Q: Someone crashed into me, who will cover the charges for my vehicle?
I was involved in an accident less than a week ago where a person did not stop at a stop sign and was speeding which is how she hit me. A police report was filed and the person was deemed at fault and issued a ticket. I informed my insurance company and the other person's insurance company about the accident and appraisers from each company came over and said that my car was a total loss because it was cheaper for them. Now, I get it this is ridiculous but that's how insurance companies work. I also have gap insurance. Now my questions are which of the two companies will pay for the damage? Just one or both? How will my gap work with this? I currently have a loan and I'm paying off my car, and the amount exceeds the current value of my car. So will gap cover the leftover amount that the insurance does not cover of the car loan, and I will be left car less?
A: The other driver's insurance will pay for the fair market value of your vehicle and then your gap will pay the balance of the loan.
You may also have a claim for diminution in value. Make sure they pay you for the sales tax you paid,
Nicholas I. Gerson agrees with this answer
A: Yes. Your gap insurance should pay the difference between the fmv and what you owe. Always try and go through your own insurance company before you attempt to go through another.
A: Contact a member of the Fla Justice Assn as you may have a claim for injuries, medical bills as well. As you likely come out on the short end, having to buy a new car, you don't want to overlook this.
Question on the gap is do you get to keep the amount for the value, or is that applied to the balance of the loan and gap only covers what's left? You need to look at your gap coverage closely, discuss it with your agent.
A: Typically, the insurance company for the other driver will pay for the property damage. If there is a delay or issue with the other company timely and fairly paying the total loss, then the claim can be pursued with your company if you have collision coverage. It was smart to carry gap insurance. There is no diminution of value claim when the vehicle is a total loss. Good luck.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.