Legal Question in Insurance Law in Virginia

Insurance Settlement for replacement of a vehicle

My son was in an accident involving our family car. The vehicle was totalled. He was at fault. Our insurance company wants to settle by giving the NAD book value for the vehicle. We owe $21,300 on the vehicle, and it is valued at $17,860. Do we have to accept the monetary settlement, or can we request that the vehicle be replaced? If they think it is valued at $17,860, then they should have no trouble replacing the vehicle. When we bought the vehicle it was valued at what we paid.


Asked on 10/22/98, 2:58 pm

1 Answer from Attorneys
Benjamin Glass Law Offices Benjamin W. Glass & Associates

Re: Insurance Settlement

There is no requirement that the insurance company replace the vehicle. There are responsible for its fair market value the day of the accident. The fact that you borrowed money and owed more than it was worth does not affect its "value" unfortunately.

Benjamin Glass

Law Offices Benjamin W. Glass

3915 Old Lee Highway, Suite 22-B


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Answered on 12/31/98, 8:22 am


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