Do you have to repair a car deemed totalled if it only has cosmetic damage?

Answer 1

This comes up a great deal. The auto policy states that the insurance company will at their option repair the vehicle, replace the vehicle, or pay the actual cash value of the vehicle. This option belongs to the insurance company. The way it generally works is that there is never a replacement so forget that part. That leaves repair or pay the acv of the vehicle. If the cost to repair the damage of the vehicle exceeds about 70-75% of the ACV then the company will choose to pay the value of the vehicle. The vehicle then belongs to the insurance company. Sometimes you can let the adjuster know that since the damage is cosmetic only you would like to keep the vehicle if at all possible and they will usually work with you.