If you vehicle is totaled in an accident and the at fault party's property damage liability will normally pay you actual cash value (ACV) for your vehicle, up to the limits of the policy.

So if the ACV of your vehicle is under their maximum limit of $5000 then your car would receive the full amount, i.e. ACV is $4500, you receive $4500.

If instead your vehicle's ACV is above their limit of $5000, you only receive the $5000.For excess above the at-fault party's $5K limit you may want to see if you have the right to go after the at-fault party personally. Some settlement releases state that you cannot go after the insurance company or policyholder for more monies.

If you have your own underinsured motorist property damage (UNDPD) you could place a claim under this to see if your limits under this policy could make up the difference of the value of your vehicle. Or if you have collision coverage you may instead want to place a claim under this instead of going through the at-fault party's insurance with the low $5000 limit.