 TITLE: What Happens if Your Car Is Totaled? CONTENT: Does Insurance Cover a Totaled Car?\n-----------------------------------\nIf an insurer totals your car, it's typically covered by two parts of your policy: comprehensive coverage and collision coverage. When you have a car loan or lease, those two types of coverage normally are required. They aren't legal requirements on a car you've paid off, however—the decision to carry comprehensive or collision coverage is up to you. Without coverage beyond the liability insurance that's required in almost every state, you might have to pay out of pocket to replace your totaled car (especially if you're at fault in the crash).\nComprehensive insurance covers damage or disasters not related to a collision. Meanwhile, collision insurance applies when your car is damaged during a crash with another car, an object or property.\nIn some cases, an insurer might not cover a claim when your car is a total loss. Here are five possible reasons for your claim being denied:\n1.  You lack the appropriate coverage, such as comprehensive or collision.\n2.  You failed to keep up with your premium payments.\n3.  You were driving while intoxicated.\n4.  You took too long to report the damage to your insurance company.\n5.  You filed a fraudulent claim.\nTake note that each insurance company uses different criteria for declaring that a car is a total loss. However, a car that's totaled by one insurer probably would be totaled by another.\nHere are three things to keep in mind regarding a claim for a totaled car:\n1.  You'll need to pay your deductible before the insurance company will issue a claim check.\n2.  If you think your car is worth more than the insurance company thinks it is, you can try to negotiate a higher payout.\n3.  After your claim is approved, the insurer usually assumes ownership of the totaled car, which may then be sold for scrap or parts. If you want to keep your totaled car (and that's allowed where you live), the insurance company will subtract the salvage value from your claim payout. END