Legal Question in Insurance Law in Oregon

Re: What is fair with respect to Replacement Value & Loss of Use?

We do a lot of motorcycle and scooter cases, and I'm a rider as well. I can tell you that the insurance companies have MUCH more trouble accurately evaluating bikes than they do cars.

Your husband is probably entitled to a great deal more than just the scooter and loss of use, if he was injured with enough force to require physical therapy. It's usually best to use a lawyer on these cases, and I'm not just trying to lobby you for his case. Read some of the FAQ type of stuff on my website.

On the scooter, what you're trying to arrive at is the fair market value, retail, or FMV. The best way to find that is to look for ads for comparable used scooters, online and in print. Save them, get as close to his scooter as you can find, both in terms of age/mileage/condition/accessories, and geographically. Try to find them, in other words, in your general region, or within the Northwest at least, if you can't find enough locally. Get those ads faxed over to the adjuster, and give the adjuster a specific counter-offer, making it clear that it is for the vehicle ONLY.

You mentioned "KBB," Kelly Blue Book. They're really just attempting to arrive at FMV, but it's less accurate than getting current actual ads for the same scooter in similar condition and age. Having said that, you MIGHT have to discount a little off the asking prices, if in fact they'd SELL somewhat below asking price, although with gas prices what they are, I suspect scooters are selling at asking prices.

I also think you're entitled to the gas mileage differential between the scooter and a car, presuming he's driving now instead, at least for the period up until the insurer's first offer for the property damage. After that, he's theoretically been compensated such that he "has" another bike, unless his injuries prevent him from riding as well, in which case that mileage differential would extend into his personal injury claim.

As for loss of use, the customary amount seems to be around $20 a day, but we don't always get that, either. This is all negotiable, and usually the loss of use ends on the day they make an offer for the bike itself, even if it's an offer you don't take. I would sure argue the cost of renting a scooter or motorcycle, at least as a negotiating point. We've had clients where we've actually gotten the carrier to pay for a rental, when the client wasn't too injured to ride.

Good luck -- and I hope it's not too severe an injury!

-- Sam