With a stronger dollar, is it time for Canadians to look at buying vehicles cross-border again?

Toronto, ON – Jan 5, 2010 – For many years, there had been a large price disparity between vehicle prices in the US and Canada. However, with a low Canadian dollar, the exchange rate destroyed any benefit for Canadians. Then, in 2007, as the Loonie grew stronger, the difference became substantial. As the currencies approached par and then some, the differences became obscene.

“These large differences were not just on high end new vehicles” says Viraf Baliwalla, President of Automall Network. ”There were also savings of $10,000 or more to be had on mainstream used vehicles.”

For example, in Dec. 2007, Automall Network bought a 2007 Honda Accord EXL for a client in Edmonton, AB. The vehicle only had 7,285 miles on it. Being a licensed dealer, they purchased it at a dealer-only wholesale auction in Texas, had it shipped to Toronto where it was inspected and Canadian-ized and put on a railcar destined for Edmonton, some 3,500 km away. The customer had it certified and registered locally. “Even after all the transportation, the cost was still about $8,000 less than buying a new Canadian vehicle” says Baliwalla.

With all the media attention, the used car business then had a shakeout and the price gap narrowed. By the spring of 2008, there was a dramatic rationalization thus making importing unattractive. Then in October 2008, the Canadian dollar plummeted and importing dried up.

Over the last few months, things have changed. The dollar has strengthened and the differential has grown again,”the two prime ingredients for a successful importing environment” says Baliwalla. “On some mainstream vehicles, it won’t make sense to import. Then again, on others, the savings could be significant” (see chart).

The other advantage of buying a vehicle in the US is greater availability. With a market that is ten times as big, the likelihood of finding a newer vehicle with lower mileage and in good condition is much higher. “There are far more vehicles to choose from, especially newer ones” claims Baliwalla. “You can buy current model year vehicles with less than 10,000 miles for thousands of dollars less”.

Automall Network produces a monthly Cross Border Report comparing vehicle prices in Canada and the US as part of their “Serious Buyer, Serious Seller” community eletter. Consumers can subscribe for free by joining the community at www.AutomallNetwork.com.

Automall Network is a vehicle buying service helping consumers throughout North America buy new and used vehicles. They do for car buyers what a real estate agent would do for a home buyer. For media inquiries, contact Viraf Baliwalla at (866) 310-8701 x303 or at viraf@AutomallNetwork.com.

CROSS BORDER REPORT
Country	Vehicle	Mileage	Price	Comments
US	2007 Audi S4 Convertible+NAV	28,081 miles	$31,500 US	Warranty in Canada – Yes
Canada	2007 Audi S4 Convertible+NAV	24,228 km	$49,000 CDN
US	2007 Toyota Corolla LE	40,902 miles	$10,200 US	Warranty in Canada – yes
Canada	2007 Toyota Corolla CE	55,207 km	$10,800 CDN	LE’s are $6,200 more than CE when new in Canada
US	2009 Infiniti G37X AWD	18,788 miles	$26,500 US	Warranty in Canada – yes
Canada	2009 Infiniti G37X AWD	1,065 km	$36,500 CDN

Is your leasing company watching your back if your vehicle is written off?

Leasing is the often confusing and misunderstood cousin to buying and financing a vehicle. People lease because of the lower monthly payment on a new vehicle, however the leasing company owns the vehicle, not you. So what then happens if a leased vehicle is deemed a total loss by your insurance company due to theft or major damage? Let’s consider the claim for Sharon whose leased vehicle was written off.

When you sign a lease contract, you automatically waive your right to the proceeds of any insurance claim. You are not even involved in the settlement discussions with the insurance company, they settle with the owner of the vehicle – the leasing company – even though you are the one paying for the insurance premiums. Once the leasing company agrees to the settlement value, the insurance company will put the cheque in both the lessor’s and lessee’s name. However, most leasing contracts you sign give the leasing company permission to cash the cheque without your further permission or endorsement.

As you make payments, the balance of the total value of the lease decreases, just like a balance on a mortgage. If the settlement is more than the amount owing, this is called positive equity. The leasing company should keep what they are owed and refund you the difference. The higher the settlement value, the greater the positive equity and the more money the leasing company should refund you. However, as in the case of Sharon, the leasing company accepted a low settlement that allowed them to clear off the amount owing on their books. Had the leasing company pushed for a fair value, they could have negotiated a higher settlement thus increasing the difference that Sharon was entitled to.

The insurance company settlement is meant to “indemnify” both insureds, the lessor and the lessee. However, if the leasing company accepts the value because what they are owed is covered by the settlement, thereby disregarding your right to be indemnified fairly, and you can demonstrate that you suffered a loss because of their lack of effort, you may have legal recourse. Many such situations can be avoided by taking proactive steps.

TheyWroteOffMyCar.com is a national helpline that assists policyholders whose vehicles have been written off by their insurance company. In a real-time study of 3,200 total loss insurance claims, only 8% were found to be close to true market value, 38% were low by upwards of several thousand dollars. TheyWroteOffMyCar.com offers policyholders a free review of their insurance company’s valuation as a professional second opinion to ensure they are not part of the 38%. As well, TheyWroteOffMyCar.com offers assistance in obtaining a higher settlement if the valuation is low.

For media inquiries, please contact Viraf Baliwalla at (866) 249-5474 ext 303 or via email at viraf@TheyWroteOffMyCar.com.

Involved In A Car Accident? Make A List…And Check It Twice

After you get into a car accident, there are many things you must deal with. Filing the police report, dealing with insurance claims, and car repair are all important.  This can be very difficult process, especially if it is your first car accident. That’s why it is very important that you be prepared before such an incident occurs.

At the scene of the accident, be sure to call emergency care, if necessary. The next phone call should be to law enforcement. Make sure a police officer is there to make an accident report and get his name and information as well. Also, be sure to exchange insurance information with the other party.  If possible, take pictures of the accident scene or car damages of your car and the other car. You can use your camera phone or any disposable camera available at a nearby gas station. Also, get the names and information of any possible witnesses.

The next step is to contact your insurance company. If the vehicle is leased, make sure to contact the leasing company as well.Be sure to have your paperwork (license and registration, insurance card, etc.) ready and updated.

• Be sure to exchange numbers and information with the other parties.

• Be sure to gather as much information or evidence to support your claim.

• If you need mechanical repair and do not have a mechanic, you can visit your local AAA web site for one of their AAA-Approved Repair Facilities.

• If your vehicle is deemed a total loss, be sure to get a second opinion for the value of your vehicle. TheyWroteOffMyCar.com is a  consumer support website with a free helpline that can provide advice and guidance on how to get resolution for your claim issues and also provides a free review of the insurance company’s valuation.

You also get free coaching and recommendations on how to present your research data for maximum results. Visit www.TheyWroteOffMycar.com or call Toll Free from anywhere in North America (866) 249-5474.

Stop Haggling With Your Insurance Company

Any car owner who has had the unfortunate experience of being in a car crash knows how traumatic an accident can be. After getting over the initial shock and the injuries that may have been sustained, you now have to deal with the aftermath of an accident. This can be an intimidating and daunting task! In addition to long phone calls with insurance agents and a great deal of paper work, comes the wait to learn the fate of your car and your financial expenses.

Many questions run around your head sometimes causing sleepless nights as you ponder: Is my car repairable? Will the insurance company pay for my expenses? Will they declare this car a total loss? What happens if their valuation is less than what my car is worth? What if I owe more than they are willing to offer? What should you do when there is a discrepancy between what you think your car is worth and the insurance company’s estimation? What if the insurance’s estimation is not enough to replace your car?

These can be trying times which bring added stress and complicate your life. One way to reduce stress and the feeling of uncertainty is to NOT get involved in a heated discussion about the value of your vehicle. If you feel the value is low, get a second professional opinion and go back to your insurance company with the results to demonstrate why your vehicle is worth more. Insurance companies respond better when credible data is presented that supports a higher value and you can demonstrate why their value is incorrect.

Be careful where you get your second opinion. Professional opinions should be neutral in that they cannot skew to the benefit of the insurer or the policyholder. Insurance companies are very suspicious of public adjusters, certain independent appraisers and car dealers since some service providers do not operate in an unbiased fashion. If you use any of these providers, make sure the results are unbiased and the insurance company cannot poke holes in their research.

TheyWroteOffMyCar.com is a free consumer support helpline that can provide advice and guidance in how to get resolution for your claim issues and also provides a free review of the insurance company’s valuation. You also get free coaching and recommendations on how to present your research data for maximum results. Before accepting the adjuster’s settlement value, be sure to visit www.TheyWroteOffMycar.com or call Toll Free from anywhere in North America (866) 249-5474.

Vehicle Written Off? New Helpline Offers Policyholders Free Support, Expert Advice and Assistance

Automall Network (www.automallnetwork.com) is pleased to announce the launch of a new free consumer support helpline for policyholders whose vehicles have been written off by their insurance company.

“Once the insurance company settles, they are done. However, the policyholder may still have objections, outstanding issues and unanswered questions but nobody to turn to for help” says Viraf Baliwalla, a consumer advocate and founder of Automall Network.

Automall Network is a Vehicle Buying and Valuation Service. Insurance companies that strive to be very customer-oriented hire Automall Network to provide independent professional opinions on the replacement value of vehicles. Consumers and policyholders hire Automall Network as their agent to assist with the purchase or lease of a new or used vehicle, similar to what a real estate agent would do for home buyers. As well, consumers who are not insured with Automall’s clients also hire them for a second opinion.

“When working with insurance companies, we focus on making sure vehicle specifications are accurate and valuations are fair and reasonable” says Baliwalla.

Automall Network services clients in both the United States and Canada. With over 17,000 claims under their belt, Automall Network is an expert in both the car buying and total loss claims process.

”When a policyholder has issues like ‘what about my extended warranty’ or ‘I owe more than you are paying me’, our insurance company clients aren’t trained in the auto business to be able to respond. And due to possible liability, they must distance themselves” says Baliwalla.

A free helpline has been available for policyholders of Automall Network’s insurance company clients for seven years. Now it is being opened up to any total loss policyholder as a free community service.

Although every situation is a little bit different, some of the other more common issues are:

• I believe my car is worth more than that
• I can’t replace my vehicle for what they’re giving me
• I don’t want my car written off, I would prefer it be repaired.

To access the helpline, visit www.automallnetwork.com or e-mail help@TheyWroteOffMyCar.com or call toll free (866) 249-5474.

For media enquiries, contact Viraf Baliwalla at (954) 537-3155 ext 303 or (866) 249-5474 ext 303 or via email at viraf@automallnetwork.com.