Property Damage Recovery
As an attorney dealing exclusively in motorcycle accidents, I am constantly asked, “What about my bike?” It seems that no matter how badly injured, the first words of a biker are, “How soon can I get my scoot back up?”
With this in mind, I checked the old mailbag and picked a question that is typical of many letters that have been received regarding this problem
SPIDER from California writes -
About a week ago, some slob in a cage had his right blinker on, but turned left and sent me and my sled into some parked cars. I think the bike can be fixed, so what do I do now?
ATTORNEY LESTER -
If you are injured, your personal injury attorney should take care of this for you. (A.I.M. attorneys throughout the United States and Canada are available to respond to any questions or problems in this area.)
However, if you are not injured and/or simply want to handle it yourself (why pay a fee for a damaged motorcycle?), this article will help you deal with problems involved in property damage recovery.
The first item of business: Who will pay for damage? There are basically two choices; Your insurance company under the collision portion of your policy (no matter who’s at fault), or the insurance company for the driver of the cage, if he was at fault. If there is any question of fault, your own company would be the easiest and usually the fastest.
On the other hand, by going through the insurance of the other driver, it relieves you of having to pay the deductible of your own policy. I think it would be helpful to first give you a brief definition of terms.
TOWING CHARGES
- Other Driver - Reasonable charges are recoverable.
- Your Insurance - Depends on your policy.
CAR RENTAL
- Other Driver - Reasonable charges (not including insurance for that vehicle) are recoverable up to time of repair or payment for replacement of your motorcycle.
- Your Insurance - Not unless specifically indicated in your policy.
STORAGE
- Other Driver - Recoverable, but be careful. Some jurisdictions require you to mitigate damages (i.e. remove the bike from storage if there for long period of time).
- Your Insurance - Depends on your policy
DEDUCTIBLE
- Other Driver - Recoverable if your insurance company paid for repair.
- Your Insurance - This amount is stated in your policy and is “deducted” from your recovery.
TOTALED
- Other Driver - A vehicle is usually considered a total wreck when the cost of repair is 80% of its value. Not usually your choice.
- Your Insurance - Same as other driver
SALVAGE
- Other Driver - A vehicle value of the totaled vehicle. If you want to keep it, it will be deducted from your recovery (negotiate).
- Your Insurance - Same as other driver.
ESTIMATE
You are really required to get only one estimate of repair, but it is usually beneficial to get a couple so that it gets all the needed repairs. The insurance adjuster will also want to see the bike and he will negotiate with the repair shop.
Now that you are familiar with some of the terms, you should be able to negotiate with the insurance adjuster on more equal terms. One warning: If there are injuries involved, or if there is a question of who was at fault, you should immediately consult an attorney before speaking with the adjuster. This it to prevent that famous rule of law known as “open mouth, insert foot”.
The following will be an example of how this should all work.
After establishing insurance on the part of the other driver (or what your own policy covers), take the bike into a shop for an estimate (*usually costs $25-50 for a motorcycle - car should be free). Call the adjuster and discuss the amount of the estimate, tow charges, and storage fees. Also request permission to rent a vehicle during the down time. This is a good time to mention the TLC to the bike and many extras purchased. Ask when the adjuster can view the damage and immediately mail him all the above bills including receipts for the extras. If it looks like you disagree as to the repairs or value, it would be a good idea to get a second estimate.
As a rule of thumb, when the cost of repairs exceeds 80% of the value of the motorcycle, it usually will be considered a total loss. If this is the case, the fair market value must be established. This will be done by the adjuster checking the “Blue Book” or running it through his computer. However, it is now time for you to do your homework. If the bike is at a dealership, ask what they would buy/sell the motorcycle for, before the accident. Check the price in various classified ads.
When the value is agreed upon, be sure that the extras have been added, and don’t forget, you are entitled to the sales tax as well as an apportionment of the registration fee.
Finally determine if you still want the wrecked motorcycle for parts or whatever. If you do, inform the adjuster and ask for the salvage value and who made the offer (you can call and verify). The salvage value will be deducted from the amount due you, so negotiate.
Hope this helps protect your rights to recovery for the bike. However, please remember if you are injured or the claim is complicated, it is not advisable to discuss anything within the insurance company without advice from a personal injury attorney.
If you or someone you love has been involved in a motorcycle accident or other serious accident in Southern California, contact Joey Lester at the Law Offices of Richard M. Lester immediately to set you on the road to recovery. Contact Los Angeles vehicle accident attorney Joey Lester via telephone toll free at 1-800-ON-A-BIKE (800-235-2454) or via email using the contact form in the right column above.
