For 13 years we had a 1995 Mercedes E300 Diesel as our family/travel car. Super comfy, super thrifty, and super dependable. One day, a couple of years ago, my wife took the car to work, and a truck swiped it slightly while it was parked. The left taillight was broken, the bumper cover was cracked, and there was some minor damage to the left quarter panel. With $212K miles on the clock, it was only worth $3,650, and it would have been a total, leading to a salvage title. Therefore, we kept the damage about $50 below the value of the car (working with the adjuster), so they cut me a check for $3,600 and I kept the car with a clear title.
I bought a used taillight via eBay, had another used bumper cover painted to match, and sold the car for $2,900 with slight body damage to somebody who really wanted it. The money I got from the insurance ($3,600) plus the money I got for the car ($2,900) was enough to buy our current family car, a 2012 model.
My advice: check the numbers and make 'em work in your favor.