Being involved in an auto accident is not the most pleasant situation. Even when you are not at fault, it will mean that life is upended for a period of time. As part of the process, appraisals are generally conducted as a way to help with any car accident claims Medford Oregon that may apply. Here are some of the ways that the appraisal results make a difference.
Determining the Current Fair Market Value
You know that the car is not worth as much after the accident. In order to decide what happens next, it’s good to know what the fair market value happens to be right this minute. It’s not just you who wants this information; the insurance provider who will process the claim also wants to know.
The goal is to determine what the value is right this minute. Depending on the amount of damage caused by the accident, the shift in value may be significant. At other times, it may be minor. Until the appraisal is complete, all anyone can do is speculate.
Identifying the Estimated Costs for the Repair
What will it take to undo the damage? The answer to that question is supplied by the appraisal. It’s also going to make a difference in what ultimately happens with the car.
Expect the cost of repairs to be considered in tandem with the current fair market value. This provides a more balanced idea of what sort of options will be open to the vehicle owner. You may find that one of those options is a better fit for you.
Determining Whether to Repair the Car or Total It
The fact is that the car may not be worth repairing. Based on the scope of the damage, the general condition of the vehicle, and the age of the car or truck, the recommendation may be to total it. In this scenario, the insurance provider who is processing any car accident claims Medford Oregon related to the event will make a cash offer to the owner. In exchange, you will surrender ownership of the vehicle to the provider.
There is the chance that the repair cost may be on the line between repairs and totaling the vehicle. If that’s true, the provider may offer to cover the repairs or to total, whichever solution you prefer. Unless you have some emotional connection to the vehicle, you may find that the offer to total is enough to secure a car that’s similar in nature but has not been involved in an accident.
Understanding the Car’s Market Value After the Repairs
You do want to have some idea of what the car will be worth once the repairs are made. That figure will be helpful in determining what amount of insurance coverage needs to be maintained. In some cases, you will keep the coverage level the same. At other times, the recommendation may be to reduce the coverage.
This figure is also helpful if you plan on selling the vehicle in the next year or two. It is necessary to reveal that the car was in an accident, but the appraisal will provide some basis for setting the asking price. Using that information, you may be able to sell the car faster than anticipated.
Remember that an appraisal by a certified professional carries a lot of weight. It may be just what is needed to make a decision that is best for you in the long run.