A vehicular accident that results in your car being classified as 'totaled' may necessitate that you sign over your car's title to your insurance provider. The insurance provider will conduct an assessment. Based on the assessment, the provider will offer you the fair market value of your vehicle.

The Payment Amount

Collision insurance policies and comprehensive insurance policies cover the costs associated with many types of vehicular accidents. The cause of the accident that you were involved in will be assessed soon after you submit an insurance claim.

An insurance adjuster will inspect your vehicle. If your vehicle is deemed unsalvageable, you have the right to recover the fair market value of the vehicle. The fair market value of the vehicle will be determined by the year, make, model, current odometer reading, and condition of the vehicle.

The Title

The title to your vehicle must be exchanged with your insurance company. Signing over your title is a legality that will allow the insurance company to take ownership of the vehicle. An insurance company may sell your totaled vehicle to a salvage yard. In order to to this, the name of the insurance company will need to be on the title.

The title may already be in your possession. If so, you will be able to sign the title over during a formal meeting with your insurance agent. If your title is currently held by a finance company, the lien on your vehicle will need to be resolved first. Your insurance company will determine how much is owed on your vehicle. They will pay this amount, minus any deductible. Once your vehicle is paid in full, the title can be transferred. 

Your Role

If you are not convinced that the amount of money that your insurance provider offers is fair, consult with an experienced car accident attorney. A car accident attorney can negotiate with your insurance provider in an attempt to increase the monetary amount that you are offered.

When you are ready to accept the money that your insurance provider offers, set up a time to meet with your agent. You will need to sign and date the title. Your agent or another representative of the insurance company will also need to sign the title. The odometer reading will need to be written on the title. Once you have officially signed over the title, the funds that the insurance company has agreed to pay you will be dispersed. The money can be used toward the purchase of a new vehicle.

For more information about automobile titles, contact a local company.