total-loss-vehicle-valuation.md

Uploaded 8/8/2026, 11:54:53 PM

# Total Loss Vehicle Valuation and Settlement

When repair costs are estimated to exceed a vehicle's actual cash value, the Auto Adjuster declares the claim a total loss instead of continuing standard repair approval.

The Auto Adjuster first obtains an independent valuation of the vehicle, then presents the settlement offer to the policyholder, then finalizes payment once the policyholder accepts.

Policy requires total loss valuations to use an independent third-party valuation source, not the adjuster's own estimate. In practice, the Auto Adjuster often shares comparable vehicle listings with the policyholder informally, to help explain the valuation before the formal offer.

Policyholders who dispute the total loss valuation can request an appraisal review, which is an exception to the standard total-loss settlement process.