This past week a Local Body Shop referred me a customer whom had Progressive Insurance. Progressive Insurance had deemed this customers Saturn a Total Loss and offered her $4,265.91. This customer informed me she was not happy with the $4,265.91 Progressive had offered her, she told me she had spent over $5,500.00 this past year in replacing the Transmission and A/C and had meticulously maintained her car. I asked her if she had the receipts outlining this and she said she did. I asked her if she had informed Progressive as to the extensive repairs and maintenance she had done on her vehicle, she replied she had and they told her it did not help the value. I asked her to call Progressive and ask them to send her The Market Evaluation Report on the Saturn and email it to me.
Upon receiving The Market Evaluation Report I discovered it was performed by J.D. Power McHill Financial Mitchell for Progressive. Mitchell had in fact came up with a Fair Market Value of $4,265.91. After I reviewed in detail the J.D. Power McGraw Hill Financial, Mitchell Vehicle Valuation Report she provided me referenced above. The Report attempted to outline and support a Market Value Replacement on the above referenced Saturn of $4,265.91. On each of the unsold comparable vehicles Mitchell deducted an average of 11.50 percent for Projected Sold Adjustment. There is no Scientific Data to support said Projected Sold Adjustment computation by Mitchell and is merely a scheme to decrease Total Loss Compensation Paid to Total Loss Victims.
After analyzing The Mitchell Report and outlining the shortcomings that lead to the grossly under rated Market Value of $4,265.91, I performed my own Market Evaluation Report with factual comparison of 2003 Saturn Vue's and taking into account all the repairs, maintenance and CarFax I was able to arrive at a Fair Market Value of $5,900.00.
I emailed my client the finished True Market Evaluation Report showing the $5,900.00. Upon us talking, she asked me what should she do? I advised her to place Progressive on Notice she had hired an Independent Appraiser to determine the True Value of her 2003 Saturn Vue and inform them she would like in enact the Appraisal Clause in the Policy.
Progressive hired an Independent Appraiser to place a 3rd Party Fair Market Value on the 2003 Saturn Vue. The Rules are Clear as to the Duty of both Appraisers during this process, they are to communicate and attempt to come together with a Fair Market Value. In the event they cannot an Umpire is hired to make a decision as to the Fair Market Value of the Vehicle based on the reports from the two Appraisers.
Yesterday afternoon the Appraiser Progressive hired phoned me to discuss the claim, shortly into our conversation over the condition of the 2003 Saturn I found the Gentleman to be very knowledgable of the facts at hand. The Progressive Appraiser informed me his study and research indicated the Fair Market Value of the 2003 Saturn Vue was $4,900.00.
After he and I both exchanged our views and opinions we mutually agreed on a Fair Market Value of $5,417.69 of which we both entered into an Arbitration Agreement evidencing such.