Uninsured Accident: Repair, Tow, or Sell Your Car?

If you’re in an uninsured accident, deciding whether to repair, tow, or sell your car comes down to one main question: Is the car worth more fixed than it is right now? Since insurance isn’t covering the damage, every dollar comes out of pocket — so the math matters.

Is The Car Damage Minor?

If the damage is minor and the repair cost is significantly less than the car’s current market value, repairing it may make sense. For example, if your car is worth $8,000 and repairs cost $1,500, fixing it could be reasonable, especially if the vehicle is reliable and you plan to keep it long term. However, if repairs approach or exceed the car’s value, it usually doesn’t make financial sense to fix it.

Is The Car Drivable?

Towing becomes the priority if the car isn’t drivable. If it’s sitting at a tow yard, daily storage fees can add up quickly. In that case, you’ll want to move it to your home or a cheaper storage location as soon as possible while you decide what to do. Sometimes the smartest financial move is simply stopping the storage charges.

Should You Sell You Car?

Selling the car is often the best option if repair costs are high. You can sell it as-is to a private buyer through Facebook or some other online channels but that usually comes with it’s own set of issues such as getting a lowball offer or ending up in sketchy situations. Cash for Cars can take away some of those issues that you may experience while selling private. We’ll give you an offer within about 30 seconds and if agreed upon, we will come pick up your vehicle at no charge, whether it’s running or not.

You can also go to a scrapyard, or a salvage buyer but you won’t get full market value. With that, you also are able to minimize some of your costs and you avoid spending thousands on repairs. Even heavily damaged vehicles usually have value for parts or scrap metal.

If you still owe money on the car, the situation is more complicated. You remain responsible for the loan balance even if the car is totaled. Before repairing or selling, check your payoff amount. If the car is worth less than what you owe, you’ll need to cover the difference.

What Should You Do?

Generally the best advice would be to repair it if the damage is minor and the numbers make sense but you may want to get rid of it sooner rather than later if the damaged vehicle is sitting somewhere and you’re getting charged fees while you’re waiting to figure out the best course of action. If the repair and storage costs are not worth it, Cash for Cars is a great option to get you an offer, tow your vehicle and cash in hand within about 24 hours regardless of where the vehicle is.