Many drivers are inexperienced when it comes to actually using their auto insurance coverage to pay for the cost of repairing their vehicle after being involved in an accident. This is quite understandable, as most drivers will be lucky enough to be involved in a very limited number of accidents during their lifetime. The only problem is, this inexperience can often result in drivers falling victim to common myths regarding the auto repair process. Below, two of these common myths will be exposed so that you can ensure you are working with nothing less than the most accurate facts when taking your vehicle in to be repaired.
Myth #1: Your Insurance Company Must Cover The Entire Cost Of All Damaged Parts
People often think that the only out-of-pocket expense they will incur when having their vehicle repaired after an accident is their insurance deductible. However, this is rarely the case. This is because while you may think that your insurance company is responsible for paying in full to repair the damages to your vehicle, the truth is, your insurance company is only responsible for returning your vehicle to the exact same condition it was in prior to the accident.
When replacing many of the damaged parts on your vehicle, it simply will not be possible for the repair shop to avoid improving the overall condition of your vehicle. For instance, if an old tire has to be replaced with a brand new tire due to damage that was done during the accident, this repair will ultimately improve the condition of your vehicle when compared to its pre-accident condition.
In this situation, you will be responsible for paying a portion of the repair costs. This portion is known as a betterment fee and will be equal to the percentage of the part's life that was already used prior to your accident. For example, if you had already used 50% of your tire's expected lifespan, you will be responsible for paying for 50% of the cost of putting a brand new tire on your vehicle.
Myth #2: You Must Replace Your Vehicle If It Is Declared A Total Loss
An auto insurance policy will never pay out more in property damages than your vehicle is actually worth. Therefore, if the cost of repairing your vehicle exceeds the fair market value of your vehicle, the insurance company will declare the vehicle a total loss and issue you a check for the value of your car rather than paying a repair shop to fix it. In this situation many people believe that they have no option other than to replace their vehicle. This simply is not true.
You are always in control of any decisions regarding the repair or replacement of your vehicle, even if it is your insurance company that is paying the bill. Even if your vehicle is declared a total loss, you can choose to have this vehicle repaired. You will just need to be ready to cover any costs that exceed the value of your vehicle.
For more information about auto repair, contact Denville Transmission or a similar location.