Q Can I decide whether to have my car repaired or replaced?
AThis can be hard. Most people want to get back into their own vehicle if it is safe after repair. However, the insurance company usually gets to make the decision whether to repair or replace your vehicle, depending on which costs less -- to replace or repair your vehicle. If replacement costs less than repair, the insurance company will declare your vehicle a "total loss" and take action to replace your vehicle. If your car is declared a "total loss," the insurance company buys your car for its market value (see below). If you want to keep the wrecked car, you may buy it back from the insurance company for its salvage value. The insurance adjuster can deduct the salvage value from the settlement and you can keep the car.