I came across the exception to the rule today. Regular readers of my blog will know that my rule is that if your car is a total loss, you should not keep it. You will never be happy with it. It will never ride the same and you will never be able to sell it since it will have a salvage title. Well, I finally found an exception.
The person who called me is in her 80s. Her vehicle was paid off. She has a clear title. The car is a "constructive total loss." This means that the repair cost is over 75% of the value of the vehicle, but under 100%. So, she could fix the car for less than what the car is worth. But, by law, the insurance company must call the car a total loss.
I told her to keep the car. She is on a fixed income and does not need a car payment. She will likely not be able to pay off a car in her lifetime. She really likes her car and there aren't any for sale near her. She can get her car fixed and be happy. She doesn't have to worry about selling it. It makes perfect sense.
So, that is my one, single exception to the rule of keeping your car if it is a total loss. If you are not in your 80s, get rid of it and replace it!