Why Do Insurance Companies Total Motorcycles with Little Damage?

In the aftermath of an accident, an insurance companies might total a motorcycle with minimal damage. So, why does this happen, and what does it mean for motorcycle accident victims?

If a negligent driver’s liability insurance company said your motorcycle was totaled even if it had little damage, there might be a few reasons why. For example, suppose a bike has significantly depreciated since a rider purchased it, and the damage caused by the accident would cost more than what the vehicle is worth. In that case, an insurance company will total it, even if the damage does not appear significant. If your motorcycle was deemed a total loss following an accident, we can review the insurance company’s assessment of the incident to confirm if that is the case. In the event that your bike was totaled, you likely also sustained serious injuries. To get compensation for those injuries, you may have to file a lawsuit against the negligent party responsible for your recent motorcycle accident.

By calling New Jersey motorcycle accident lawyer Jerry Friedman today at 1-800-529-4464, you can set up a free and confidential assessment of your case.

Why Did the Insurance Company Total My Motorcycle with Little Damage?

Insurance companies use various methods to determine whether or not a vehicle is totaled after an accident. If your motorcycle is deemed a total loss, you might get the actual cash value of the vehicle from the insurance company.

To see if a motorcycle is totaled after an accident, an insurance company will compare the resale value of the bike prior to the accident to its scrap value and cost of repairs. If the scrap value and repair costs outweigh the motorcycle’s resale value, it will be deemed totaled by the insurance company. This means that, as your motorcycle stands after damage, it is not worth the money it would cost to fix it.

So, depending on the value of your bike prior to the crash and the damage done to it in the accident, it might be totaled, even if it appears as though little harm was done to the bike. If the insurance company totaled your vehicle and you disagree with its assessment because of any modifications or enhancements you made to your vehicle that the insurance company did not consider, inform us right away. We can review the insurance company’s assessment to determine whether or not it is fair.

What Happens if the Insurance Company Totals My Motorcycle with Little Damage?

In the event that your motorcycle was deemed a total loss following an accident, you should receive the actual cash value of your bike from the negligent driver’s liability insurance.

To calculate the actual cash value of a totaled motorcycle, an insurance company will subtract the depreciation of the bike from its replacement cost. Again, if you improved your motorcycle in any way, such as by changing parts or adding enhancements, make sure such modifications are accounted for, as they can increase the overall value of your motorcycle and the payout you receive from the negligent driver’s liability insurance.

When motorcycles are totaled in accidents, riders might be severely injured. Even minor motorcycle accidents may be serious, as motorcyclists are not protected by seat belts, doors, car frames, crumple zones, and airbags as drivers of other vehicles are. Because of this, if an insurance company deemed your motorcycle a total loss, you might also have serious injuries that require compensation. You may have to file a lawsuit against the negligent driver responsible for your motorcycle accident to claim damages related to your medical expenses, lost wages, and other losses, like pain and suffering.

To do this, you must bring your claim by the statute of limitations, which differs from state to state. In New Jersey, for example, the deadline to sue for a motorcycle accident is two years, according to N.J.S.A. § 2A:14-2(a).

How Often Do Insurance Companies Total Motorcycles with Little Damage?

In regular car accidents involving passenger cars, trucks, or other similar vehicles, cars might be less likely to be totaled in minor accidents, depending on their value. In motorcycle accidents, bikes might be totaled more often because of their lack of protection from other vehicles on the road.

Whether or not your motorcycle will be deemed a total loss after an accident depends on its value before the crash and its cost to fix. Because motorcycle accidents are often serious, even when they happen at relatively low speeds or on less crowded roads, bikes might be totaled more often. When struck by larger vehicles, motorcycles might be pushed into traffic or obstructions in the road, causing further damage. Motorcyclists involved in certain accidents see their bikes crushed underneath cars or pinned to other vehicles. The age of a motorcycle might also play a factor in whether or not it is a total loss after an accident.

All of that is to say that if you were involved in a motorcycle accident, there is a chance that your bike will be totaled. Because the negligent driver’s liability insurance may be the one to assess the damage to your vehicle, you might have to provide evidence that establishes fault to recover compensation related to property damage. This is typically necessary even in no-fault states for auto accidents, as motorcyclists are often excluded from personal injury protection insurance coverage. So, even after a minor motorcycle accident, you should call the police. This can result in a police report for the insurance company to review. Our Cherry Hill, NJ motorcycle accident lawyer can also interview eyewitnesses, obtain surveillance footage, and collect additional evidence that points to negligence. You should also get your injuries assessed by medical professionals so that there is medical evidence that they exist.

Call Jerry About Your Recent Motorcycle Accident Today

Call 1-800-529-4464 today to discuss your case for free with Egg Harbor, NJ motorcycle accident lawyer Jerry Friedman.