Car Totaled Not At-Fault

Being involved in a car accident in Florida is never easy. On top of dealing with potential injuries and the stress of the incident, discovering your car is totaled can make the situation feel even more overwhelming.

If your car was totaled and you were not at fault, you might be left wondering what steps to take next. From navigating insurance claims to determining your vehicle’s true value, there’s a lot to handle—and it’s important to be informed to avoid being taken advantage of by the insurance company.

Insurance adjusters are often focused on minimizing payouts, which can leave you struggling to recover the full value of your totaled car. Knowing how to document your claim, understand your rights, and negotiate effectively can make all the difference.

In this guide by skilled Florida car accident lawyer Aaron Silvers, we’ll break down the steps to take after the crash, how to determine whether your car is a total loss, and what to do to maximize your compensation in Florida.

What is Florida’s Total Loss Threshold?

In Florida, the 80% total loss threshold helps determine when a car is considered a total loss. This threshold takes into account the fact that damage to a vehicle is often more extensive than it initially appears. If the total of the repair costs and the salvage value of the car reaches or exceeds 80% of the vehicle’s actual cash value (ACV) before the accident, then the vehicle will be deemed a total loss.

What is Actual Cash Value (ACV)?

The actual cash value (ACV) is the market value of your car just before the accident occurred. Unlike the original purchase price, the ACV considers depreciation, the car’s age, condition, mileage, and other factors. Therefore, even if your vehicle was in good condition before the accident, it could have depreciated in value significantly since its purchase.

How the Total Loss Threshold Works in Florida

Let’s break down how the total loss threshold is applied using an example:

• Pre-crash value (ACV): $18,500
• Repair costs: $6,200
• Salvage value: $9,200
• Sum of repair costs and salvage value: $15,400

In this case, the sum of the repair costs and salvage value is less than $14,800 (which is 80% of $18,500), so the car would not be deemed a total loss according to Florida’s total loss threshold.

However, if the repair costs were higher, for example, $7,500, and the salvage value stayed the same, the sum of repair costs and salvage value would be $16,700, which exceeds the 80% threshold of $14,800. Therefore, the car would be considered a total loss in this scenario.

Why the 80% Rule Matters

The 80% total loss rule is designed to ensure that cars with extensive damage, which may have hidden issues or long-term risks, are not repaired only to cause further problems in the future. Florida law recognizes that repairs may not restore a car to its original safe and functioning condition, making the total loss threshold an essential guideline.

For more detailed information about how the total loss threshold applies in Florida, you can refer to Florida’s total loss threshold as outlined by the Florida Department of Highway Safety and Motor Vehicles (FLHSMV).

The legal framework for this threshold is covered under Florida Section 319.30(3)(a), which defines the rules governing the determination of a total loss in Florida.

What This Means for You

If your car was totaled and you were not at fault, understanding these guidelines is crucial to ensuring that the insurance company properly assesses the total loss of your vehicle. By knowing the law and keeping detailed records of your car’s value, repair costs, and salvage value, you can protect yourself from being underpaid by the insurance company.

Are There Exceptions to Florida’s 80% Rule?

While Florida’s 80% threshold typically determines if a car is totaled, there are exceptions that may apply, especially if your car was totaled not at fault:

• Agreed Repairs: If you and your insurer agree to repair the car rather than deem it totaled, it may not be declared a total loss. However, if repair costs exceed 100% of the car’s value, the title must be branded as a “Total Loss Vehicle” within 72 hours.
• Late Model Vehicles: Cars less than seven years old with a retail value of $7,500 or more are totaled if repair costs reach 90% of their value, with the FLHSMV issuing a certificate of destruction to ensure safety.
• Mobile Homes: Mobile homes are declared totaled if repair costs hit 80% of their retail value, except for those worth less than $1,500 pre-damage.
• Sentimental or Historical Value: Vehicles with significant sentimental or historical value may avoid total loss designation, even if repair costs exceed the threshold.
• Negotiations: Factors like the car’s condition, recent repairs, or upgrades can influence the decision. Thorough documentation can strengthen your case if you’re negotiating with an insurer.

Understanding these exceptions ensures you’re better prepared to address your claim and protect your interests.

How Do They Determine The Value of a Totaled Car in Florida?

If your car is totaled not at-fault in an accident, the insurance company calculates its value using its Actual Cash Value (ACV)—what the car was worth right before the crash, accounting for depreciation. This ensures the payout reflects the car’s market value, not its original purchase price or new value.

Example of ACV Calculation

For example, if you purchased a car for $18,000 and, after three years of depreciation at $1,500 annually, it’s deemed totaled, its ACV would be $13,500. However, additional factors like modifications or market conditions could adjust this valuation.

Key Factors Influencing ACV

• Condition: A well-maintained car with no issues will have a higher ACV.
• Mileage: Fewer miles typically mean a higher value.
• Vehicle History: Cars with no prior accidents or damage have greater value.
• Modifications: Document aftermarket parts or upgrades to boost the payout.
• Comparable Vehicles: Insurers reference similar cars’ selling prices in the local market.
• Salvage Value: Even totaled cars may retain value through their parts or scrap.

Why Payouts May Be Lower Than Expected

Due to depreciation, your car’s ACV is usually less than its original cost or replacement value. If you believe the insurer undervalued your car, you can challenge the offer with documentation like maintenance records or comparable vehicle listings.

What If My Car Is Worth More Than The Insurance Company Estimates?

If your car is totaled not at-fault, the insurance company will calculate its value and make an initial settlement offer based on its Actual Cash Value (ACV). However, this offer may not reflect your car’s true worth. You have the right to negotiate for a higher payout if you believe the valuation is too low.

Research Your Car’s True Value

Start by independently assessing your car’s value through reliable resources like Kelley Blue Book, Edmunds, or NADA Guides. Compare your car’s make, model, year, mileage, and condition to their estimates. If your car has custom modifications or recent repairs (e.g., new tires or engine work), take photos and collect receipts to support your claim.

Negotiate the Initial Offer

Once you’ve gathered evidence, present it to the insurance adjuster along with your own valuation. Politely but firmly explain why their offer undervalues your vehicle. Be prepared to provide detailed documentation and remain persistent in advocating for a fair settlement.

Consider an Independent Appraisal

If negotiations stall, request an independent appraisal. A neutral appraiser can assess your car’s market value more accurately, and their report may persuade the insurer to revise their offer, avoiding further disputes.

What to Do if Negotiations Break Down

If the insurer refuses to increase their offer, consider consulting a qualified Florida personal injury lawyer who specializes in auto accident claims. An attorney can demand evidence for the low valuation and, if necessary, pursue a bad faith claim against the insurer for unfair practices.

Don’t forget to ask about loss of use coverage for rental reimbursement while waiting for the settlement. This can help cover transportation expenses after your car is declared a total loss.

What If I Still Owe Money For the Car?

If your car is totaled not at-fault, you may still owe money on your auto loan. Here’s how to handle the situation and minimize financial strain.

Applying the Insurance Settlement to Your Loan

When the insurance company deems your car a total loss, they issue a payout based on its Actual Cash Value (ACV). This amount is typically sent to your lender to reduce or settle your outstanding loan balance. If the payout doesn’t cover the full loan, you’ll be responsible for the remaining balance. If the payout exceeds the loan balance, you’ll receive the difference, which can be used to buy another vehicle.

Using Gap Insurance to Cover the Difference

If you have gap insurance, it can cover the difference between the insurance payout and the remaining loan balance. For example, if your car’s ACV is $9,000 but you owe $12,000, gap insurance would cover the $3,000 shortfall, saving you from paying out-of-pocket.

Seeking Additional Compensation

If the insurance settlement and gap insurance aren’t enough, you may have the option to pursue additional compensation. This could include a property damage claim against the at-fault driver’s insurer or a personal injury claim for medical expenses, lost wages, and pain and suffering.

Understanding Florida’s No-Fault Rules

Florida’s no-fault system requires you to use your Personal Injury Protection (PIP) for medical expenses, but it doesn’t prevent you from pursuing compensation for vehicle damages or other losses from the at-fault driver. Florida’s comparative fault system may also allow you to recover damages, even if you share some responsibility for the accident.

Who Pays For Damages After a Totaled Car Accident in Florida?

When dealing with the aftermath of a car totaled not at-fault, understanding what damages can be reimbursed is essential. Florida law outlines specific coverage requirements and reimbursement options that can help you recover financially.

Property Damage Covered by Insurance

The amount of reimbursement you’re entitled to depends on two factors: the extent of the damage and the terms of your insurance policy. In Florida, drivers are required to carry at least $10,000 in property damage liability coverage. This typically covers:

1. Repair Costs:
   If your vehicle can be fixed, the insurance company should cover the repair expenses. You have the right to choose a body shop you trust and to request repairs with parts that are comparable in quality to the original ones.
2. Reimbursement for a Total Loss:
   If repairing your vehicle is more expensive than its pre-accident market value, the insurer may declare it a total loss. In Florida, this decision is often based on the 80% threshold rule. The payout for a totaled car is typically the vehicle’s Actual Cash Value (ACV) before the accident. This value is calculated based on factors like mileage, condition, and age. Once reimbursed, you may choose to keep the vehicle for its salvage value or sell it to the insurer.

Additional Losses That May Be Covered

1. Diminished Value:
   Even after repairs, a vehicle can lose significant resale value. For newer or luxury vehicles, this diminished value can be substantial. In such cases, you may be entitled to compensation for the difference between the car’s pre-accident and post-repair value.
2. Personal Property Inside the Vehicle:
   Items damaged in the crash, such as laptops, strollers, or personal belongings, may be eligible for reimbursement.
3. Rental Car Expenses:
   If your car is being repaired or replaced, your insurance company may cover the cost of a rental vehicle during that time.
4. Fuel Costs:
   If your vehicle is totaled, you can often claim reimbursement for the remaining gas in your tank.

What If the At-Fault Driver’s Insurance Doesn’t Cover Everything?

If the other driver is responsible for the accident and your car is totaled not at-fault, their insurance should cover your property damage. However, delays or disputes can arise. To ensure full compensation, keep thorough documentation of all losses, repair estimates, and communications with the insurer.

If the insurance payout falls short, Schilling & Silvers Personal Injury & Car Accident Lawyers can help you explore additional legal options, such as filing a claim against the at-fault driver for any uncovered damages.

Can I Keep The Car Even Though it Was Deemed Totaled?

If your car is totaled not at-fault, you may wonder if you can or should keep it. In Florida, drivers often have the option to retain their totaled vehicle, but there are some important factors to consider before making this decision.

What Happens When You Keep a Totaled Vehicle?

When an insurance company declares your car a total loss, you typically have two options:

1. Transfer the Title to the Insurance Company:
   This allows the insurer to sell the vehicle for salvage value, and you receive the full payout based on the car’s Actual Cash Value (ACV) before the accident.
2. Keep the Totaled Vehicle:
   If you choose to retain ownership of your vehicle, the insurance company will deduct its salvage value from your settlement. Essentially, it’s like “buying back” your car.

Key Considerations Before Keeping Your Totaled Car

1. Reduced Settlement Amount:
   The insurance company will lower your payout by the car’s estimated salvage value. For example, if your totaled car is worth $10,000, and its salvage value is $2,000, you will only receive $8,000 from the insurer.
2. Salvage Title Requirements:
   Once your car is declared a total loss, you must apply for a salvage or rebuilt title through the Florida Department of Highway Safety and Motor Vehicles. This process involves fees, paperwork, and inspections to ensure the vehicle meets safety standards.
3. Higher Insurance Costs:
   Cars with salvage or rebuilt titles are typically more expensive to insure and may not qualify for full coverage. This is because they are considered higher-risk vehicles.
4. Repair Expenses:
   If the car is drivable or repairable, you may choose to fix it yourself. However, these costs are usually out-of-pocket, and the car’s resale value will remain significantly lower due to its salvage title.

Why Keep a Totaled Car?

Some drivers choose to keep a totaled car for personal or financial reasons:

• Sentimental Value: The car may have emotional significance, making it worth repairing.
• Repair Savings: If you have the skills to repair the car yourself or can do it for less than the insurer’s estimate, keeping the vehicle might save money.
• Continued Use: In some cases, the car may still be drivable even after being deemed a total loss.

The Driver Who Caused The Accident is Blaming Me, What Do I Do?

When your car is totaled not at-fault, understanding how fault is assigned can be crucial for pursuing compensation. In Florida, fault is determined through a multi-step process that involves law enforcement, insurance companies, and potentially the courts.

Steps in Determining Fault

1. Initial Findings by Law Enforcement
   After an accident, responding officers gather evidence, including witness accounts, photos, and physical details like skid marks or vehicle positions. The police report may assign preliminary fault based on the information collected, though it’s not the final word.
2. Evaluation by Insurance Adjusters
   Insurance companies perform their own investigations to decide how much fault each party bears. They rely on police reports, repair estimates, and any medical documentation to assign fault percentages, which directly affect claim payouts.
3. Legal Decisions in Court
   If there is a dispute over fault or compensation, the case may go to court. A judge or jury examines all evidence, including witness testimonies and expert analyses, to establish fault and financial liability for each party involved.

Common Scenarios That Impact Fault

Certain types of accidents often follow standard fault assumptions, but these can vary based on specific circumstances:

• Rear-End Accidents: The trailing driver is typically at fault unless evidence shows the lead driver acted negligently, such as by stopping abruptly without reason.
• Intersection Collisions: Running a red light or stop sign is often the cause of T-bone accidents, with fault assigned to the violating driver.
• Side-Swipe Crashes: Reckless actions like failing to check blind spots or unsafe lane changes typically place fault on the negligent driver.
• Chain-Reaction Crashes: In multi-car pileups, fault is often divided among multiple drivers, depending on how each contributed to the collision.

Florida’s Rules on Fault and Compensation

Florida applies two unique principles when determining fault and awarding compensation:

1. No-Fault Insurance Requirements
   Drivers must carry a minimum of $10,000 in personal injury protection (PIP) and $10,000 in property damage liability (PDL). PIP covers your medical and repair costs, regardless of who caused the accident, up to your policy limit. Only when these limits are exceeded can you pursue a claim against the at-fault driver’s insurance.
2. Shared Responsibility Under Comparative Negligence
   Florida follows a comparative negligence rule, which assigns each party a percentage of fault. Your compensation is reduced by the percentage of fault assigned to you. For example, if another driver is 75% at fault for a $100,000 accident, you can recover $75,000. However, if you’re found 25% responsible, your payout is reduced accordingly.

Protect Yourself When Fault is Disputed

If you’re in an accident and blame is unclear or contested, here’s how you can strengthen your case:

• Review the Evidence: Confirm that the police report aligns with the facts of the accident.
• Document the Scene: Take photos, collect contact information from witnesses, and keep all related records.
• Seek Professional Support: The experienced team at our law firm can help ensure you receive fair treatment and compensation.

Florida’s fault rules can be complex, but with the right knowledge and legal guidance, you can navigate these challenges and protect your right to recover damages.

Knowledgeable Florida Car Accident Lawyers

At Schilling & Silvers Personal Injury & Car Accident Lawyers, we bring extensive experience and dedication to helping Florida car accident victims navigate the complexities of their claims. Whether your car was totaled not at-fault or you’re dealing with serious injuries, our team understands the challenges you face and is committed to fighting for the compensation you deserve.

With a proven track record of success, personalized client care, and in-depth knowledge of Florida’s unique laws, we are here to guide you every step of the way. Trust Schilling & Silvers to handle your case with the professionalism, skill, and compassion it takes to achieve the best possible outcome.

Contact us today for a free consultation.