Vehicle value is pretty much inconsequential in their risk assessment, the damage to other vehicles, property, personal injury claims, claims for permanent disability and all the false or inflated ones encouraged by the Ambulance chasers is the vast majority of their liability, its why there is relatively little difference in fully comp & third part only insurance premiums, there is a much bigger gap in my country where the claims culture does not exist but the Third Party liability remains the greater part of the risk assessment and premiums.
Even when insurers pay out on say a £10K vehicle their loss is far far less, the excess is deducted, they will get up to 60% back guaranteed from salvage dependant on the category without any costs, the deal is done globally in advance with the salvage yards according to category, there is no negotiation on individual vehicles, they recover or collect them, store them, allow access to examiners then have to pay a fixed percenteage when they are "cleared" by the insurers.
The insurers then cancel the remaining term of the insurance without refund of premium and will charge the client more for many years to come on their subsequent vehicle(s), they move to another company who will do the same and the ex clients of that company will move to another possibly the first one, its a merry go round where they always win.