Texas TX Auto Insurance Information
Reader’s Question:
I would like to know how huge is the money one could get if his car is totaled? What is the actual computation for it if it is in Texas?
Phil Jen
Amarillo, TX
Hello! You will actually receive the fair market value for your vehicle. The insurance company is required to compensate you at the fairest market value. If it is still under some financing notes, the amount will be a little more or less than the actual value based from the note.
The easiest way to determine the fair market value is to look around to other same types of your vehicle currently sale in Texas. Look for same type vehicle with similar options, mileage and wear. After that, determine the average sale price of those types.
Another way is to get ACV( actual cash value ). Do your part before settling to the adjuster. Check on newspaper ads, dealers, etc. to see what a car like yours of similar type is worth in your area. Have at least three or four examples to take with you and show your adjuster.
There are actually two things to do when your car is totaled: First, check the value of the car yourself and second, locate what it would cost to replace the exact car in the market today.
If you are having trouble locating for a vehicle hundred miles of where you live, then try a similar replacement vehicle you are interested and that will be used as your leverage.
Take your time to see things clearly and good luck!