Keeping the Car After It's Written OffIf I am in an accident and the damage to my vehicle is more than what the vehicle is worth, can I still keep my vehicle without handing it over to the insurance company after they pay me out?
I spoke with an insurance industry expert in Toronto, ON. Calling on his early experience as an insurance adjuster, he indicated that you may be able to negotiate a return of your car with your insurer, but it would have to be an special agreement.
He says, "The value of the car will be based generally on the Red Book value plus the pricing of 3 garages. Then, when the insurer gets the car, they sell it for salvage. Sometimes the salvage value, depending on the age of the car, is fairly high -- more than just a "scrap" fee. That salvage value could be deducted from the amount to be paid out, and then the car could be returned to the policy holder."
He goes on to say, "It never happened to me as an adjuster but it's worth a try."