Can you negotiate fair market value?

Asked by: Suzanne Sporer I  |  Last update: October 6, 2025
Score: 4.2/5 (65 votes)

After your car is totaled, you might expect your insurance company to pay you what you paid for your car so that you can replace it. Unfortunately, you might find their estimate of your car's fair market value to be very low. If that happens, you can try to negotiate for a higher payment.

Can I argue with insurance for car value?

An insurance adjuster will examine your car to determine how much it's worth. You can negotiate the car's value with the adjuster or hire an attorney to come to a settlement.

Do insurance adjusters try to lowball?

To Protect Their Profits

Insurance adjusters are often given bonuses or other incentives based on how much money they save the company by getting claimants to accept low settlements. Making lowball offers is a key way insurers try to minimize payouts and protect their bottom line.

What not to say to an insurance claim adjuster?

Eight things NOT to say to an insurance adjuster are:
  • admitting fault,
  • anything about your injuries,
  • anything on the record,
  • speculating about the crash,
  • that you do not have a lawyer,
  • providing unnecessary information,
  • accepting a settlement, and.
  • sharing medical records.

How do I ask for more money in an insurance settlement?

Get the Adjuster to Justify a Low Injury Settlement Offer

Instead, ask the adjuster to give you specific reasons why the offer is so low, and make notes of what he or she tells you. Then write a brief letter responding to each of the factors the adjuster has mentioned.

How is Fair Market Value determined for auto damage?

16 related questions found

How to make a counter offer on an insurance settlement?

Countering a Low Insurance Settlement Offer
  1. State that the offer you received is unacceptable.
  2. Refute any statements in the adjustor's letter that are inaccurate and damaging to your claim.
  3. Re-state an acceptable figure.
  4. Explain why your counteroffer is appropriate, including the reasons behind your general damage demands.

How much money should I ask for in a settlement?

Ask for more than what you think you'll get

There's no precise formula, but it's generally recommended that personal injury plaintiffs ask for about 75% to 100% more than what they hope to receive. In other words, if you think your lawsuit might be worth $10,000, ask for $17,500 to $20,000.

How do you beat claims adjuster?

What Is the Single Best Way to Scare an Insurance Adjuster?
  1. Write a convincing demand letter to your insurance company.
  2. Carefully review any settlement offers you receive.
  3. Reject a settlement offer in writing on your behalf.
  4. Counter your lowball settlement offer.

What should you not say when making an insurance claim?

Don't discuss the specifics of the accident with other drivers, witnesses or passengers. Don't make any oral or written statements as to responsibility or blame. Don't tell others involved in the accident how much liability insurance you carry.

What happens if you don't agree with insurance adjuster?

File a Complaint: If necessary, file a complaint with the insurance company or regulatory authorities. Don't Settle for Less: Refrain from accepting a low settlement offer without proper evaluation. Be Prepared for Legal Action: If negotiations fail, be ready to file a lawsuit to protect your interests.

How do I haggle with an insurance adjuster?

Here's how to negotiate with insurance adjusters like a pro:

Prepare thoroughly by knowing your policy details and the value of your claim. Gather all evidence, including photos, medical records, and repair estimates. Stay calm, be polite, and firm in your communications.

Why is the first settlement offer so low?

Why Do They Always Lowball On The First Settlement Offer? If the insurance company is lucky enough that you accept the first low offer, it's better for them. The less money the insurance company gives you, the better their bottom line.

How do you respond to a low settlement offer?

Gather and present evidence to support your claim for higher damages. Negotiate skillfully with the insurance adjuster to work towards a fair settlement. Advise you on when to accept an offer and when to keep fighting for more money. If needed, file a lawsuit and represent you in court to get the damages you deserve.

Do insurance companies pay fair market value?

Now, California law is a bit different than the way insurance companies want to adjust the claim. The law states: "To recover damages for the loss, you must prove the fair market value of the car just before the harm occurred."

How to get more money out of an insurance claim?

Steps to Argue for More Money on Your Total Loss Claim
  1. Ask for the Valuation Report.
  2. Research the Comparables on the Valuation Report.
  3. Dispute Any Condition Adjustments on the Comparables.
  4. Send Your Own Comparables to the Adjuster.
  5. Consider Hiring an Appraiser.

Should I accept the first offer from the insurance company for a car?

It's generally not a good idea to take the insurance company's first offer for your car accident claim. These cases can take several rounds of negotiations to settle. You should only accept an offer that covers your expenses and losses.

What are red flags in insurance claims?

No witnesses to the alleged injury-producing incident. Insufficient detail was provided surrounding the injury-producing incident. Alleged injury seems inconceivable considering the work which the claimant performs. Injury is not visible (e.g., soft tissue injury)

What are the 3 most common mistakes on a claim that will cause denials?

Here, we discuss the first five most common medical coding and billing mistakes that cause claim denials so you can avoid them in your business:
  • Claim is not specific enough. ...
  • Claim is missing information. ...
  • Claim not filed on time (aka: Timely Filing)

What should I not tell my insurance company?

The insurance adjuster doesn't need to hear your entire life story. Sharing personal anecdotes or irrelevant experiences might even hurt your claim. Stick to the facts and avoid extra details about your family, job history, prior injuries, or unrelated accidents.

What do insurance companies fear the most?

It's simple: Insurance companies' legal teams hate having to go before juries. Naturally, it's up to juries to apply the law in a fair and even-handed manner. However, it never helps insurance companies to be seen as the villains who are trying to get one over on people in genuine need.

How to scare a car insurance adjuster?

Hire an Experienced Personal Injury Attorney. The most effective way to scare an insurance adjuster is by hiring an experienced personal injury attorney. A skilled lawyer knows the tactics adjusters use and can counteract them with compelling evidence and persuasive arguments.

Are insurance adjusters fair?

Insurance adjusters are responsible for assessing the extent of damages and estimating the appropriate compensation. However, their evaluations may be biased, incomplete, or undervalued. They may overlook hidden damages or fail to consider the long-term consequences of an incident.

What is a good settlement offer?

A reasonable settlement offer is one that includes medical expenses, lost wages, pain and suffering, and property damage. While it varies from case to case, an experienced personal injury lawyers can help you find a reasonable amount for your case.

What is a normal settlement amount?

The rough 'rule of thumb' that we generally use to determine the value of the average settlement agreement payout (in respect of compensation for termination of employment) is two to three months' gross salary (in addition to your notice pay, holiday pay etc., as outlined above).

What is a reasonable full and final settlement offer?

It depends on what you can afford. Your full and final settlement should offer equal amounts to each creditor. For example: Your lump sum is 75% of your total debt. You should offer each creditor 75% of what you owe them.