known as an insurance adjuster) is the person who will confirm the loss and figure out how much money the company will pay you. If there was an accident, the adjuster will look at the first party (you) and the third party(ies) (anyone else involved). One factor reviewed will be comparative negligence. This is the percentage of fault the involved parties have. Another factor is negligence—not being careful enough while driving. The adjuster will also look at the actual cash value which was your car’s worth before the accident. He or she may look at the book value as well. This is the average sale price for your car if it were in good condition and just serves as a guide. Of course, this person will also have to investigate how much value your car lost because of the damage. This is called appearance allowance. If fixing your car costs more than it’s worth, it’s considered a total- loss claim—in other words, your car’s been “totaled.” When the adjuster has finished his or her work, he or she will inform you how much money you’ll be given. However, if you don’t agree on the amount, you can ask for an appraisal based on the appraisal clause found in most policies. (Be sure to check if it’s in yours!) An insurance company can also request an appraisal. Now, I mentioned having to pay the deductible if you file a claim. However, subrogation involves you transferring your rights, so the other driver’s insurance company pays your insurance company. This process sometimes (but not always!) covers your deductible. However, it could take at least six months for the process to be completed.
Types of Insurance Agents
You can get your auto insurance in several different ways. The first is directly through an exclusive agent (also called a captive
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