If you have an accident that renders your car inoperable, you may be entitled to the actual cash value of your vehicle from your insurance company to replace the car. This figure is the sales price of your car minus depreciation prior to the accident. To determine the current actual cash value, insurance companies use different methods and sources, including these:

  • Sales of comparable vehicles
  • Online price indexes
  • Pricing guidebooks such as those published by the National Auto Dealer's Association or Kelly Blue Book

To verify the amount you are legally obligated to receive, ask your insurance company how the cash value is being determined and complete your own analysis using the same method.

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