely used, followed by Mitchell and then Audatex.
The insurance company’s adjuster provides key information, but the comparable vehicles in the CCC ONE® Market Valuation Report often fall short. They frequently show:
- Variations in trim models, options, and equipment.
- Mileage adjustments on vehicles with 5,000 miles or lower will adjust the value of your total loss downward, whereas comparable vehicles with 5,000 miles or higher may raise the value.
- A history of damage, and
- An undervaluation of your total loss vehicle, potentially costing you between $1,500 and $10,000 in rightful compensation.
Don’t let these discrepancies go unchallenged!
Danny Wyatt is a past member of the North Carolina Department of Insurance External Appraiser and Repair Task Force Board 2018 – 2020. As a member of the Task Force, Danny did not like the final version of the 2020 total loss rule that the NCDOI chief legal counsel was recommending to the NC Office of Administrative Hearings (NCOAH).
Danny fought back and, after a week of going back and forth with the NCDOI chief legal counsel on the wording, agreed to the following: “the retail cost of two or more substantially similar motor vehicles”. So, Danny knows whether the auto insurer’s offer is fair.