My insurance company is reimbursing me for less than half the cost of my car repair. Am I screwed?

[echoshifting]

So, I blew out a tire on a bridge about a week ago. I was in a terrible spot to stop, so I dragged it across the bridge and immediately pulled off the road, which caused significant damage to the underside of the vehicle. It's about a $4800 fix.

Fortunately, my insurance said they would pay for the repair, and that all I would be responsible for was $500 plus a "slight difference" due to a premium the shop was charging on the parts.

Well, I got the check today…for $2300. That includes the $250 for the tow. So a "slight difference" is, I guess, more than half the bill, which I just can't afford right now.

Am I screwed? Do I have any recourse here to challenge the offered sum?

 

[oakenhild]

I would reach out to your agent and explain the situation. You'll have to do a bit of fighting, but I bet you can get more back on it.

Also, depending on your deductible (if you have a $2000 deductible), this may account for the difference. They will auto-deduct your deductible from the check in most circumstances.

 

[Culex]

So, I blew out a tire on a bridge about a week ago. I was in a terrible spot to stop, so I dragged it across the bridge and immediately pulled off the road, which caused significant damage to the underside of the vehicle. It's about a $4800 fix.

Fortunately, my insurance said they would pay for the repair, and that all I would be responsible for was $500 plus a "slight difference" due to a premium the shop was charging on the parts.

Well, I got the check today…for $2300. That includes the $250 for the tow. So a "slight difference" is, I guess, more than half the bill, which I just can't afford right now.

Am I screwed? Do I have any recourse here to challenge the offered sum?

Click to shrink...

Did they say this in writing? If not, you basically agreed to settle from them, even if their version of a "slight difference" is different than yours.

 

[echoshifting]

I would reach out to your agent and explain the situation. You'll have to do a bit of fighting, but I bet you can get more back on it.

Also, depending on your deductible (if you have a $2000 deductible), this may account for the difference. They will auto-deduct your deductible from the check in most circumstances.

Click to shrink...

It's a $500 deductible

 

[cyress8]

I would fight it. Call the repair shop first to get a break down of the repairs. Ask them what items your insurance do not want to cover. There is something specific that needed repair and they are denying it, leaving you to cover it. Normally, insurance should replace any item damaged if the accident was the cause of failure.

Also, it could be the repair shop not negotiating their price down for the insurance company causing your insurance to drop the cost on you. Your Ins. Company are supposed to give you a heads up on this, but easier to not even call to let you take the burden last minute after repairs are done.

Best thing to do is to never let any insurance company handle 100% of the process and stay in touch with the repair shop.

 

[chimpychi]

So, I blew out a tire on a bridge about a week ago. I was in a terrible spot to stop, so I dragged it across the bridge and immediately pulled off the road, which caused significant damage to the underside of the vehicle. It's about a $4800 fix.

Fortunately, my insurance said they would pay for the repair, and that all I would be responsible for was $500 plus a "slight difference" due to a premium the shop was charging on the parts.

Well, I got the check today…for $2300. That includes the $250 for the tow. So a "slight difference" is, I guess, more than half the bill, which I just can't afford right now.

Am I screwed? Do I have any recourse here to challenge the offered sum?

Click to shrink...

Insurance companies write initial estimates based on what they see.. Your shop's estimate is likely what they think the whole thing will cost.. Once the shop tears down the car, they will send a supplement request to the insurance company with pictures of the damage they didn't account for. Then they will issue additional funds.. This is standard practice.

Insurance companiea do this so that people can't just go to the most shady shops with inflated costs, and get a check for more than the work costs..

 

[9wilds]

Did they say this in writing? If not, you basically agreed to settle from them, even if their version of a "slight difference" is different than yours.

Click to shrink...

That's not how this works. There are laws in every state that prevent that type of predation. There will be an appeals process. OP needs to call the insurance company.

 

[HeySeuss]

Unless you have some kind of clause in your agreement that you pay extra for genuine parts then your deductible should be all you have to pay. I know most insurance companies try to send you to their shops that use aftermarket parts to save the insurance company money but you should have the ability to go where you want. Unless of course it's in your agreement somewhere that you pay the difference.

 

[Puggles]

They always send a check first for what they think it's going to cost. Don't do anything with the check. They will pay the whole thing.

 

[echoshifting]

Thanks for the reassurance guys. My adjustor is out today so I am kinda in the dark. I will talk to him in the morning

 

[BringBackSonics]

Basically unless you find someone to do the repairs cheaper, you will eat the difference (paid 2k on a 'new' engine valued at 16k (incl labor)