How a total loss is decided
The insurer compares the estimated repair cost to the vehicle's actual cash value before the crash. When repair cost is high enough relative to that value, the insurer declares a total loss and offers the actual cash value instead of paying for repairs. Whether the car still drives doesn't change that calculation.
What the insurer owes
The vehicle's actual cash value at the time of the crash, generally based on comparable vehicles in your area. Reviewing the comparables the insurer used is reasonable — condition, mileage, options, and recent maintenance all affect value, and documentation of those can support a higher figure.
Keeping the car
In many cases an owner can keep a totaled vehicle and receive the actual cash value minus the salvage value. The vehicle's title status changes, which affects future insurability and resale. Whether that trade makes sense depends on the car and the numbers.
The rental and the gap
A rental during the claim period may be covered by the at-fault driver's insurer or your own rental coverage. If a loan balance exceeds the actual cash value, the difference is the owner's unless gap coverage exists.
Property claim and injury claim
If anyone was hurt, the property claim usually resolves first and the injury claim runs on its own timeline. Settling the property side does not close the injury side, as long as the release is limited to property.
Where to go from here
The law is covered in our Arizona car accident guide, and there's a full guide on how to choose a car accident lawyer in Phoenix. A free consultation is available any hour — in English or Spanish. (602) 217-0000.