Quote:
Originally Posted by Slats
Although implementation is ongoing, a comprehensive database that will soon give the best information available on a vehicle's history can be found at
http://www.vehiclehistory.gov/nmvtis_states.html
A friend of mine has been instrumental in getting this system up and running. The goal is to have all insurance claims in this database.
Insurance companies already have this kind of information. Insurers often run C.L.U.E. reports to perform post-claims underwriting, i.e., research a vehicle's prior claims history when an insured makes a claim. If it turns out the vehicle has suffered major damage previously, the insurance company will use this to say the vehicle is worth less than book value and will consequently pay less for the totaled vehicle. |
I find your wording interesting.....
Quote:
Originally Posted by Slats
" the insurance company will use this to say the vehicle is worth less than book value and will consequently pay less for the totaled vehicle "
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Are you saying you would not agree with this practice? Your statement sure makes it sound like the insurance company is doing something wrong or that the average person would NOT do... which is certainly NOT the case.
Most buyers are not willing to pay the same price for a vehicle that has been damaged and repaired vs one that has not been damaged in the past.... Perhaps the sentence should be...
" the insurance company will use this to show the vehicle is worth less than book value and will consequently pay an adjusted value for the totaled vehicle "
By the way... note that SOME insurance companies will do this, not necessarily all, and it also depends on the situation. I have paid a non adjusted actual cash value on vehicles that have been previously totaled and repaired/restored competently. My company's position is that if a vehicle has been damaged and previously repaired, then there should not be a change in it's value. However, if the vehicle has been damaged and repaired previously... and the vehicle has been damaged a second time... such info can be very useful if an owner is attempting to make a claim for Diminished Value.
With respect to CLUE.. this is usually a tool that underwriters use to determine the driving history of a prospective applicant. ISO is a tool used by claims personnel to determine if a person or a vehicle has prior injuries or prior damage from previous losses.