Back to Back Claims Result in Total Loss; Tricky Scenario- Need Help Please!

[mharsh]

Incident 1: On 4/8 another driver backed into my parked car (2003 Cadillac CTS, excellent condition, 175,000 miles) causing approx $2,000 worth of damage to the rear end. The other driver has admitted fault and the repairs were to be covered under his insurance policy (which, incidentally, happens to be the same company that owns my policy, as well- USAA).

Incident 2: On 4/15, before the repairs on the rear end had been started, I was involved in another accident in which significant damage was caused to the front end of my car. Again, I was not at fault and the other driver has claimed responsibility. However, to avoid having to wait to negotiate a settlement with the other driver's insurance company, I agreed to have my own policy with USAA (requiring my paying a deductible) to initially cover the repairs and then have them negotiate the third party settlement and eventually reimburse my deductible.

The problem is that because of the second incident, USAA is now claiming that the combined damage results in a total loss. In fact, the front end damage alone (caused by the second incident) constitutes a total loss.

Isn't there a way to receive a cash settlement from the policy owned by driver # 1 (causing rear end damage, completely repairable) PRIOR to having the front end damage declared as a total loss)? I mean, couldn't I technically say that I only want to have the rear end repaired? Otherwise, there would be absolutely zero assumption of responsibility for the rear end damage, for the guy that backed into me first....essentially saying that I can run into someone's car and not be held liable for the damage as long as someone else also subsequently runs into the same car and causes more severe damage before it gets the initial damage repaired?

A lot going on here, I know, but I need help....please!

 

[djs]

Its more complicated, but its also simpler.

Yes, the total loss assessment will be lowered by the amount of damage that the first accident caused. This is because the first accident is responsible to fix the first accident, but now, they will simply 'contribute' to the total loss instead.

So yes, they will still pay, but the total paid to you (or the finance company for the car) will be the equivalent of the total loss value of the car, not the value plus the accident.

So, if the car was worth 10,000 initially, first accident devalued it by 2000, the second accident will pay 8000 (value at the time of the accident, not the value as if the repairs had been done) and the first accident should pay the 2000 still. (very rough numbers for illustration only).

To make this work well, you have to run both accidents through your own policy, or else, they won't align well. They will deduct 2 different deductibles since it was 2 different accidents, then reimburse the 2 deductibles once the subrogation is complete.

Your adjustment team will handle this very well. Its amazing how often dual accidents happen, its just easier in your case since they were not to the same area of the car.

Now, keep in mind, you also don't really care what accident pays what, as long as you are made whole in the end. Focus on the big picture, not who pays what portion of the total loss.

And no, the second accident won't pay as if the car had not had the first accident. You won't put money in your pocket from the first one.

Dan