Auto Insurance Companies in New Jersey
Reader’s Question:
Just curious –If my car was totaled, how much can I get for it from my car insurance company here in East Brunswick, New Jersey?
Bill
East Brunswick, NJ
A lot of car insurance companies, although sadly not all, will give an insured person a reasonable quote, so that you can have your totaled car replaced, but, of course, it will be stupid to expect that you’d get enough money to buy a Ferrari when what you’ve totaled was a Ford, for instance. Your insurance will only pay up to the amount that will be able to replace the car with one of the same kind and condition, most probably.
And just in case you want to know, although it can be estimated that a totaled car’s salvage value can by anywhere from 10 percent to 15 percent at the time of accident, auto insurance companies will be considering a lot of factors, from the car’s condition before the accident happened, to resell prices. There is no definite formula to compute a totaled car’s salvage value until the time it was actually totaled. A person from the insurance company will also examine the wrecked vehicle. Apart from a lot of factors, different car insurance companies also have different methods of computing, which only goes without saying that this may vary widely from state to state. I’d contact my auto insurance agent there in New Brunswick, NJ, if I were you. Tell him to explain stuff to you. It’s his job to make sure that you are informed.