After you’ve been in an accident and your car has been declared “totaled” getting the right answers is essential when it comes to making decisions; especially if you plan on keeping the “total” loss from becoming a complete loss.

When my wife had a minor accident in the car she had inherited from her mother after her death, she was devastated. The car meant the world to her. The damage was minor and purely cosmetic. The car still ran fine. It was 10 years old, but for us, its value was more sentimental than monetary. We wanted to keep it and we were willing to cover whatever costs we had to beyond what the insurance company was willing to pay. Keeping the car was our main concern. The car was still registered and worked fine. We would take the insurance money and add what we needed in order to make the repairs.

Or so we thought. There was one small problem. We didn’t own our car anymore.

As it turned out, because it was declared totaled, if we accepted the settlement, the insurance company would take the car. The registration would be canceled and the car would be turned over to a salvage company for disposal. By accepting the settlement we would be relinquishing our rights of ownership. We had to choose… the car or the money. It didn’t seem right or fair and we questioned the decision.

After numerous phone calls and countless questions it became clear that the rules were so vague that nobody knew for sure. In the end, the truth lay somewhere in the middle of all the stories.The reality is that the rules regarding what happens after your car has been declared “totaled” vary widely depending on the insurance company and the state where the accident happened. And therein lies the problem most people face in such a situation. Asking the right questions can make dealing with the problem a lot easier.

Ordinarily we rely on the professionals, insurance companies, repair shops and motor vehicle registries to guide us through process of recovering from the loss. Not always a great idea! In the event that your auto is declared “totaled” but you think otherwise, ask as many questions as you can and don’t accept the first answer you get. In our case, ask and verify was the moral of the story.

In the event your car is declared a total and you have doubts here are some rules you should follow:

1. Know your policy terms. Have a copy of handy when you talk to your insurane company and be sure they explain your rights and responsibilities… and thiers

2. Use a mechanic you know and trust. Inflated damage and repair estimates can result in estimates that can lead to the wrong decision

3. The the insurance company of the driver at fault has the final say. Your insurance company may not be aware of the other companys policy terms. NEVER assume the first call will get you in the right answer.

4. The car or the money… often you have a choice. The decision to declare a car “totaled” is a financial one, not a mechanical one. Your car might look bad, but if the damage is cosmetic, you can avoid having it declared a total loss by accepting a settlement that won’t cover the cost of repairs. But remember… if you can keep it… an ugly car can still be a useful one.

5. The final desion will be yours…make it wisely