American Family Insurance Group I Got "SCREWED" BIG TIME BY AMERICAN FAMILY INSURANCE GROUP Nationwide

"Hello. The insurance company, whether it be the OPs insurance company OR the insurance company of the person who may have hit them, is ONLY obligated to pay the actual value of the car. The actual value being based on such examples as the Blue Book value, Edmonds, etc. They will only pay what their OPs car was worth."

 "I also did not state anything about the wholesale value of the vehicle."

 Are you reading my posts? Did you read the OP's post? You keep repeating that they will pay the "actual value". Are you not getting that the OP's and my posts are addressing the insurance company's attempt to pay the wholesale market value? I have a hard time believing you've been in the insurance industry for 10 years if you don't grasp this.

 Kelly, Edmunds, etc... all list more than one price for a particular vehicle. The insurance company was trying to lowball the OP by offering the wholesale price. That is the "ACTUAL VALUE" of the car to a dealer. The retail price (which is substantially higher) is the "ACTUAL VALUE" of the car to the OP, since the OP has no way of replacing the vehicle for the wholesale value. Small claims courts deal with these issues all the time and I guarantee you'll never find a judge that uses the wholesale value to determine the value of a totalled vehicle.

 Oddly enough, a friend of mine just settled a claim with Progressive yesterday.  They also tried to lowball him with the wholesale price from NADA.  When he pointed this out to them, they immediately revised the offer to reflect the retail price.

Hello. The insurance company, whether it be the OPs insurance company OR the insurance company of the person who may have hit them, is ONLY obligated to pay the actual value of the car.  The actual value being based on such examples as the Blue Book value, Edmonds, etc.  They will only pay what their OPs car was worth.

I never stated they are responsible for paying the balance of the OPs loan.  I also did not state anything about the wholesale value of the vehicle. 

As I have stated before, I have worked in the insurance industry for over 10 years and am licensed to sell insurance is all 50 states.  I think I know what I am talking about.

 Thank you,

RE: Flynrider  Phoeix  U.S.A.  ...Elphaba

"ANY insurance company is ONLY obligated to pay the ACTUAL value of a vehicle that is deemed totaled."

  Not only have I already stated that the insurance company is under no obligation to pay the balance of the OP's loan, I've also described the difference between wholesale and retail values. Your emphasis on "ACTUAL" value is meaningless in this sense. Basically, the OP was out a car. The insurance company is responsible to compensate the OP to the extent that he can replace the car with one of similar make, model, age and condition (notice I'm having to repeat myself?). Offering a wholesale bluebook value is disingenuous because the OP cannot buy a replacement vehicle at wholesale (unless he is a car dealer). Visit a courtroom sometime and see if you can find a judge that thinks wholesale values apply here.

 It occurs to me that your response assumes that American Family is the OP's insurance company, while my responses assumed that American Family is the at-fault driver's insurance company. Reading the original post, there is no way of telling whose assumption is correct. If American Family is the at-fault driver's insurance company, then yes, they are required to make the OP whole (up to the limits of the policy), including a temporary replacement vehicle if necessary. This is a basic concept in liability law. If American Family is the OP's company then the OP's recovery is based on his policy's provisions and he must recover the remainder by filing suit against the at-fault driver.

 Unless the at-fault driver was uninsured, I have a hard time trying to imagine why the OP would be making a claim on his own policy.

No problem paying for OEM parts?  Could be 3 options. 

1)  There are no such things as an aftermarket part for whatever they replaced which is possible in some vehicles. 

2)  Your ignorance has gotten the better of you and you don't realize it was aftermarket parts. 

3)  Your adjustor just flat lied to you

But it's definately not common for insurance companies to pay for OEM parts.  Rates would be twice as high if they did.  And for those who don't know....75% of the time, the only difference between aftermarket and OEM is the vehicle makes name stamped on it, lol.  Take windshields for example, do people actually think that Ford or Chevy or Toyota make their own windshields?  They all come from the same factory and each company stamps their brand on it.  Ignorance is bliss I guess.

You can disagree with me all you want, however, you are wrong.  I have worked in the insurance buisness for over 10 years.  The insurance company does NOT have an obligation to make the INSURED whole...ANY insurance company is ONLY obligated to pay the ACTUAL value of a vehicle that is deemed totaled.  They are NOT obligated to cover the balance payoff when it is higher than the value of the vehicle.  Insurance does not cover someone's credit rating or how it affects their payments, it ONLY covers the vehicle itself. 

As far as compensating him for "loss of use" shop me where in the insurance policy it states the insurance co is responsible for this?  You can't, because they are NOT.

You need to do a little research before giving our INCORRECT information.

RE:

I have Geico, and been unlucky enough to have 2 accidents in the last 3 years (neither my fault). They had no problem in paying for OEM parts to repair my cars.

Most of auto insurance is ACV (Actual Cash Value). Insurance company do not pay for OEM Parts to repair. They're going to pay for After Market parts. If you're involve into total loss then Insurance company will depreciate your car value minus your deductible. If you like to get your car full value or cover properly than you must pay more premium for the optional endorsement which most people won't do because people are more interested to save more money on premium than paying more premium. Basically you get what you pay for.

I beg to differ with some of these comsumer comments regarding this post...I had a 2005 Saturn Ion, in May 2008 I was broadsided by a teenage driver speeding at more then 20mph over the posted speed limit. The insurance company totaled my car. It had 51K miles on it. Within a matter of a week and a half, they paid off the balance on my loan which was $2100 and I got a check in the mail for over $6200. So tell me how is what this person is going thru fair??? It sounds to me like the insurance company is looking for anyway possible to screw their "customers" in time of need. Thanks for the heads up, I was looking at possibly getting insurance thru this company. After reading about all this I think I'll pass on their "too good to be true" rates.

I am perfectly aware that cars depreciate. As I pointed out above, the insurance company is not going to pay the balance due, they are going to pay what the car was worth. My disagreement was the offer to pay the wholesale value vs. the retail value. Wholesale prices are for car dealers. The insurance company owes the OP enough money to replace his car with one of similar make, model, age and condition.

Of course they wouldn't owe him for loss of use if they payed for a rental car, but they haven't done that, have they?

An auto policy is ACV (Actual Cash Value) which means the payout/value of the vehicle depreciates as the years go on. It is not a replacement cost policy. Therefore, the depreciated value is the correct payout amount.

Also, there is no coverage for "loss of use". Since they were rear-ended, the claimants liability insurance should pay for a rental vehicle so the insured can still get to work, grocery shopping, etc.

The insurance company has an obligation to make the OP whole. While that does not mean they should pay off whatever he owes, it also does not mean they can lowball him with blue book wholesale. Real people do not buy cars at blue book wholesale, so that is not enough to make him whole. At minimum they need to offer him blue book retail, plus something for loss of use.

To the OP : The company is blatently trying to screw you over (wholesale indeed!). Time to file suit against the driver. If you have provable injuries, you'll get paid for those too.

When a vehicle is deemed "totaled" the insurance company will only pay you the blue book value of the car. Sorry to tell you this, but all insurance companies I have ever dealt with do this. Read your policy, it's in there. Sucks yes but not a rip off. Best of Luck.