Living in Denver and anywhere along the Front Range for that matter, you have likely heard of a car that was “totaled by hail”. Given the number of hail storms we get here–this is an incredibly common occurrence–but what does it mean? And how will it affect you if it happens to your car? Below is a quick overview of what a total loss is and how it could impact your life.
Hail Damage Severe Enough To Total a Car
Essentially a car is totaled when the cost of repairing the hail damage done to your vehicle reaches 70-75% of the value of your car. Basically, it means that it’s not worth repairing the car given how much the car is worth. While this may seem hard to do with hail damage alone–it really is not. This is because every and any panel that is struck by hail is eligible for being fixed or replaced–even if there is just one ding. Also, since insurance companies use the cost of traditional hail repair as the basis for their estimate, the cost of hail repair adds up quickly in your claim.
What Happens If My Car Is Totalled Out From Hail?
What happens varies from state to state but here in Colorado, you can ask your insurer to buy your car back from at its salvage value. This will give you some cash back from a settlement but still lets you continue driving the vehicle. If you choose to get paintless dent repair done on your car you may not eat up the entire amount of money. If you own the car you don’t need to get it fixed at all. However, If you hold a loan, you must repair the vehicle.
Will My Insurance Rates Go Up Due To Total Hail Loss?
Your rate of insurance should not change when you file a comprehensive insurance claim. It is not like an accident where the fault may have been all or partially yours. However, if you make a lot of claims in general your account may be flagged–increasing your rates.
How Will The Insurance Company Determine A Total Hail Loss?
Insurance companies take into account various things like the type of car, the age of the car, and the condition of the car before the hail damage. Typically, older cars are more likely to be totaled by because their salvage value was already low before they got hit by hail. But It also depends on the severity of the damage and even if how much of your region was hit. This is because sometimes insurance companies are insured against monumental losses from a hail storm in a hail prone area, like Denver which could change the way they are totaling out cars struck by hail.
Should your automobile get hit by hail here in the Rocky Mountain region– totaled or not–be sure to reach out to us at United Hail Pros for all your PDR needs!