by Miami, Florida — A South Florida couple says a minor highway crash turned into a months-long dispute with their auto insurer after their vehicle was declared a total loss — a designation they strongly contested.
Patricia Haddon and Barry Rebo, both in their 70s, said what began as a fender bender involving a punctured tire and bumper damage nearly cost them their fully insured 2007 Lexus SC 430 hardtop convertible.
The couple says they were told their car was a total loss — just one day after filing their claim.
Crash on I-95 Leads to Insurance Dispute
Rebo said he was involved in a collision on Interstate 95 the day after Thanksgiving. Although the front tire was flat, he said the vehicle was otherwise drivable.
The couple contacted their auto insurer, State Farm, to file a claim. They said they carry full coverage and have consistently paid their premiums on time.
However, Haddon said they were surprised when they were contacted by the insurer’s total loss department shortly after reporting the crash.
“She told us the Lexus was a total loss,” Haddon said, describing the conversation with a claims representative.
According to Haddon, the company estimated repairs at more than $12,000, claiming the cost exceeded the vehicle’s value.
The couple said they requested documentation supporting the total loss determination and asked for a second estimate but felt their concerns were dismissed.
Florida Total Loss Rules
Under Florida law, when a vehicle is deemed a total loss, the owner must surrender the title within 72 hours. Owners or insurers can obtain a salvage title and retain the vehicle, though resale options may be limited.
Haddon said the declaration raised immediate concerns.
“We felt like we were being pushed into options that weren’t real choices,” she said.
Independent Inspection Changes Outcome
After several months of back-and-forth communication, the couple said the insurer agreed to allow an independent inspection. The new estimate reportedly came in at under $7,000, significantly lower than the original figure.
Three months after the crash, the revised estimate shifted the trajectory of the claim.
Haddon described the outcome as a relief but said the process was stressful and prolonged.
Consumer Advocates Urge Caution
The Consumer Federation of America says cases like this highlight a common issue for owners of older vehicles.
Michael DeLong of the organization advises drivers to consider obtaining an independent assessment when facing a total loss declaration.
“Don’t just take the insurance company’s word for it,” DeLong said, warning that insurer-recommended shops may not always provide a neutral evaluation.
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However, he also cautioned that pushing back against an insurance company does not always result in a favorable outcome.
Consumers may face delays or additional disputes if disagreements escalate.
Company Response
When contacted for comment, State Farm cited its customer privacy policy and declined to discuss the specifics of the case. A spokesperson said the company would review the situation and provide appropriate assistance.
What Drivers Should Know
Consumer advocates recommend:
- Requesting written documentation of repair estimates
- Seeking an independent mechanic or adjuster review
- Keeping detailed records of all communications
- Filing complaints with regulators if necessary
In Florida, consumers who believe they are being treated unfairly can file a complaint with the Florida Office of Insurance Regulation.
Have you ever disputed a total loss determination with your insurer? Share your experience and tips in the comments below.
