1. What is Total Loss Calculation?

Total loss calculation determines whether a damaged vehicle should be repaired or declared a total loss based on Alberta's specific insurance regulations and cost thresholds.

2. How Does the Calculator Work?

The calculator uses the Alberta total loss formula:

Where:

• \( Repair\ Cost \) — Estimated cost to repair the vehicle (CAD)
• \( ACV \) — Actual Cash Value of the vehicle before damage (CAD)

Explanation: In Alberta, a vehicle is considered a total loss when repair costs exceed the actual cash value of the vehicle.

3. Alberta Total Loss Threshold

Details: Alberta follows the "Repair Cost > ACV" threshold for determining total loss status. This means if repair costs exceed the vehicle's pre-accident value, the vehicle is typically declared a total loss.

4. Using the Calculator

Tips: Enter repair cost and actual cash value in Canadian dollars. Both values must be positive numbers. The calculator will determine if the vehicle should be considered a total loss based on Alberta regulations.

5. Frequently Asked Questions (FAQ)

Q1: What is the total loss threshold in Alberta?
A: Alberta uses the "cost of repair exceeds actual cash value" threshold for determining total loss status.

Q2: How is ACV determined?
A: Actual Cash Value is typically determined by assessing the vehicle's pre-accident market value, considering age, condition, mileage, and comparable sales.

Q3: Are there additional factors considered?
A: Yes, insurance companies may also consider salvage value, administrative costs, and rental car expenses in their total loss calculations.

Q4: Can I dispute a total loss determination?
A: Yes, vehicle owners can provide additional documentation or get independent appraisals to dispute insurance company assessments.

Q5: What happens after a vehicle is declared a total loss?
A: The insurance company pays the ACV minus deductible, takes possession of the vehicle, and issues a salvage title if the vehicle is repairable.