Insurance companies are writing off more vehicles after relatively minor accidents, and the main reason is the rising cost of repairs. Modern cars are packed with advanced technology such as cameras, radar sensors, parking systems, and driver-assistance features. These systems are often built into bumpers, windshields, mirrors, and headlights, meaning even small collisions can damage expensive components.
When these parts are damaged, they often need to be replaced and carefully recalibrated so safety systems like lane-departure warnings and automatic emergency braking work correctly. This specialized work requires trained technicians and expensive equipment, which quickly increases repair costs.
Because of these higher costs, insurers sometimes determine that repairing the vehicle is more expensive than the car’s actual value. When repair costs approach or exceed that value, the vehicle is declared a “total loss,” even if the visible damage appears minor.
Supply chain issues and expensive replacement parts can also contribute to the decision. In some cases, parts are difficult to source or take a long time to arrive, making repairs even less practical.
For drivers, this means that today’s safer, more technologically advanced vehicles can sometimes be written off after accidents that might have been easily repaired in older cars.
Read more on: CTVNews.ca