Car Crash Total Loss Coverage in Minnesota

Q. IF MY AUTOMOBILE IS CONSIDERED A TOTAL LOSS, WILL I BE REIMBURSED FOR ANY OF THE FEES I HAVE PAID THE STATE FOR THE OWNERSHIP OF MY CAR?

A. Yes. According to Minnesota Statute 72A.201 subdivision 6 the insurance company that pays for the loss must also pay the following:

1. All applicable taxes.
2. Licenses fees-at least pro-rata for the unexpired term of the replaced automobile's license.
3. Other fees paid incident to the transfer or evidence of ownership of the automobile, at no cost to the insured other than the deductible amount as provided in the policy.

Q. WHAT STEPS MUST THE INSURANCE COMPANY TAKE IN COVERING THE COST OF MY TOTALED AUTOMOBILE?

A. According to Minnesota Statute 72A.201 subdivision 6, if the automobile insurance policy provides for the adjustment and settlement of an automobile "total loss" on the basis of actual cash value or replacement with "like kind" and quality. The Insurance Company must offer a comparable and available replacement automobile or a cash settlement based upon the actual cost of purchase of a comparable automobile. If a comparable automobile is not available in the local market area, the insurance company must obtain one of two or more quotations obtained from two or more qualified sources located within the local market area. The insured (you) should be provided the information contained in all quotations prior to settlement.

Q. IF THE INSURANCE COMPANY MAKES ME AN OFFER I DON'T UNDERSTAND, ARE THEY OBLIGATED TO INFORM ME OF THEIR REASONING?

A. Yes. Any settlement or offer of settlement which deviates from any of the rules already discussed must be documented and justified in detail. The basis for the settlement or offer of settlement must be explained to the insured (you).

Minneapolis St Paul Car Crash Attorneys

The Law Firm of Lord & Faris is a Minneapolis and St. Paul based personal injury law office that works for individual and families throughout Minnesota including the following cities: Minneapolis, St. Paul, Plymouth, Burnsville, St. Louis Park, Golden Valley, Edina, Bloomington, Eden Prairie, Eagan, Richfield, Maplewood, Roseville, Brooklyn Park, Maple Grove, Blaine, Lakeville, Woodbury, Duluth, Coon Rapids, Lino Lakes, North Oaks, Stillwater, White Bear Lake, Minnetonka, Apple Valley, St. Cloud, Plymouth, Rochester, Wayzata, Excelsior, Chanhassen, Chaska, Mankato, Marshall, Hibbing, Brainerd.

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