Know About Total Loss Car Insurance Claim Process

Imagine you have raised a case after your vehicle gets harmed in a mishap. Assuming the vehicle is seriously harmed, there is plausible of your safety net provider pronouncing it as a complete deficit. Might it be said that you know nothing about what all out misfortune in vehicle protection implies? You can definitely relax! We will let you know all that you want to be aware of the complete loss of a vehicle and the interaction to raise a case.


What is the Total Loss of a Car?

When the assessed cost of fixing a harmed vehicle is more than 75% of its Insured Declared Value (IDV), then it is known as a complete loss of the vehicle. A vehicle is announced as a complete misfortune by the engine insurance agency after a case is raised by the policyholder for extreme harms or burglary. Besides, if the assessed cost of fixing or supplanting the protected vehicle surpasses its real market esteem, it is known as a constructive absolute misfortune. Whenever a vehicle is proclaimed as a complete misfortune by the engine protection supplier, it is known as an added up to car.

The all out loss of a vehicle can happen in two circumstances, which are as follows:

  1. Theft: When your vehicle has been taken and can’t be recovered.
  2. Severe Damages: When your vehicle gets harmed so much that you should nearly spend the expense of the vehicle to get it repaired.

In the two circumstances, it’s a horrible idea to fix the vehicle because of its high fix cost. Consequently, harmed vehicles are pronounced as a complete misfortune in these situations.

How Do Insurance Companies Determine the Total Loss Value of a Car?

The all out misfortune worth of a vehicle is assessed by an engine insurance agency after you raise a case. When the case has been made, your engine insurance agency will send an agent to assess the harms supported by your vehicle. The agent will cautiously dissect different pieces of the harmed vehicle and generally gauge the expense of fixing the vehicle. In the event that the fixing cost of the harmed vehicle surpasses its ongoing business sector esteem, the agent will proclaim it as an absolute loss.


What is the Total Loss Car Insurance Claim Process?

The interaction to raise a complete misfortune vehicle protection guarantee is given below:

  • Inform your engine back up plan when your vehicle gets damaged
  • Provide all the mentioned data to the agent sent by the protection company
  • The agent will evaluate the harms to the vehicle and will either endorse it for fix or pronounce it as an absolute loss.
  • Once the protected vehicle has been proclaimed a complete misfortune, the agent will decide the genuine money worth of the totalled car.
  • The back up plan will pay the genuine money worth of the totalled car.

Documents Required to Raise a Total Loss Car Insurance Claim

At the hour of recording a complete misfortune vehicle protection guarantee, your back up plan will request the accompanying documents:

  • Copy of the vehicle’s registration testament (RC)
  • Surveyor’s report to find the reason for the loss
  • Copy of your vehicle protection policy
  • Car protection guarantee structure properly filled and signed
  • Estimated vehicle fix cost
  • Copy of driving permit (DL)
  • Copy of the FIR or enrolled panchnama 

How to Determine the Actual Cash Value of a Totalled Car?

When a four-wheeler is pronounced as a complete misfortune, the insurance agency decides the genuine money worth of the vehicle. The genuine money esteem alludes to the financial worth of a totalled vehicle. There are a few factors that decide the genuine money worth of a vehicle. Investigate them below:

  • Car examination reports expressing the harms to the car
  • Depreciation worth of the car
  • Make and model of the car
  • Manufacturing year of the car
  • Mileage of the car
  • Condition of the car
  • Current request and supply of the make & model of the car

Total Loss Car Insurance Settlement in India

In India, vehicle protection companies settle a complete misfortune guarantee by learning the devaluation on the safeguarded vehicle. The pace of deterioration for various vehicle parts shifts from one another. Here is the rundown of vehicle leaves behind their pace of devaluation

Car Parts

Rate of Depreciation

For all nylon,/tires and cylinders,/elastic & plastic parts,/and batteries


Fiberglass components


Glass components


Paint Work



Rate of devaluation in light of the age of the vehicle

Age of the Vehicle

Rate of Depreciation

New vehicle


Below 6 months












Above 5 years (for old models)

Mutually chose the guarantor and the vehicle owner

Once a vehicle crosses the age of 5 years, the IDV is found out after an appraisal of the vehicle. The approved vehicle seller, utilized vehicle vendor or assessor leads the vehicle’s assessment.



A vehicle is viewed as a complete misfortune when the expense of fixing or supplanting it surpasses 75% of its IDV. It can occur because of the robbery or mishap of the vehicle. In any case, for a complete misfortune vehicle protection settlement in India, you really want to raise a case and guarantee that you present every one of the expected archives to the protection company.