When damages exceed what percentage of the SCV, is the vehicle considered a total loss?

In the context of vehicle damage assessment, a vehicle is typically considered a total loss when the cost of repairs exceeds a certain percentage of the vehicle's Actual Cash Value (ACV) or Suggested Cash Value (SCV). In Massachusetts, the threshold for declaring a vehicle as a total loss is generally set between 75% to 85% of the SCV. This range reflects the principle that if repairs are estimated to be significantly higher than the value of the vehicle, it may not be financially prudent to proceed with them.

A vehicle deemed a total loss means that it would cost more to repair than recoverable value, thereby categorizing it as not worth repairing from an economic standpoint. This guideline helps insurance companies and appraisers make informed decisions when assessing damages. Understanding this threshold aids both appraisers and consumers in navigating the complexities of vehicle damage evaluation and ensures that claims are handled fairly and efficiently.