The chances are good, especially in the DMV (District/Maryland/Virginia) area, that you are going to have a car accident. Just the sheer volume of heavy traffic makes it almost impossible to avoid even a fender-bender. 

But what happens if you are in a more serious car accident and your car is totaled? There are certain steps you need to take once your car has been categorized by your car insurance company as being totaled. 

We should define “totaled”. According to the Kelly Blue Book, a totaled car is:

A totaled car is a vehicle that cannot be repaired legally, safely, or cost-effectively. The term is derived from insurance company terminology that describes the damage that cannot be reasonably fixed and forces the insurance company to declare your car a total loss. However, even if the vehicle is declared a total loss, you do not have to relinquish the car to your insurance company. Some car owners decide to repair their cars for emotional or financial reasons. 

Maryland state law specifically says that to set a total-loss threshold, which is the number at which the vehicle must be considered a total loss, it must be 75 percent damaged. So, for the car insurance to categorize it as totaled, if the cost to repair the damage is more than 75 percent of the car’s value. *** Your car insurance claim adjuster will then determine that based on an inspection of the damaged vehicle. 

Here are some steps you should take once you’ve had an accident:

1. Seek medical attention. If you and/or your passengers are injured, call 911 immediately. Do not delay. Even if your injuries are minor, have a medical professional examine you. They can assess your injuries and complete a form. That form would then be submitted to your car insurance claim rep for a possible personal injury claim. Failing to do this may annul any future medical claims arising from the accident.

2. Call your insurance agent and report the accident. The car insurance adjuster then considers the value of your car, using several resources, and the estimated costs to have it repaired. If repair costs exceed the 75% total loss threshold, per Maryland law, then your car insurance company will probably declare that the car is totaled.

3. Arrange for temporary transportation. Hopefully, you have the rental car endorsement attached to your car insurance policy. This is a temporary benefit so you can go to your dwelling, work, and resume your daily life. If you don’t have any insurance coverage, you will have to make separate arrangements such as rideshare services or rely on family or friends for rides. Keep copies of credit card statements from rideshare services for reimbursements. 

4. Remove all of your items and paperwork from the car.

5. Delete all personal information from the navigation and phone systems.

6. Remove the license plates.

7. Give your car title and keys to the insurance company.

8. You may need to sign a document that acknowledges their right to take your car.

9. Negotiate with your insurer. If you believe that your car is worth more than what your car insurance claims adjuster declared, you may want to negotiate with them. Be sure to provide evidence to back up your claim that the car is worth more money. Evidence may include recent photos, proof that the car was well maintained, and detailed information about the sale price of cars sold in your area of similar make and model.

Car insurance is there for these unfortunate occurrences in our lives. Policies are designed for fender benders and car totals. If you have had an accident or you’re not sure about your car insurance coverage, consult your insurance agent. 

Lindquist Insurance can give you an auto insurance quote and provide the coverage you need, whether you drive a lot or not. Call (301) 694-0008 to speak to our experienced and licensed insurance agents for a consultation. We serve the Annapolis, MD, and Frederick, MD areas.

*** For more information visit the DMV website .