The residual value for the car must always be determined when the driver is involved in an accident accident with total loss is involved. The injured party is entitled to be reimbursed for the value of the car that was rendered unroadworthy as a result of the accident.
The injured party has a claim against the person who caused the accident. Mostly such damages are regulated by the insurance and settled.
The residual value of the car is therefore of particular importance for the insurance company. This value determines how much money the insurance company has to pay out to the accident victim.
It is the value that a motor vehicle still has after prolonged use.
To determine the exact residual value, a vehicle valuation must be carried out. Otherwise, you can also take a look at the schwacke list.
Here you can get a free online valuation of your car.
In the following guide, you will find all the important information on the residual value of a car, the replacement value and the work of a valuer in a vehicle valuation.
Have your car appraised!
The appraiser – he may calculate the residual value for the car
an appraiser can calculate the residual value of your car.
In order to calculate the residual value of the car, it is sufficient to have a look in the "schwacke-list" not out, as it does not take into account any local peculiarities. An insurance company will not agree to a determination of this kind.
A motor vehicle assessor (car expert) must be consulted. Different aspects are considered to determine the residual value of the car. First of all, of course, the facts of the case must be clarified in order to find a guilty party guilty party to identify.
It is important to know the value of the car before the accident and the price at which it can now be sold. Since this valuation is neither the responsibility of the damaged party nor of the insurance company, only the appraiser’s assessment is valid. However, the appraiser may by the injured party be determined. The costs must be borne by the insurance company of the person who caused the accident.
If the insurance company does not agree to the first appraisal, it can appoint an appraiser itself. If the results of the two experts differ greatly, it is possible that the car’s court calls in an expert, to calculate the car’s residual value.
The replacement value
A total loss always exists if it is not worth repairing the vehicle. This is the case if the replacement value would exceed possible repair costs. The replacement value is the amount that the injured party has to pay in order to buy a equivalent replacement for his broken car.
However, the victim of the accident will receive not paid the full replacement value. The indemnity paid by the insurance company is calculated as follows:
As a rule, the injured party will not be able to afford a new car of equal value from this sum and will buy a new car used car must buy. However, if the vehicle involved in the accident is a new vehicle, the situation is assessed differently. In this case, it is possible that the injured party receives the value of his newly purchased vehicle in money. This is what is known as a phony total loss.
Car residual value determined – the car must be sold
the residual value must be calculated after an accident with total loss. It plays an important role for the compensation payment.
For the injured party there is an duty to mitigate damages. This means that as soon as the residual value of the car has been established, the vehicle involved in the accident must be sold soon. This is to keep the storage costs in the workshop as low as possible.
The amount determined by the vehicle appraiser is decisive for the sale. There is no obligation to negotiate a better offer. If, however, a workshop contracted by the insurance company makes a higher offer, the accident victim must sell the vehicle to this workshop.
If no buyer can be found for the accident vehicle, the insurance company is obliged to name a buyer. The aim is to ensure that the accident victim is compensated as quickly as possible for the damage incurred.
excess proceeds from the sale of the accident vehicle
The other party is not obliged to get the best possible price for the damaged car. It is only tied to the residual value of the car determined by the appraiser. In cases where the insurance company insisted that the injured party obtain better prices for the broken down vehicle, the following were decided by the BGH always ruled in favor of the injured party.
However, if the vehicle involved in the accident excess proceeds achieved this amount is the report to the insurance company. The amount will then be credited accordingly. After all, the accident victim should not earn additional money from the accident. At the request of the insurance company, the actual residual value of the car must be proven.
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