Evolving Vehicle Valuation: A Shift Towards Dynamic Insurance Pricing Amid Changing Auto Retail Trends

Across the last five years, about 40 million used car transactions happened each year (source: Bureau of Transportation Statistics). For most make, model and year combinations, a reasonable and current estimate of the insurance value of a vehicle in operation could be produced from a vehicle identification number (VIN).

This is not your claim adjusters’ Total Loss Value worksheet. That would have mileage, condition, vehicle history, prior accidents and repairs, and like-for-like comparable vehicles in a local geography.

If you watch "Antiques Road Show" or even "Pawn Stars," you get the idea that everything has a value, that these can fluctuate and that the insurance value to replace something at market is a fungible concept, especially for things mass-produced – like a vehicle.