Process & Workflow
Total Loss
A total loss is a claim where the cost to repair the damaged property meets or exceeds its value, so the insurer pays it out in full and often recovers value through salvage.
When property is a total loss, the insurer typically pays the full claim and takes the damaged asset, recovering residual value as salvage. A total loss can still carry a subrogation opportunity: if a third party caused the loss, the insurer can pursue them for what it paid, separate from any salvage recovered.