What is a total loss? Learn what it means if your car is totaled, and how insurance can help if your vehicle is deemed a total loss.
Quick Facts About Totaled Cars ; Insurance companies “total” a car when the cost to repair the damage exceeds the vehicle’s book value at the time of the crash. ; Collision: Kicks in if you’re in a crash with another car or immovable object, such as a fence or lamppost. Read our story on collision insurance. ; Keep and use it for parts on another car, or sell the parts for extra cash.
A car is declared a total loss for insurance purposes when the cost of repair exceeds the vehicle’s actual cash value or when it has been deemed beyond repair.
For example, the insurance company may call your vehicle a total loss if the cost of repairing it exceeds 80% of its value. If your car is worth $15,000 at the time an accident occurs, then...
What's covered, Benefit amount ; Accidental death, £150,000 ; Permanent total disablement, £150,000 ; Loss of limb – one or more, £150,000 ; Loss of sight, £150,000 ; Total and irrecoverable loss of hearing, £150,000 ; Total and irrecoverable loss of speech, £150,000 ; Total and irrecoverable organic paralysis, £150,000 ; Total and irrecoverable loss of intellectual capacity, £150,000 ; Loss of, or permanent total and irrecoverable loss of us of one hand or one foot, £50,000 ; Loss of, or permanent total and irrecoverable loss of use of: A thumb A finger A big toe Any other toe, £20,000 £10,000 £20,000 £10,000 ; Total and irrecoverable loss of use of the spleen, £7,500 ; A fractured pelvis, £5,000 ; A fractured collarbone, £3,500 ; Facial scarring, £1,500 ; Third-degree burns, £15,000 ; Physiotherapy, Up to £2,000 ; Emergency dental treatment, Up to £1,000 ; Counselling therapy, Up to £1,000
Find out when a car is considered totaled, what to do with a totaled car, who is at fault for the accident, & how much insurance will pay for the totaled car.
If a car receives so much damage in a crash that the cost to repair is more than the car is worth, it's considered a "total loss."
Personal accident cover is included as standard with most comprehensive car insurance policies ; You can generally claim for loss of sight, hearing or limbs and death ; Add-on extended personal accident cover will have higher claims limits and include a wider range of claimable injuries
If your car has been "totaled" after an accident, it means the cost of repairing it is greater than the cost to replace it.
Totaling your car doesn't get rid of your auto loan. Learn why total-loss payoffs are often less than the loan and ways to prepare for the situation.