You've been involved in a car or truck accident in Oregon. The insurance company decides to call it a total loss, and then comes up with a low-ball appraised value. For example, the insurance company offers to pay you $12,000, but you think the car is worth at least $15,000. What can you do?
For too long, Oregonians have suffered from abusive insurance company practices, including declaring a motor vehicle a total loss and then offering less than the full value. If Oregonians disputed the appraised value but needed the money and cashed the check, then we lost our right to challenge the appraisal. Fortunately, an Oregon law addresses the problem of a totaled car or truck.
For motor vehicle insurance policies issued or renewed after January 1, 2010, Oregon law requires the insurer to pay money now and allows the owner to dispute the amount. Here's how it works.
• When the insurance company totals the car or truck and offers to pay, it must give you (1) the appraisal reports it used and (2) information on their duties and what you can do.
• The insurance company must pay what they think the car is worth. It can no longer hold your check hostage until you sign a legal release. Of course, you must sign over the motor vehicle title if you accept the check.
• The insurance company must tell you where they take the car, and keep it available for you for 14 days, so you may inspect it, photograph it, or hire an appraiser to work for you.
• If you challenge the appraised value and win, then the insurance company must pay you the difference, PLUS pay your appraisal fees.
So, finally, Oregonians no longer have to choose between (1) getting SOME money they need for their next car and taking a loss or (2) challenging the appraisal. Now, we can do both.
You can read more details in the Oregon Administrative Rule
836-080-0240.
Jeff Merrick, Oregon Trial Attorney
503-665-4234
The above is not legal advice. I cannot give you reliable advice without knowing more information. It is intended to raise some issues for you to discuss with your own lawyer.
