Will I get a new car after an accident?
Okay so I have a 2016 Honda Accord that I was buying from the dealer. I parked it outside of my apartments and the next day I seen it was hit. I'm not sure of the damage just yet but I have a feeling it's either totaled or the damage is just going to make it so the vehicle isn't safe anymore. Am I going to get another car?
The answer to that really depends on your policy. If you don't have a specific part of your policy that outlines "new car replacement," you will most likely get the actual cost value of your vehicle. This term, ACV, factors in depreciation. For your state, a total loss is determined by what's called a Total Loss Formula. Meaning, the vehicle will be totaled if the cost of repairs plus the scrap value of the vehicle is greater or equal to the actual cash value of the vehicle. If it's determined to be totaled/a total loss, you'll get the actual cash value of the vehicle which you can use as a down payment on a new vehicle. For more information, see our article on total loss car insurance.