Total Loss in Virginia

When an insurer declares your vehicle a total loss in Virginia, it is making a financial determination based on the vehicle’s value before the accident compared to the cost to repair it.

This page explains how total loss claims are handled under Virginia law, how settlement values are determined, and what you should understand before accepting an offer.

What a Total Loss Means in Virginia

In Virginia, a vehicle is typically considered a total loss when the cost to repair it equals or exceeds the vehicle’s actual cash value immediately before the accident.

Actual cash value reflects market value, not replacement cost or outstanding loan balance.

How Total Loss Values Are Determined

Virginia requires insurers to base total loss settlements on the actual cash value of the vehicle prior to the loss.

Insurers typically determine this value using local market data, comparable vehicle listings, and valuation services that reflect condition, mileage, and options.

You are entitled to request information showing how the value was calculated and what vehicles were used as comparables.

Taxes and Fees in a Virginia Total Loss

Total loss settlements in Virginia are based on actual cash value. Sales tax treatment can vary depending on how the settlement is structured.

You should understand whether taxes, title fees, or registration costs are included or excluded before accepting the settlement offer.

Common Total Loss Issues in Virginia

• Comparable vehicles that are not truly comparable
• Incorrect trim levels or missing factory options
• Unsupported condition or mileage deductions
• Market assumptions that do not reflect local pricing
• Settlement offers issued without valuation detail

Before You Accept a Total Loss Settlement

Accepting a total loss settlement makes it difficult to dispute valuation errors later.

Reviewing the valuation carefully before agreeing helps ensure the settlement reflects complete and accurate information.

Need Help Reviewing a Virginia Total Loss Offer

EstiVerify reviews total loss valuation reports to identify missing value, unsupported deductions, and assumptions that may reduce your payout.

Related topics: Virginia Repair Rights | Virginia Diminished Value