Hail Damage

In this month's edition of Ask An Expert, we want to talk about hail damage. Since we had our first bout of hail last week, we’ve already answered questions on what happens when your vehicle has hail damage. We recently sat down with Hannah from Lansing and fielded some questions she had about the complicated ins and outs regarding hail damage. So let's dive right in and see if we can’t help answer some questions our readers might have!

Hannah: Hi John and Theresa! So with last week's hailstorm, I was lucky enough to have my vehicle in my garage. But unfortunately a few of my neighbors didn't and one had some pretty substantial damage to his car. This got me thinking about my current policy and how hail damage is covered and taken care of.

John and Theresa: Wow Hannah, we are glad no one was hurt and that you were able to keep your vehicle safe. So when it comes to hail damage, you have to make sure you have comprehensive coverage. Comprehensive coverage is sometimes known as “other than collision”, or “act of God”. So hail, a tree falling on your car from a storm would be comprehensive coverage. Now, depending on the severity of the damage, minor damage often isn’t worth reporting a claim with your insurer simply because the repair cost does not exceed the deductible.

Hannah: So if I can live with a few minor dings and didn’t want to fix my car would that be ok?

John & Theresa: If you own your car outright, the choice to repair the hail damage is yours. Now if you have a loan on the car and the car is determined to be a total-loss, then the lien holder would be paid first by the insurance company and you would receive any remaining amounts due. Also, if your vehicle is a lease, and not a total-loss, it will need to be repaired prior to returning it at the end of your lease.

Hannah: So what are my options if my car is deemed a total loss?

John & Theresa: So Hannah, I’m glad you asked that because, as the vehicle owner, you have the ultimate say in how you choose to repair the hail damage, not the insurance company. That's why it is so important for the readers to choose a quality independent repair facility that will help guide you and consult with how to go about properly and safely repairing your vehicle. So if your car is deemed a total you can request buy the car back from your insurance company to for its salvage value. So let’s say before the hail damage your car was valued at $12,000, and the insurance company places the salvage value at $7,000, they will send you a check for the $5,000.00 difference, minus your deductible of course. In Michigan if a car is 5-years or newer, damages, equaling 70% or more of its pre-loss value will be considered a total-loss.

Also if your car is 5-years or newer, and you decide to keep it, you’ll need an inspection before it is allowed back on the road and the title will be deemed “branded” reflecting the car's declaration as a total loss. This designation will significantly lower it’s resale value.

Hannah: Now what happens when my vehicle isn’t totaled from hail damage and I want to proceed with repairs?

John & Theresa: One option is a procedure called PDR (Paintless Dent Repair). This is done when the hail damage is very small and minor. The process employs specialized tools that apply pressure to the backside of the damaged panel to physically finesse the visible dings and dents outward**.**

Sometimes, bonding a temporary “pull-tab" or other device to the exterior of the panel are used pull the dent from the outside. The benefit to PDR is that body fillers and refinishing isn’t needed and it is less invasive. The downside of PDR is it requires you to access the backside of panels and sometimes the PDR technician can’t access that side without drilling access holes. Another problem is often minute cracks are incurred in the paint finish which may cause rust over time and void factory finish warrantees.. Another is having to recalibrate on-board safety systems. This can be tedious and full of potential liabilities and more work and risk than most PDR companies would be willing to accept.

Hannah: Now can a claim due to hail damage make my premiums go up?

John & Theresa: Generally speaking, hail damage is considered an act of nature and unforeseeable whereas negligence is not a factor, and hail claims should not impact your premiums and rates. Filing any claim may have potential ramifications and you would be best served by asking your agent or insurance company.

Hannah: Wow! I’ve learned a lot in a short time. I really want to thank you two for taking your time to educate myself and the readers on what one should know when one may face a claim for hail damage.

John & Theresa: As always, it’s a privilege to help inform our readers and educate them on our experience in the world of auto collision/cosmetic repair and auto insurance. If you or the readers have any questions you can always contact John or Theresa at My Body Shop. We will do our absolute best to answer any and all questions or direct you to those who can..