Question 1

How does my state decide if my vehicle is a total loss?

Accepted Answer

States use one of two methods. Percentage method: the vehicle is a total loss when the repair cost reaches a fixed percentage of actual cash value (e.g., Florida: 80%, Iowa: 50%). Total Loss Formula (TLF): the vehicle is a total loss when (repair cost + salvage value) is greater than or equal to ACV. California, Texas (in practice), and Georgia use TLF. About 20 states use TLF and the others use a percentage. Each method changes how much leverage your ACV number gives you in the dispute.

Question 2

Can I argue the carrier's total-loss decision?

Accepted Answer

Yes. The carrier's decision is based on their repair estimate and their ACV number. Both can be challenged. The repair estimate is often inflated because insurers prefer total losses on older or harder-to-source vehicles. The ACV number is often understated because higher ACV pulls the vehicle out of the total-loss category. A defensible independent ACV (built from verified comparable sales in your ZIP) is the strongest single piece of evidence you can bring to the dispute.

Question 3

What is the Total Loss Formula (TLF) and why does it matter?

Accepted Answer

TLF: (repair cost + salvage value) is greater than or equal to ACV ⇒ total loss. This means TLF states have no fixed percentage trigger. The practical effect: an independent ACV valuation matters even more in TLF states, because a higher ACV pushes more vehicles out of the total-loss category and into the repair-and-recover-DV path. Salvage value is the wholesale resale price the salvage yard pays the carrier for the wrecked vehicle — typically 15-30% of ACV depending on damage type and parts demand.

Question 4

My vehicle is borderline — what should I do?

Accepted Answer

If the repair estimate is near the threshold, get an independent ACV before signing anything. Order a Platinum Report ($149.95) — same verified comparable-sales methodology, includes the document bundle and appraisal-clause language. If the independent ACV is materially higher than the carrier's, the math may flip from total loss to repair-and-keep, which is often the better outcome (you keep the vehicle and may also recover DV against the at-fault carrier).

Question 5

What if my carrier won't budge on the ACV?

Accepted Answer

Most personal auto policies include an appraisal clause — a contractual dispute path where you pick an appraiser, the carrier picks an appraiser, and the two select a neutral umpire. Any two of the three agreeing on a number sets the binding ACV. Texas SB 458 (effective Jan 1, 2026) made the appraisal clause mandatory in every personal auto policy. The Platinum Report includes the policy language you need to invoke the clause.

Question 6

When will the full Total Loss Report launch?

Accepted Answer

It's in development. Drop your email on the Total Loss Report waitlist and you'll get one note when it launches — no marketing follow-ups. Until then, the closest existing product is the Platinum Report ($149.95), which uses the same methodology to produce a defensible pre-loss FMV.

Total Loss Threshold Calculator

Two thresholds, two very different conversations

Frequently asked questions

Ready to bring a defensible number?