Think of this as buying a used car only in reverse. Seriously, you should counter-offer them, because not only will they budge, but they are expecting a counter-offer. If they say $9K tell them you absolutely need $12K and maybe they will meet you in the middle at 10.5K. I did this with a pickup I totalled, and although I didnt get a lot more then they were offering, I did get enough to pay the truck off and keep a few hundred bucks afterwards.