What can you expect from the new Carfax Total Loss Evaluation they just announced?
If you’re an insurance company or a dealer, then you can expect business as usual.
If you are the owner of a vehicle that has been totaled, then my guess is that you can expect nothing good from this new tool that is aimed at insurance companies.
Don’t be fooled; CARFAX is not going to provide private individuals with fair valuation reports on their car’s value.
Their announcement says the product will help ADJUSTERS that are considering total-loss claims. Yay, more help for adjusters and none for the victims, oh boy!
There are already total loss valuation companies that partner with insurance carriers and they have been, and / or are involved in class action lawsuits about the secret way they attempt to value vehicles (think CCC, or Mitchell) which many times results in a value that is much lower than what market information actually reflects.
The simple fact is that CARFAX is attempting to join the group of insurance partners who usurp authority on auto appraising. Keep in mind that CARFAX is not a vehicle valuation expert, nor are they an authority on auto appraisal methodology. They simply glean information about a vehicle’s history, and now they claim to have “History-Based Value” information.
The more one knows about Carfax and the more experience one has with Carfax, the less that person will trust them to give accurate results. Mark my words, the lack of transparency in valuation methodology will become increasingly evident as we see this new “CarfaxForClaims.com” portal take effect for adjusters.
My opinion is that it is just another way for insurance companies to pretend to be fair by partnering with a company that markets itself as consumer friendly (when it really isn’t). Look behind the big curtain in the corner folks.
Do you need help with a total loss? Is your claim against your own insurance company?
If so, we can help review and see if your case is a good candidate for invoking the appraisal clause. Fill out the form below today to get a FREE consultation with our experts on your claim!
Get ready for your mind to be blown in the latest article from Justin Petty regarding the Appraisal Clause and how much it can vary from policy to policy.
You will see four different versions of the appraisal clause and he’ll compare them and show you some of the differences/problems with them. He’ll also talk about how they work and how the clauses can sometimes be worded in a way that ultimately works AGAINST you, even though everyone normally assumes it was created to HELP you!
Read his opinion about these different appraisal clauses and how you might be able to deal with them if you are trying to resolve your total loss.
You might walk away with more questions than you had before – luckily, Justin is just the guy to point you in the right direction!
Sometimes, when you invoke the appraisal clause, the two appraisers get in a sticky situation where they don’t agree and one tries to make up unwritten rules on the idea of “that is what we have always done”.
This case was one of those.
The owner had been through a pretty horrific hail storm and his new vehicle was totaled in the process. When he got his offer, he felt like it was pretty low. We took a look and agreed that his valuation contained the typical problems they normally do and seemed to be several thousand dollars off.
This is a hard subject to explain to a lot of people.
Let me start by saying that you need to understand what is in this article before you blow your top at some insurance adjuster. There are ways around a reservation of rights defense, but you have to be stealthy and, above all, you have to remain calm.
If you have found this article, you are either an insurance adjuster doing some research or you are involved in a claim and being advised that your claim is not being paid at this time and that they are putting the claim on a “reservation of rights”.
I’m going to speak on Texas and specifically on auto insurance as Texas is my home State and auto insurance is where I have the most experience, although the reservation of rights or its equivalent exists in almost every State in the U.S. and can come about on claims that are not automobile claims.
If you would like to get a fair settlement for the total loss of your auto, you have found the right article. It will take a little work, but I think I can shed a little light on what you need to know in order to get a fair settlement.
As the owner of an appraisal and claim service company as well as a former licensed adjuster who has settled thousands of total loss claims, I will reveal the tricks to getting an insurance company to take you seriously.
In this article, I will dispel common misconceptions on total losses, tell you how to argue with computer programs and formulas, and give step-by-step instructions on how to best support your claim to get it settled.
The value of your vehicle is very important to you, but it may not be as important to your insurance company or the insurance company of that guy or girl that hit your car and totaled it.
There are some options to help get a fair value on your vehicle.
The most common and accepted is to employ the services of a non-interested professional. If the professional is truly a non-interested expert, then their opinion should be based on accepted appraisal methods and proper training and experience. The value you get from an independent appraiser should be in line with the actual value of your vehicle as it relates to the terms of the insurance claim.
If you’ve done some Googling because of a total loss dispute with your insurance company, you probably came across information explaining your right to appraisal (also called the invoking the Appraisal Clause).
Unfortunately, because auto total loss disputes are usually less than $10,000.00, it is an area that hasn’t traditionally attracted attorneys (but there are a few attorneys that will fight for you).
In fact, because the amounts in dispute are typically under $10,000.00, most insurance companies don’t even train their claims staff about the appraisal clause.
I was an adjuster for over a decade and NOT EVEN ONCE was the appraisal clause mentioned. If you invoke the appraisal clause, you can bet that you will be dealing with a claims representative that has no clue what they are doing (if you’re an adjuster that thinks you know better, prove it).
I educate adjusters and insurance carriers every week about this little known right that their insureds have.
Prove a point on your total loss due to flooding after Hurricane Harvey with the Appraisal Clause
If you’re a victim of the recent flooding in South Texas and have a total loss due to flooding with your carrier, you should call our office immediately and make sure that any offer you get is fair and reasonable.
Now that South Texas is dealing with the aftermath of Hurricane Harvey and Florida and Georgia brace for the impact of category 5 Hurricane Irma, victims will undoubtedly be dealing with total loss claims in exponential numbers and they need to know that insurance companies routinely handle these claims in a very dogmatic manner.
The biggest tactic is for a carrier to simply refuse to negotiate.
They will simply tell you, “take it or leave it”.
They like to claim that they do not have the authority to negotiate outside of their captive company market reports.