What is Total loss threshold?

A total loss threshold is the percentage of a car's value at which a state generally treats it as totaled: when repair costs reach that share of the actual cash value. Thresholds differ by state.

States without a fixed threshold generally use the Total Loss Formula. Some thresholds apply only to newer vehicles.

Total loss thresholds by state

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More terms

Total loss Actual cash value (ACV)Appraisal Clause Umpire (appraisal)Total Loss Formula Salvage value Diminished value Comparable vehicle (comp)Fair market value (FMV)Loss of use 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.