Well, not exactly. Indiana law says that if a vehicle is considered a total loss, then the claimant is entitled to receive fair market value for their vehicle. That would mean the value of the vehicle immediately before the crash occurred. If you have a loan on the vehicle that is higher than the value of the vehicle, you can be in a real tough spot. You would not be entitled to receive enough money to pay off the loan and would still be obligated for the difference between what is owed and what you received for the total loss of the vehicle.