What is Loss of use?

Loss of use is compensation for not having your car while it's being repaired or replaced, often measured by the cost of a comparable rental. It's usually claimed from the at-fault driver's insurer; rules vary by state and policy.

Rental rates for the same class of car in the owner's area are the usual evidence.

See how the referral program works The one-pager, the referral line, the AI assistant and the Appraisal Clause, set up for you.

More terms

Total loss Actual cash value (ACV)Appraisal Clause Umpire (appraisal)Total Loss Formula Total loss threshold Salvage value Diminished value Comparable vehicle (comp)Fair market value (FMV)Property-damage-only claim Referral agreement (between law firms)Demand letter

Updated 2026-11-01. General information, not legal advice; policy wording and state rules vary. TRUEclaims is not a law firm.