Total Vehicle Loss in Arizona
In the state of Arizona, there was a total of 98,778 car accidents that occurred in 2020 according to the Arizona Department of Transportation.
A major accident can cause serious damage to your vehicle and depending on the extent of the damage, you may have to file a total vehicle loss claim with your insurance. Arizona is one of 22 states that uses a total loss formula (TLF) instead of a threshold percentage to determine total losses.
In the state of Arizona, your car is considered a total loss vehicle if the cash value is equal to or less than the cost of repairs plus the salvage value. Arizona law considers the actual cash value of your vehicle to be the pre-crash value and the salvage value is what the car is worth after the crash in its damaged state. If the salvage value of your vehicle plus the cost of repairs is equal to or more than the pre-crash, actual cash value of your car, it is considered a total loss.
Our attorneys at Anderson + Wanca can assist those filing for a total loss vehicle settlement in Arizona. The amount of a total loss settlement must factor in all applicable taxes and fees such as sales taxes, air quality taxes, and license and registration fees as well as the cash value, salvage value, and cost of repairs. We will carefully review your total loss car insurance settlement, insurance policy, and invoice for a replacement vehicle to make sure the settlement amount is fair.
Vehicle Total Loss Settlements in Arizona
The drivers of all vehicles involved must file insurance claims after an accident has occurred. The insurance companies are responsible for evaluating the damage to estimate the total cost of repairs and determine if the vehicles involved should be declared a total loss.
When a vehicle is declared a total loss, the owner will get a total loss settlement from their insurance provider or the insurance provider of the at fault driver. The total amount that you are entitled to for the vehicle loss claim is determined based on the actual cash value of your vehicle pre-crash and any taxes and fees involved.
What Happens When Your Insurance Totals Your Car?
Your insurance company will first determine if your vehicle should be declared a total loss using the formula described above involving the actual cash value of the car, the salvage value, and the cost of repairs. The actual cash value of your car will be based on the value of vehicles of comparable year, model, mileage, and quality according to nationally recognized compilations of vehicle retail values.
All total vehicle loss settlements are also supposed to factor in the following taxes and fees:
- Sales tax
- Title transfer
- Vehicle registration
- License plate transfer
- Other mandatory Arizona fees
The failure to include these fees by insurance companies could affect the amount of your vehicle loss settlement. When this happens, you may be entitled to a bigger settlement.
Call Anderson + Wanca for Total Loss Vehicle Claims
At Anderson + Wanca, our attorneys can help file and review total vehicle loss claims in the state of Arizona. We are knowledgeable of all applicable laws regarding total loss vehicle claims and experienced in ensuring that people get fair settlements.
Our attorneys will review all important documents including your insurance policy, settlement documents, and invoice for your replacement vehicle to get your full settlement amount. We will also identify issues such as neglected fees and taxes that may result in a higher settlement.