Here’s an interesting article on why today’s bumpers are ineffective
Daily Archives: July 16, 2008
Will Exodus From Large Vehicles and SUV’s Result In Lower Total Loss Claims Settlements?
With high energy costs and rush by consumers to snap up smaller fuel efficient vehicles, the demand of SUV’s and large vehicles has plummeted again. According to the Manheim current monthly used car index, wholesale SUV prices are down 27.5%, and large pickups down 25.4% when compared to a year ago. With less demand, the salvage value on these larger vehicles are likely to drop as vendors who deal in these parts will in turn see lower demand. The “Actual Cash Value” in claims settlement offers could see a significant reduction on SUV’s and larger vehicles due to decreased values and demand as well. The ACV values are determined by market research in various ways by insurers to settle total losses. With what seems like a mass exodus away from larger vehicles, the owners of large vehicles may now see the values of their vehicles drop dramatically when settling total loss claims.