A vehicle is declared a total loss when its repair cost and salvage value after an accident reach or exceed a certain percentage of its value. The calculation method and ratio differ according to the state. The limit in total loss threshold in Maine is 75% of the car’s actual cash value immediately before its accident. If a vehicle is declared a total loss, it is also referred to as a vehicle being totaled.
This means if your car is worth $100,000 and its repair cost after an accident is $75,000 or more, the vehicle is a total loss. The insurance company declares your car a total loss, after which the vehicle receives the title of salvage.
A total loss threshold claim in Maine allows you to recover the actual cash value for the vehicle immediately before its accident. That's why it is also called an ACV settlement.
The process of total loss threshold claim in Maine is very complex, but we break it down for you in the following steps:
The first and most important thing to do when your car collides is to report the accident. You also need to gather all photos and notes of the damage and other relevant evidence. Then, prepare yourself to provide details related to the accident to the insurance company.
Your car insurance company will assign an official to evaluate the damage and determine if it’s actually a total loss. The assigned insurer will evaluate the actual cash value for the vehicle and repair estimates.
As mentioned, in Maine, a car is deemed a total loss if its repair costs and estimated salvage value exceed 75% of the vehicle’s ACV, and if this happens, the insurance company will entitle the vehicle to salvage value.
Once the total loss is declared, the insurance company will offer you a settlement based on the market value for the vehicle before the accident and its salvage value. If you believe the settlement amount is not sufficient, you can negotiate it. To prove your point to the insurance company, you can show all documents related to the accident.
If you accept the settlement, the insurance company will then likely take ownership of your damaged car and send it to the salvage yard.
There are a few things you must know about the Maine total loss threshold:
According to Maine's total loss threshold laws, you have 6 years from the date of the accident to file the claim, but it’s best to file the claim as soon as possible.
It’s critical to know and understand your vehicle cash value and negotiate with the insurer for a higher and fairer settlement price.
After claim settlement, it’s not mandatory for the insurance company to take your car. If you like, you can keep the vehicle. The insurance company will issue a salvage title report if you do so.
Then, you need to get the car repaired and inspected. If you pass the test, you are entitled to a previously salvaged car, and you can drive it. Without this, the title of your car is not allowed to run, or otherwise, you will get fined.
You can recover the actual cash value immediately before the accident, but this doesn’t mean you will get a good payout. Insurance companies are business-centric and try to offer a low settlement. So, isn’t there a way to get a fair settlement? Yes, there are two ways:
After your car is involved in an accident, you should hire an independent appraiser and get your vehicle's cash value evaluated. They will evaluate your car’s current condition and share the best market value for the vehicle immediately before its accident. The appraiser will also provide you with a detailed report so you can include it in the evidence and negotiate for a fairer settlement.
A Maine total loss threshold claim is never easy; an attorney can help you with this situation. They will handle the case and fight for your rights. The process may take a long time, but hiring an attorney will definitely help you get a fair settlement. Consider hiring an attorney experienced in car cases for higher chances of winning the case.
Alternative Dispute Resolution (ADR)
Alternative Dispute Resolution
Procedure for Alternative Dispute Resolution
There is no specific formula for calculating the Maine total loss threshold settlement amount. If the vehicle’s estimated repair cost is 75% or more of the car’s ACV before the accident, your car is a total loss. It is the first step. Then, insurers use several methods, including published valuation guides, like NADA, market surveys, or independent valuation services.
ADR Claim is here to help you every step of the way for a fair total loss settlement. We will conduct a thorough inspection of your car and provide you with a detailed appraisal report. If you need help in filing the claim or there is a dispute, we can even help you with that. All we wish is that you get a fair settlement from the insurance company. Contact us at 866-659-5146 or email office@adr-claims.com.
Our quick and simple appraisal process can help you recoup vehicle-related losses.
