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When you say you cleaned your injectors, was that with a bottle or by removing the injectors? In the past I've seen plenty of B21s in need of new injector O-rings- these get brittle with time and allow false (unmetered) air into the combustion chamber, and throw the whole system off. If you haven't pulled the injectors and replaced all 8 (2 per injector) I'd do it once the insurance claims are settled.
If the problems are centered on the front end, I'd consider letting the insurance company total the car. If the body of the car is in good shape, and we know the front end is repairable, I'd investigate how uptight the salvage inspectors are and think about collecting the money, fixing the front end, and re-registering the car. I wouldn't worry about resale value as there isn't much on a 1980 240. Anyone interested in the car either wouldn't care about the salvage title, or would be Volvo-crazed enough to understand the whole story...
-Dylan
ps if you decide to total the car, don't take their first offer. I asked the other driver's insurance how to dispute their offer of $2500 on my '88 745T w/160K. They called back offering $3500. I paid $2600 a year and 30K miles earlier. First time I made money on a car. I almost feel bad about it.
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