Car accidents are not just injurious to the physical body. They are complete disruptions to a person’s life, physically, mentally, and financially. Their ease of mobility is stunted as they cannot go about their normal daily activities. The financial implication of a car accident can be overwhelming particularly when the damaged vehicle has not completely been paid for. This puts extra pressure on the owner. They have to either fix the totaled vehicle if it can be salvaged or buy another one while still paying outstanding monies for it. The best thing one can do in this situation is to immediately reach out to their injury attorney.
Contact An Experienced Car Accident Lawyer
The first and prompt thing to do when involved in an accident with a car that is still being paid for is to call your attorney and tell them your car is totaled, but you still owe money. The attorney will be in the best position to help the client find the best way out of the debacle. Legal practitioners are equipped with the necessary skillset and information needed to advise their clients on how to go about the situation. They are the right personalities to negotiate with their client’s insurance companies, determine the fault and liability of the other parties involved and consequently file legal claims to be able to get compensation.
Determine The Extent of Damage to The Vehicle
Oftentimes, unpaid vehicles that are totaled are not beyond salvaging. While it may look destroyed on the surface, the damage might be superficial. The most important parts of the car may have been protected by the damaged interior. This is very fortunate for the owner as it means the car can be fixed and the cost of fixing it will be greatly reduced. Insurance companies are more likely to pay up if the cost of repairs is less than 80% so a general evaluation of the vehicle should be conducted for them.
Utilize Gap Insurance
Gap insurance comes in very handy in times like this. It is expected that vehicle owners who still have outstanding payments should have these policies. Gap insurance ensures that if a vehicle that has a down payment of less than 20% is totaled in an accident, the difference will be paid by the insurance company to the dealership.
Demand Compensation from The Person or Persons at Fault
If it is found that the accident was the fault of another person or party, they can be held liable for the damages and be made to pay compensation enough to cover the damages and even the remaining payment left. It all depends on the ability of the victim and their client to prove the negligent behavior of the other party involved in the accident. If this can be proven with strong evidence, they will be required to make a commensurate settlement. This in turn will ease the burden on the owner to pay the outstanding fees.
Accidents involving unpaid vehicles can be quite traumatic. The owners need to ensure that they are well insured and not hesitate to involve their legal representatives whenever anything bad occurs with the vehicle.