However, you may be able to make a case that the pieces of the car were worth more than the book value and so increase your settlement. It is up to your insurer to decide whether to pay for repairing your car or to declare it a total loss and pay you its book value. Note that most standard auto policies will not pay to repair a vehicle if it is "totaled"-that is, if the repairs cost more than the cash value assigned to the car. There are several guides to determine the current value of your car for insurance purposes-for example, Kelley Blue Book, and the National Association of Automobile Dealers' NADA Guides.
P.S.After an automobile accident, you want to make sure that you are adequately paid for the repair or for the value of your totaled car. It makes my blood boil when some numbskull who has never run a business thinks he’s got all the answers and sees a crook behind every shadow. Why would a price be OK before starting a job and not OK after. He pays what he agrees to and not a penny more. Plus they are not overbilling if he is given a price out of the book. We now actually make a profit, are able to pay better benefits and now do a better job because our techs are not under pressure to finish in a certain time. We did lose bottom feeders like Rodac but good riddance. After going flat rate and increasing our rate to $210 per hour with upfront pricing our complaints about price dropped to 0. We averaged 15- 20 complaints per month about costs and were going broke. In our shop, we charged $110 an hour, time and material plus markup on parts. The HVAC business is going the same flat rate system. This is also a way in which shop bonuses for various managers and even mechanics is calculated… In other words how can the public have faith in an industry that on the face of it, is corrupt. … AND ON THE OTHER HAND, IS SNEAKY WAY TO MAXIMIZE PROFIT BY BILLING VIA THE RATE MANUAL WHEN THE MECHANIC IS ACTUALLY USING LESS TIME THAN IS LISTED IN THE MANUAL TO COMPLETE A TASK. THIS, IT SEEMS TO ME, IS A SORT OF COLLUSION TO SET PRICES. “The problem is, that any mechanic that fails to consistently BEAT the flat rate manual will soon find himself out of job.” In other words, shops consistently over-bill for labor costs. The OFFICE staff will take the shop labor rate of $85 or $95 or more, times the hour rate of 1.2 to obtain the labor cost for the work done for any repair. For example, replacing front struts on a particular model will be listed as a 1.2 hour job. The manuals list the repair time billable by tenths of an hour. Just read your “honesty is the best policy” column and heartily agree with it… however, would you please address the use of Flat rate manuals to bill for the time it will take to accomplish ‘every conceivable repair’ for each make and model automobile.
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