When either the cost of repairs to the motorcycle is beyond a certain percentage of its appraised value or damage to the motorcycle is beyond repair, the insurance appraiser will determine the value of the bike. You are not obligated to accept the insurance company’s offer. You can use sources such as Cycle Trader and other online sources to find listings of the same model of motorcycle and identify bikes with features similar to yours. You can also contact your local motorcycle dealer or repair shop for information regarding your bike’s value. This will help establish the “fair market value” of your damaged bike. Since each motorcycle insurance company policy differs, if you have questions about buying back your “totaled” motorcycle, as well as methods used to determine motorcycle replacement values, contact your insurance company. If the insurance company takes what you believe to be an unreasonable position, contact the Law Tigers for help.
• Vintage Motorcycles
If your motorcycle is a vintage model, you should have it appraised by a specialist. Start with a shop that specializes in the sale or repair of vintage bikes, but keep in mind the issue of availability. If the repair or replacement motorcycle is difficult to obtain, or the bike needs to be shipped for repair, the insurance company should be responsible for paying the additional ancillary costs. If the insurance company resists paying these costs, your Law Tigers attorney can help you negotiate a fair settlement.
• Finalizing Replacement
After the replacement price has been agreed upon, you may also be entitled to compensation for taxes, license fees, and the cost of custom modifications or equipment. If you add these expenses to the replacement cost, you can expect the insurance company to counter with a lower amount. If you have done your research and can demonstrate the validity of your estimates, in many cases, you will be able to recover the total fair market value of your motorcycle.
• Loss of Use
Though insurance companies typically do not volunteer this information, you may be entitled to compensation for the loss of use of your motorcycle throughout the repair or replacement process. This compensation can be in the form of cash or reimbursement for the cost of a rental vehicle.