Will Injury Lawyer In North Bay Discuss What Happens After A Financed Car Is Totaled In An Accident?

Having a car totaled is scary. It can be a confusing and stressful situation, especially when you've never had to deal with the aftermath of an accident before. Personal Injury Lawyer in North Bay will help you understand what happens when your car is totaled and what options are available to you if repairs aren't covered under your insurance policy or if you need to replace the vehicle altogether.

What does Totaled Car Means?

When a car is totaled, it means that the damage to the vehicle is so severe that it can't be repaired. It's important to understand how this process works and what you should do if your car gets totaled as per Personal Injury Lawyer in North Bay.

The first thing you need to know about totaled cars is that they're not necessarily declared as such until all repairs have been made (or are deemed unfeasible). If you want to avoid having your vehicle scrapped after an accident, make sure not to drive off with any parts in sight—this includes both cosmetic and mechanical components.

When You Are Still Paying EMI of Totaled Car

If you are still paying installments on your totaled car, this can be a big problem. You may have to pay the loan balance and then some to get rid of it. The lender will want their money back, so they will try to negotiate with you about how much of your car's value is covered by insurance (and how much isn't).

When Settlement Money isn't Enough to Pay for Remaining Car Loan Amount?

If you total your car and the insurance settlement won't cover the loan balance, it's time to talk to a lawyer. A good Personal Injury Lawyer in North Bay can help you determine whether or not there's any gap coverage that could pay for your vehicle's remaining value and offset some of the debt you owe on it (or even eliminate it entirely).

If there is no gap coverage, then don't worry: There are other options available—including bankruptcy protection. But if there is gap coverage and/or a bankruptcy filing is out of the question because of prior unsuccessful attempts at getting financing through banks or credit unions, then consider filing an appeal with either state regulators or private arbitrators who specialize in auto damage claims like this one.

Gap Insurance

Personal Injury Lawyer in North Bay knows that gap insurance is a type of auto insurance that covers the difference between the amount you owe on your car and the value of your car if it is totaled. In other words, gap coverage pays off part or all of your loan if something happens to your vehicle, such as an accident or theft.

Things that Gap Insurance Doesn't Cover

•    Gap insurance doesn't cover the cost of towing or rental cars.
•    Gap insurance doesn't cover personal property damage.
•    Gap insurance does not pay for any repairs you may need after your vehicle has been totaled, including the cost of replacing parts or labor at a repair shop.

Can You Use Lawsuit Money to Pay for Loan Balance When You Don't Have Gap Insurance

If you don't have gap insurance, you can try to sue the other driver. The amount of your loan balance will be applied toward your settlement after a lawsuit is filed, so if you can prove that their negligence caused any damage to your car or its parts and you want to recover it from them, then this may be an option for you.

Can You Buy a New Car When Your Old Car is Totaled?

If you have a financed car and it's totaled, your lender may give you a loan for a new car. The amount of the loan will depend on your credit score, so this can be an important decision.

Get Expert Advice

Being in an accident is stressful, and figuring out what happens when your car is totaled is even more stressful. If you have questions about what to do after your car is totaled, talk to a lawyer. A good Personal Injury Lawyer in North Bay can help answer all of the questions you have about gap insurance and how it works with other parts of the law. For more information visit here: BLFON Personal Injury Lawyer