Sister was injured, but alive. Mercedes totaled. MB and Insurance are being very pushy

Hi all…

I’ve read through as many totaled vehicle questions as I could before posting this. I also spoke with my sister for a bit to understand the snags she is running into regarding MB Financial and her insurance. The best thing is she and her husband are alive after a Ford Ranger collided with her on Christmas Eve.

They were briefly hospitalized, and basically unable to leave the house for 2-3 weeks. She’s just returned to work and is suffering from headaches and major dizziness. It’s been a month, and the police report was just filed. The toughest thing has been the fact that she cannot concentrate and not MB financial is calling her making demands and threatening(she is still making her payments but they are furious that the totaled vehicle was impounded and they couldn’t get at it).

Her insurance adjuster for the totaled vehicle just offered her a significant amount for replacement of the vehicle(although a tad low due to some recent improvements), but the adjuster started backpedaling once she found out it was a lease and said she’d deal with MB directly.

So…here are my questions:

  1. The price difference offered between the pay off amount to MB and the offer is a $12,500 overage, Should the offer be different if she owned instead of leased?

  2. She has full GAP coverage through MB, so the company will be made whole, so does this entitle her to the overage(I realize it all depends per the contract, but I read through the totaled section and it does not mention overage)?

The most upsetting thing for her has been trying to piece all of this together while she feels so terrible. Now people are making demands and being pushy enough to make her concerned. I plan on handling some of this tomorrow.

Any advice is appreciated, especially if you’ve dealt with MB and/or MB financial before.
Link to contract section on totaled vehicle

Glad they are alive, but sorry to hear you sister and BIL are suffering as a result of this accident. Most important: does she have an attorney who is dealing with this for her? If not, that would be my first call in the morning, especially since she has ongoing medical issues.

Regarding MBFS: yes GAP will make them whole, and according to at least one report she may be entitled to any equity/overage (but as you mentioned, have to check the lease contract with MBFS can provide)

The MB gurus might have more insight. I hope she gets all the care she needs and has a speedy recovery (which is undoubtedly longer than a few weeks).


Glad they are alive and things aren’t more serious. I know this isn’t the question you asked (and I don’t have any insight into MBFS, so I’ll let others chime in on that), but if they haven’t already, they should LAWYER UP. It is in their BEST interest to do so.

I’ve gotten a mild-moderate concussion and neck/back injuries (that still flare up today) from a car accident 7 years ago when I got rear ended by a driver who was drunk out of her mind. Her insurance company denied liability for the accident because they couldn’t get in touch with her (because she was in jail). I lawyered up, and they literally accepted liability within hours. Negotiating for medical bills was also hawkish (they were offering ~10-15% of my actual bills – lawyer negotiated around 160% of actual bills)


The payout from insurance wouldn’t be different, except for sales tax perhaps.

However it’s the owner i.e. titleholder who is entitled to the equity, so that’s the difference between your sister getting a check for the overage and getting nothing.

Exceptions would be state-specific law directing the insurer to pay the lessee the overage or forbidding the lessor from accepting the overage.

I suspect most internet stories that attribute a lessee getting the overage to the lessor’s largesse or their internal policies are mostly ignorant of the underlying facts.

Glad your sister is alive. I would lawyer up quickly with a good injury attorney. Seems your sister has a long road to recovery. Speak to lawyer before you deal with insurance going forward.

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She retained an attorney shortly after the accident.

MB let me know that they will be providing any overage to her once the check is received/cleared from insurance. However, they do not know the amount that insurance is sending, but 2 numbers were mentioned. A smaller(the payoff amount) and a much larger number(the going amount for the vehicle replacement).

So far I’ve been told different things by insurance, MB dealership, MB Financial Services.

FYI: The Farmers adjuster could not have been ruder.


I’m not sure there is any point talking to the dealership. They have no involvement here.

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Other than potentially selling the replacement.

Did you get that in writing?

I did not but will see how it plays out.

Does it matter though? Either they are obligated to, or they are not.

It’s not like one lowly employee’s mistake will be the deciding factor.

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