What is a total loss?
A total loss occurs when the repair cost of an accident-damaged vehicle exceeds its market value. In these cases, the insurer declares the car a total loss and offers the owner compensation based on the vehicle's market value at the time of the accident.
But declaring a car a total loss does not mean it has no value. In fact, there are several alternatives that may be more beneficial than accepting the insurer's first offer.
How does the insurer calculate compensation?
When the insurer declares a total loss, compensation is calculated as follows:
- The market value is determined according to BOE tables.
- The excess is applied — if your policy has an excess, this amount is deducted from compensation.
- The salvage value is deducted — in some cases, the insurer deducts what it considers the car is worth as scrap.
The final result is usually an amount well below the vehicle's real market value.
Alternative 1: Negotiate with the insurer
You have the right to negotiate compensation with your insurer. To do so, you can:
- Request a Ganbam value report showing that your car's sale value is higher than its official market value.
- Hire an independent appraiser to carry out a counter-valuation.
- Provide invoices for recent repairs and improvements that increase the vehicle's value.
Alternative 2: Recover the car and sell it to a scrapyard
An increasingly popular option is to recover the car from the insurer, that is, keep the remains, and sell it directly to a professional scrapyard. In many cases, this option is more profitable than accepting the insurer's compensation.
How does it work? The insurer offers compensation based on market value. If you think you can get more, you can negotiate with the insurer to keep the car with a discount on compensation and sell it to a scrapyard such as Desguaces Carend, where we value parts separately and usually offer a better price.
Alternative 3: Sell directly to Desguaces Carend
The simplest and most profitable option is to sell your written-off car directly to Desguaces Carend. We take care of everything:
- Free valuation based on the real value of your car and its parts.
- Higher offer than insurers usually provide.
- Free collection of the vehicle in Barcelona and surrounding areas.
- Fast payment by bank transfer.
- Permanent deregistration management with the DGT.
Do not accept the first offer without comparing. Contact Desguaces Carend and find out how much you can get for your written-off car.