Total Loss in New Hampshire: The 75% Threshold and What Your Car Is Worth
New Hampshire uses a 75% threshold for newer cars: a car is a total loss when repairs cost 75% or more of its fair market value, if the damage happens in its model year or the next four years. New Hampshire also requires insurers to pay fair market value using one of two methods the Insurance Department accepts. Here is how it works and what to do if the offer looks low.
Quick note: this is about total loss, when the car is not being repaired. If your car was repaired but is now worth less, that is diminished value, a different process.
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Key takeaways
- New Hampshire uses a 75% threshold: a car is a total loss when the cost to repair it is 75% or more of its fair market value.
- That test applies when the damage happens during the car’s model year or the four calendar years after it.
- Repair costs for airbags and other inflatable restraints, tires and entertainment systems are not counted toward the 75%.
- Insurers must pay fair market value under Ins 1002.15, using either a Department-accepted statistical method or documented sales of at least two matching cars in your local market within 90 days.
- If the offer looks low, an independent total loss appraisal gives you a documented New Hampshire market value to challenge it.
What is New Hampshire’s total loss threshold?
New Hampshire’s threshold is 75%. Under state law, a vehicle is a total loss when the cost of repairing it is 75% or more of its fair market value, if the damage occurs during its model year or the four calendar years after. Repair costs for inflatable safety restraints, tires and entertainment systems are left out of that calculation. An insurer that declares a total loss must apply for a salvage certificate of title within 20 days of the total loss payment, and the title carries a legend showing the car was declared a total loss. (Source: RSA 261:22. General information, not legal advice; confirm the current rule for your situation.)
New Hampshire total loss at a glance
Item | New Hampshire |
Threshold | 75% or more of fair market value |
Applies to | Damage in the model year or the next 4 years |
Not counted | Airbags and restraints, tires, entertainment systems |
How value is set | Fair market value under Ins 1002.15 |
Method one | Department-accepted statistical method, local market |
Method two | Documented sales of at least 2 matching cars in 90 days |
Insurer’s salvage title | Within 20 days of the payment |
What you are paid | Fair market value, less your deductible |
How they decide if your car is totaled in New Hampshire
The insurer estimates the cost to repair your car, leaving out airbags, tires and entertainment systems, and compares it to the car’s fair market value. For a car in its model year or the next four years, once that estimate reaches 75% of the value, it is a total loss. For example, if your newer car’s fair market value is $20,000, a repair estimate of $15,000 or more makes it a total loss in New Hampshire. For older cars, the insurer decides based on whether repairs make economic sense.
Because the whole decision rests on your car’s value, getting that number right matters. It is worth understanding actual cash value versus fair market value.
How New Hampshire requires your car to be valued
According to the New Hampshire Insurance Department, insurers must pay fair market value as defined in Ins 1002.15, using one of two methods:
- A statistically valid method: the average retail value from a process the Department accepts as a statistically valid way to set fair market value in your local market area. The Department publishes a list of accepted valuation methods.
- Documented sales: the documented sale prices of at least two cars of the same make, model and year as yours, sold within the previous 90 days in your local market.
Ask your insurer which method it used and for the report or sales behind it.
How your total loss payout is set
Your payout should equal what it would cost to buy the same car again today in your local New Hampshire market. Valuation reports, such as a CCC valuation, compare similar vehicles and then adjust for your car’s details. New Hampshire has no sales tax, but titling and registering a replacement still costs money, so ask whether those fees are included. Here is what moves the number, and for a closer look, see what your totaled car is worth:
What affects your payout | How it moves the number |
Mileage | Lower miles raise value; a wrong higher reading lowers it |
Condition | Clean condition raises value; heavy deductions lower it |
Trim and options | Factory options and higher trims add value, if counted |
Local market | Prices for the same car in New Hampshire set the baseline |
Comparison cars | The vehicles used for comparison can pull the number up or down |
Can you keep your totaled car in New Hampshire?
Often, yes, if your insurer agrees. The insurer deducts the salvage value from your payout, and the car gets a salvage certificate of title showing it was declared a total loss. Before it can be registered again after repairs, it must go through New Hampshire’s salvage inspection and retitling steps. Ask for the salvage deduction in writing before you decide.
What to do if your New Hampshire total loss offer looks low
Ask which of the two Ins 1002.15 methods the insurer used. If it used a valuation service, check that it is on the Department’s accepted list and that the comparable cars are from your local market. If it used documented sales, check that there are at least two of the same make, model and year within 90 days. Look for the wrong mileage, missing options, or comparison cars that do not match yours.
Then check your policy for an appraisal clause, a provision many policies include for resolving a disagreement over value, and see how to dispute a total loss settlement offer step by step. You can also contact the New Hampshire Insurance Department.
How an independent appraisal helps in New Hampshire
New Hampshire ties value to your local market, and a documented appraisal shows what that market really is. Our total loss appraisal service values your vehicle using comparable vehicles in your local market and gives you the documentation to challenge a low offer. You stay in contact with your insurance company, and we advise you on what to say and what to do next. If the appraisal clause is invoked, DVAC negotiates and resolves the value with the third-party appraiser the insurance company hires.
Look at a sample total loss appraisal report to see what the insurer receives.
New Hampshire total loss questions
Is New Hampshire a 75% total loss state?
Yes, for cars damaged in their model year or the next four years. They are a total loss when repairs cost 75% or more of fair market value.
Do airbags count toward New Hampshire’s 75%?
No. Repair costs for airbags and other inflatable restraints, tires and entertainment systems are left out.
How must a New Hampshire insurer value my totaled car?
At fair market value under Ins 1002.15, using a Department-accepted statistical method or documented sales of at least two matching cars in your local market within 90 days.
What does an insurer pay for a totaled car in New Hampshire?
The car’s fair market value, less your deductible if you claim on your own policy, and less the salvage value if you keep the car. Learn more in total loss settlements: what you need to know.
Get a free New Hampshire total loss appraisal consultation
If your New Hampshire offer feels low, start your appraisal or call (877) 879-0101 for a free consultation, and we will give you a documented market value to support your claim.
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Total Loss Appraisal Report:
Wondering what’s in a DVAC appraisal? Take a look at this recent appraisal we completed for a client.
