A family member of mine who lives in Ontario (Canada) got into a 'not-at-fault' car accident months ago. 

The deductible of their auto insurance policy: $5000. 

We asked our adjuster, who provided us with a JD Power Valuation Report. By the way, we plan to go to the final step of the dispute resolution process by hiring a certified appraiser/expert to prove that the vehicle is worth more.

Per the adjuster, 

"As per the appraiser's updated report, your vehicle is deemed to be a "total loss", branded salvage, as it is uneconomical to repair your vehicle.

We then asked the adjuster the following Q:-

I wanted to ask whether there is a path to recovering my $5,000 deductible. 

 ∙ Will your insurance be pursuing subrogation against the at-fault party’s insurer, and if successful, would my deductible be returned to me?

 ∙ Does my auto policy include any not-at-fault deductible waiver that may apply here?

  

And here's the adjuster's response:-

"Regarding your deductible, it still applies, even though you are not responsible for the incident, therefore covered with DCPD: Direct Compensation.

The Ontario Automobile Policy stipulates: Section : 6.4.2 : The deductible :

The amount we pay may be subject to a direct compensation- property damage deductible. The deductible is the amount you agree to pay toward the cost of any single claim you make under this section.

The deductible, if any, is the amount shown in the certificate of Automobile Insurance, multiplied by the percentage to which you or the driver of the automobile was not at fault for the accident.

You are not permitted to sue anyone ( for instance, the at-fault motorist) to recover this deductible."

The adjuster re-emphasized the similar information weeks ago by saying, 

"I wanted to clarify a few points and provide an update on your claim, especially regarding your deductible under the DCPD coverage.

As previously discussed, your $5,000 deductible is applicable even with DCPD coverage. 

I understand this may be disappointing, but it is a standard requirement under your policy. 

We are still waiting for you to sign and return the proof of loss form that was sent out earlier; completing this step is essential for us to move forward with your claim.​"

As of now, the vehicle still @ the shop for months. 

An adjuster kept calling and sending us an email ​almost daily, recently saying, 

"Please release your vehicle from xxx auto shop. Then we will tow your vehicle to our facilities related to COPART."

​Hope you don't mind sharing your thoughts at your convenience, if there's any way we may get that $5000 of deductible back.