USAA and Copart messed up my claim… what do I do?

Claims & Dispute Resolution Topics
1

Short version: I wasn’t at fault in a car accident, my car was sent to Copart, body shop said it was repairable, but Copart damaged it badly, and now USAA is calling it a total loss. USAA is blaming the original accident for everything. What should I do?

I got into an accident in Nevada, and the other driver’s insurance (Progressive) admitted full fault. My car was towed to Copart (USAA’s contracted lot) on the cop’s recommendation. Since Progressive didn’t have enough coverage, USAA took over handling my claim.

The first adjuster told me to wait three days for an estimate. Five days later, I found out he never did anything and had been removed from my claim. After another five days, I finally got an estimate—my car was repairable. I approved repairs, and USAA sent the car to a body shop… except they forgot to send the paperwork. The body shop rejected the car, and I had to track it down myself. Two days later, the body shop finally got it.

A week later, I checked my claim online and saw a new estimate. In the “preexisting damage” section, it mentioned forklift damage from Copart. I called the body shop, and they told me the new damage was so bad they wouldn’t even touch the car. They sent me pictures—struts and sway bars bent, tires punctured, floor pan damaged, and even welding bead tears in the chassis and suspension.

USAA admitted responsibility but still totaled my car. The original estimate was $9K with no frame damage or airbags deployed, but now the car is treated as salvage. Progressive won’t pay a total loss because, at the time of the accident, it was repairable. Their policy maxes out at $20K, so they would’ve only covered the original $9K repair.

I feel like USAA and Copart completely botched this. I’m thinking about hiring a lawyer but want to be sure I go about this the right way.

Questions:

  • Should Progressive still cover the original $9K repair, even though Copart made things worse?
  • Did USAA screw this up beyond repair?
  • Should I file a second claim with USAA for the new damages, or does it all fall under the original claim?
  • Should I file a separate claim against Copart, or does that go through USAA since they contracted them?
  • This whole thing feels shady and negligent. Am I overreacting, or is this really as bad as it seems?

Any advice would be hugely appreciated. Thanks in advance!

2

This should be two separate claims. Progressive is responsible for the first accident, and Copart for the damage they caused. The fact that you hadn’t repaired the first damage yet doesn’t change Progressive’s liability—they still owe you for the original $9K. Then USAA can total the car based on the second incident, but they have to pay you the actual cash value (ACV), minus any preexisting damage. Make sure they open two claims.

3

@Arthur
That makes total sense. I asked them why everything is under one claim, and they said they want to treat it as a single collision but handle it separately in subrogation. Sounds like they’re trying to push Progressive to pay for everything, even though that’s not how this works. I’m going to push for a supervisor next.

4

@Crosby
Do NOT let them merge these claims! That’s bad claims handling at best and straight-up bad faith at worst. You have the right to have these treated as separate events, and that will work in your favor when negotiating your settlement. It sounds like a new adjuster who doesn’t know better is handling your claim. Keep escalating until you get a manager who understands they need to split the claims.

5

Document EVERYTHING. USAA is shady, and I’m in a similar situation. I had to get a lawyer because it was the only way to get them to act. I also filed a complaint with my state’s insurance commissioner. The more complaints they get, the harder it is for USAA to keep doing this kind of stuff.

6

@Terryanne
Thanks! I’ve been looking for a lawyer, but I keep hearing that ‘property damage lawyers’ don’t really exist. I found an injury lawyer who’s willing to help, but he admitted this isn’t his area. My next move is sending a demand letter. If that doesn’t work, I’ll take it to the Nevada insurance commissioner. Should I just go ahead and file the complaint now?

7

@Crosby
Wait, are you the original poster using another account? If so, you probably don’t need a lawyer just yet.

8

Arthur said:
@Crosby
Wait, are you the original poster using another account? If so, you probably don’t need a lawyer just yet.

Yeah, sorry. Another forum required my account to be a certain age to post. That’s actually good to hear about the lawyer. Thanks!

9

You need to get a supervisor involved as soon as possible.

10

Sawyer said:
You need to get a supervisor involved as soon as possible.

Thanks! Right now, I have three adjusters—one lead (who just pushes me off to the others), the original collision adjuster, and a new one handling personal property and collision. I think a supervisor is the next logical step. Should I push for them to officially open a second claim?

11

Here’s what I would do: Take the repair payout from Progressive and close that part of the claim with USAA, since you’ve been compensated by the other driver’s insurance. Then demand USAA open a new claim for the forklift damage. They should total the car and pay you based on its actual cash value, minus any previous damage. Then they can go after Copart for reimbursement.

12

@Arthur
Would I have to pay my deductible for this? They keep calling it a collision, but a forklift isn’t exactly a ‘collision’ by their definition. Also, I asked for my full policy document (the original 80-page version), and they claim they don’t have it in their system. The renewal version doesn’t mention comprehensive or collision, even though I have coverage for both.

13

@Crosby
Yes, any claim under your own insurance (whether collision or comprehensive) means you pay the deductible. If they can get Copart to take responsibility, they might reimburse you later. As for whether this falls under collision or comprehensive, I’d argue it should be collision but marked as not-at-fault to avoid a rate increase. If they say they don’t have your full policy, call policy services and request a copy of your ‘jacket’ (the full contract, including all endorsements). If they give you the runaround, submit a request in the claims communication center—it’s part of their permanent records, and they’re required to respond. Hope this helps!