Blue Book

AAA

DEFINITION of 'Blue Book'

A guidebook that compiles and quotes prices for new and used automobiles and other vehicles of all makes, models and types. Formally known as the Kelley Blue Book, it was originally only available to those in the automotive industry, but both a consumer edition and an online edition was made available in the 1990s for the general public.

INVESTOPEDIA EXPLAINS 'Blue Book'

The blue book has become the premier appraisal guide for vehicle price quotes in North America. Auto insurance companies frequently use the blue book as a benchmark for assessing the market value of a car that has been involved in a collision in order to determine whether it's worthwhile to fix the car or whether it should be written off as a total loss.

RELATED TERMS
  1. Cash For Clunkers

    A program that allows car owners to trade in their old, less ...
  2. Actual Cash Value

    The amount equal to the replacement cost minus depreciation of ...
  3. Appraisal

    A valuation of property (ie. real estate, a business, an antique) ...
  4. Benchmark

    A standard against which the performance of a security, mutual ...
  5. Lien

    The legal right of a creditor to sell the collateral property ...
  6. Premium

    1. The total cost of an option. 2. The difference between the ...
Related Articles
  1. Home & Auto

    5 Insurance Policies Everyone Should Have

    Insurance policies come in a wide variety of shapes and sizes. Shop carefully and the right policies will go a long way towards helping you protect your assets.
  2. Home & Auto

    Used Car Shopping: How To Avoid A Lemon

    Being prepared before buying will save you thousands in the long run.
  3. Home & Auto

    New Wheels: Lease Or Buy?

    These two major ways to obtain a car have very different advantages and drawbacks. Find out which is best for you.
  4. Options & Futures

    Top Tips For Cheaper, Better Car Insurance

    Accident, theft, vandalism - make sure your coverage will protect you when you need it most.
  5. Retirement

    Extreme Commuting: Is It For You?

    Americans are spending more time behind the wheel - find out what's driving this trend.
  6. Options & Futures

    Your Car: Fixer-Upper Or Scrap Metal?

    Sometimes buying a new car can be cheaper than shelling out for repairs.
  7. Chart Advisor

    Profit From Holiday Spending With This ETF

    As Americans finish purchasing the last of their holiday gifts, the consumer discretionary sector will continue to be one of the primary beneficiaries.
  8. Chart Advisor

    'Tis The Season For Food And Beverage Stocks

    The holidays tend to be a gift to investors in defensive consumer stocks. Here's a food and beverage sector ETF (and its top holdings) to consider
  9. Insurance

    Who are the best-rated auto insurance companies in the US?

    Learn which U.S. auto insurance companies have the best consumer ratings and who is eligible to purchase auto insurance from these companies.
  10. Savings

    How does a cost of living adjustment (COLA) affect my salary?

    Learn how employers add cost of living adjustments to workers' salaries to offset the effects of inflation or to aid in a lateral move.

You May Also Like

Hot Definitions
  1. Scarcity

    The basic economic problem that arises because people have unlimited wants but resources are limited. Because of scarcity, ...
  2. Trust Fund

    A trust fund is a fund comprised of a variety of assets intended to provide benefits to an individual or organization. The ...
  3. Christmas Tree

    An options trading strategy that is generally achieved by purchasing one call option and selling two other call options at ...
  4. Christmas Club

    A short-term savings account that usually pays out the full account balance to its account holders once each year, right ...
  5. Boston Snow Indicator

    A market theory that states that a white Christmas in Boston will result in rising stock prices for the following year. For ...
  6. Christmas Island Dollar

    The former currency of Christmas Island, an Australian island in the Indian Ocean that was discovered on December 25, 1643. ...
Trading Center