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How to Handle Your Auto Property Damage Claim

by Peter DeFilippis, Esq.

Our firm focuses on representing clients in their personal injury claims and wrongful death motor vehicle claims. When it comes to resolving property damage claims—like getting your car repaired or paid for—we generally encourage clients to handle those claims directly with the insurance company.

We understand this process can be frustrating, especially when the insurer’s offer is lower than you expected. This page is designed to give you practical guidance on how to manage your own auto property damage claim, understand GAP insurance, and make the most of your collision coverage.

When the Insurance Offer Seems Too Low

Insurance companies typically offer the actual cash value (ACV) of your car, not what you paid for it or what it would cost to replace. Their valuations are based on your car’s age, mileage, condition, and comparable sales—but their numbers are often lower than Kelley Blue Book or Edmunds estimates.

To negotiate a better settlement:

  • Ask the insurance adjuster how they calculated the value.
  • Look up your car’s value using Kelley Blue Book or Edmunds, making sure to match mileage, trim, and condition.
  • Search for comparable vehicles for sale locally on Craigslist, Autotrader, etc.
  • Send a short, respectful message requesting a revised settlement and include your supporting materials.

“Based on my research and attached listings, I believe the fair value of my vehicle is closer to $9,200 than the $7,800 offered. Please let me know if you are able to reconsider the valuation.”

You may also be entitled to a diminished value claim if your vehicle was repaired but lost resale value due to the accident.

What Is GAP Insurance?

If your car is leased or you still owe on a loan, GAP insurance (Guaranteed Asset Protection) covers the difference between what your car is worth and what you still owe if it’s totaled.

For example:

  • You owe $22,000 on your loan
  • Insurance values the vehicle at $18,000
  • Without GAP coverage, you owe the $4,000 difference out of pocket

To find out if you have GAP coverage:

  • Check your loan or lease documents
  • Contact your lender or dealer
  • Review your auto insurance policy or call your agent

Collision Coverage: What It Pays For

Collision coverage pays to repair or replace your car (up to the ACV), regardless of fault. But it does not cover any remaining balance on your loan that exceeds the car’s value. That’s why GAP coverage is often necessary when financing or leasing.

Example scenario:

  • Car loan balance: $25,000
  • Car’s ACV: $20,000
  • Collision insurance pays $20,000
  • Without GAP, you still owe $5,000

When to Contact Us

While we at Peter DeFilippis & Associates don’t handle auto property damage claims directly, we’re happy to answer questions about the process or point you in the right direction. Our goal is to stay focused on your bodily injury and wrongful death claim and ensure you receive the full compensation you’re entitled to for medical bills, lost wages, and pain and suffering.

Still Have Questions?
We’re here to help you navigate the full picture after a crash. If you have concerns about how your property damage claim might impact your injury case—or just need general advice—don’t hesitate to reach out to Peter DeFilippis & Associates at 914-478-7777.