When a crash occurs that causes damage to a vehicle that has a very high repair amount, it could cause the insurance company to determine that it is a total destruction and pay the owner of the damaged unit.
The insured amount at the time of an accident with total destruction becomes very important because it is the value that will be taken as a reference to settle the policy and pay. There are even policies that have agreed to deliver another similar unit.
Therefore, the first thing to do in this situation is to take the contracted policy to see What is the agreed amount and how to update it? or if it was agreed that another similar vehicle would be delivered.
In the event that the insured sum does not have any formula to readjust it and has become outdated, a claim may be made to the insurance company.
In this situation, if the insured is a final consumer, a claim could be made requesting the application of the Consumer Protection Lawbecause it would be a consumer relationship and this makes the responsibility of the insurance company greater as it is the one who must give more information to the consumer. The declaration of a clause in the insurance contract as unfair could even be requested.
When can you claim
When we talk about determining the type of coverage, the discussion focuses on whether or not it is a total destruction of the vehicle. This occurs because the insurer will have the vehicle inspected and its repair value to determine if it is total or partial damage.
Once the type of coverage that the insurance company must provide has been determined, it will be necessary to know the amount that the owner of the damaged vehicle will receive.
This will depend on the value agreed in the policy with the insurance company and for this you must carefully read the clauses referring to the total damage, the insured sum and the call readjustment clause which is the way in which the update of the insured amount was agreed.
The deadlines for giving the answer are also a very important point. Article 56 of the insurance law provides that “The insurer must rule on the insured’s right within 30 days of receiving the additional information…”.
Therefore, in the event that the insurance company does not provide a response regarding the acceptance or rejection of the claim within the legal period must provide coverage.
And if a response is given, it could happen that the amount is the one intended or agreed upon with the insured. But there are cases in which there is a question by the insured of the agreed amount for the case of total destruction.
In this situation, it will be necessary to analyze how it was agreed, taking into account that the law indicates that up to the insurance amount is covered unless something else has been agreed. Here it is of utmost importance if also The duty of clear and accurate information applies provided by the consumer protection law.
It could also be that the claim is rejected because the amount established by the company’s inspectors is less than that required by the policy for the damage to be considered total destruction.
If there is a rejection of the total destruction, an inspection may be requested from an official concessionaire to issue a new budget and question or corroborate the insurer’s decision.
In conclusion, to know if there is a total destruction, you must file a report with the insurance company and wait for it to be issued within 30 days. If coverage is provided, it must be determined whether the amount is the agreed amount or whether default interest must be requested for late payment of the corresponding amount.
It is made clear that the specific case must always be evaluated and this note does not imply advice on the specific situation but rather general guidelines.
