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One of the best ways to negotiate a price on your car with the insurance company it research more cars in the same condition and same model as yours and go to them with an average price. I'd try to find 5-10 cars to average. Make copies of all of them for evidence of price, mileage, condition. If your car is above average point out that it is and why, things such as low mileage, new paint, new interior. You could use want ads, eBay, Craigs List. If you want to keep the car lots of times an insurance company will offer you the option to buy it back from them for smaller settlement which usually isn't too much.
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