If your airbags deploy in a crash, you might be wondering if your car is totaled.
The short answer? Not always. A car is only considered a total loss if repair costs exceed a certain percentage of its value. Since airbag replacement is expensive, it can push the total higher, but it depends on the situation.
In this post, we’ll explain if your car is totaled if airbags deploy in California, and how insurance companies decide if a car is totaled. We’ll also answer some FAQs at the end.
What Does “Totaled” Mean In Insurance Terms?
In insurance terms, a “totaled” car is one that’s considered beyond economical repair.
This means that the cost of fixing the car is higher than its current value. When this happens, the insurance company may pay out the car’s value (or close to it) and take the vehicle off your hands.
In simpler terms, the car is more trouble (and more expensive) to fix than it’s worth. So, the insurance company decides to “total” it instead of paying for repairs.
Also Read: Should You File a Personal Injury Claim After a Minor Car Accident?
Is A Car Totaled If Airbags Deploy?
A car isn’t automatically totaled just because the airbags deploy.
Insurance companies determine a total loss based on repair costs compared to the car’s actual cash value. In California, if repairs exceed 75% of the car’s value, the vehicle is usually considered totaled.
Since airbag replacement is expensive (it can run thousands of dollars!) it can have a big impact on the repair estimate. So if there’s other serious damage to the frame, engine, or other critical components, the chances of it being totaled increase.
But if your car is newer or still worth a lot, it might be worth repairing.
In the end, the insurance adjuster will decide if fixing it makes sense or if they’ll write it off.
How Insurance Companies Determine If A Car Is Totaled
California follows specific guidelines to decide if a car is totaled. This decision is made by insurance adjusters who assess different factors about the car’s condition after an accident.
Here’s how it works:
#1 Repair Costs
The first thing insurance companies look at is how much it will cost to repair the car.
If the cost of repairs is close to or exceeds the car’s value, they’ll likely declare the car a total loss. In California, a general rule is that if the repair costs are 75% or more of the car’s actual cash value (ACV), the car may be considered totaled.
This rule isn’t set in stone, but it gives a good benchmark.
If repairs are less than the car’s value, then it might be worth fixing up. But if those repair bills start stacking up, the insurance company will probably consider it a total loss.
Also Read: What Compensation Can I Receive for a Truck Accident Injury?
#2 Car’s Actual Cash Value (ACV)
The ACV of your car is an important factor when deciding if airbags deploy, is car totaled in California
ACV is the market value of your car before the accident, factoring in its age, condition, mileage, and any upgrades you may have added. Insurers use this number to determine if it’s financially reasonable to repair the car or if they’d be better off paying out a settlement.
In California, the insurer will subtract depreciation from the original value of the car to determine its current worth.
If repair costs exceed that value, the car is likely to be totaled.
#3 Extent Of Structural Damage
Structural damage refers to any damage to the car’s frame, undercarriage, or the main structure of the vehicle.
If the car’s structure is bent or compromised in any way, it can be extremely expensive to repair.
This type of damage is often a deal-breaker, because even if the car looks repairable on the outside, the underlying frame might not be safe to drive.
In California, insurers pay close attention to this kind of damage. If the frame is bent or warped, making it hard to realign, the car is more likely to be deemed a total loss.
Also Read: Proving Liability After a Car Accident
#4 Salvageable Parts And Repair Feasibility
Even if a car is damaged, some parts may still be worth salvaging.
In cases where the car is heavily damaged but the engine, transmission, or other major components are still functional, the insurer might look at whether it’s feasible to repair the car.
If there are enough parts that are salvageable and it’s possible to make the car roadworthy again without a total overhaul, repairs might be recommended.
But if the damage is too severe and the car can’t be repaired for a reasonable price, the insurer will opt to total it.
#5 Insurance Company Policies
Every insurance company has its own set of policies when determining if a car is totaled.
Some companies may be more lenient, while others might total the car at a lower threshold.
For example, some companies might total a car if repairs are even 50% of the car’s value, while others may wait until the repairs hit 80% or more.
These policies are usually based on company guidelines, and adjusters will follow them when making their decision.
#6 California’s Total Loss Regulations
California has specific laws that guide how insurance companies handle total losses.
According to state regulations, if a car is declared a total loss, the insurer must pay the owner the fair market value of the vehicle, which is usually the car’s ACV. This payment should come without depreciation, and the insurer is required to take the car off your hands and mark it as a “salvage” vehicle.
California also has a “total loss threshold,” which dictates when a car should be considered a total loss based on repair costs or the car’s value.
Insurers MUST comply with this threshold.
Bottom Line
So, does a car get totaled if airbags deploy in California? Not automatically. Airbags deploying is just one piece of the puzzle when determining if your car is a total loss.
It all depends on the cost of repairs, the car’s value, the damage to the car’s structure, and even the policies of your insurance company.
