Car Totaled

[golftlist]

My car was hit from behind and was totaled by the other driver's insurance company State Farm. State Farm's estimate of my loss is $4900. But they said they can pay me only $3000 because that was the limit of the other driver's policy. I know the minimum liability coverage in California is $5000. So I asked State Farm and they said the other driver is insured with California low cost auto insurance program where the minimum liability coverage is $3000.

I then asked my own insurance company since I have Uninsured Motorist Coverage. I asked if they were going to pay me the remaining $1900. But my insurance company told me they could not since the other driver has been insured. The situation where he has not enough coverage was not covered by Uninsured Motorist Coverage.

Are they telling me the truth?

Thank you very much.

golftlist

 

[djs]

Sounds like this is in California.

The supposedly low cost auto policy that the State of California uses for lower income families only has $3000 coverage in property damage. That's where that number is coming from.

Uninsured Motorist Liability does not apply at all in this case, for property damage. This would normally be for an injury, not damage to property, such as the car. Uninsured motorist property damage might apply since it covers you against uninsured motorist for damage to your car, but its always capped at $3500 in CA and really is only meant if the driver is uninsured, not underinsured. In addition, this is an optional coverage that many don't have.

Your collision coverage will apply and complete the repairs, if you have collision coverage on the car. With it worth $4900, you probably should, but not everybody does.

The other alternative is to go after the person who hit you, but if they qualified for the low cost auto policy, they have nothing to go after. Waste of time.

Dan

 

[FullAuto]

You need to file against your own collision coverage.

 

[golftlist]

Thanks for reply.

I do not have collision. Looks like I do not have too much choice but eat the bullet.

The insurance company allow me to keep the totaled car. I am thinking to sell it on craigslist. Some people already approached me asking to buy the wreck car. I told them $500 and they seemed to be interested. What is the procedure to sell the totaled car? Is there any liability issue for me?

Thanks again.

golftlist

 

[sarajones]

You need to file against your own collision coverage.
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[TKobis]

Thanks for reply.

I do not have collision. Looks like I do not have too much choice but eat the bullet.

The insurance company allow me to keep the totaled car. I am thinking to sell it on craigslist. Some people already approached me asking to buy the wreck car. I told them $500 and they seemed to be interested. What is the procedure to sell the totaled car? Is there any liability issue for me?

Thanks again.

golftlist

There shouldn't be a liability issue for you once the car ownership has changed hands. It's the buyers responsibility to investigate a used vehicle's problems before purchasing.

If you're referring to California's Lemon Law, that law primarily applies to new cars. Regarding used cars, it only comes into play if the seller offers a warranty as part of the purchase.