Happened to me as well, NYS insurance, no fault (hit & run).
Detail it before you get your estimate.
Modifications like the 617 don't count.
NADA value:
http://www.nadaguides.com/default.aspx?LI=1-22-1-5013-0-0-0&l=1&w=22&p=1&f=5014&y=1982&m=1115&d=4206&c=14&vi=76707&da=-1
My 240D took a harder hit, trunk lid folded, dented back panel, right tail light punched into trunk, quarterpanel around right taillight dented a bit. box sections in the bottom of the trunk mashed for the last 2".
$3-4k was the quote for a rear clip, trunk lid & paint. (cut the back off, weld on the back of another car). Junkyard & adjuster may have no idea that rear clip from 240D and 300D are the same.
I was valued at $1800 with:
DMV thought it was 85 (greymarket)
existing dents in both 1/4 panels
tired paint, interior, cracked dash
dash guts hanging out, messy car.
no rust.
I don't see anything that you can't fix with a trunk lid, a puller, bondo & paint. Getting the sill plate on the back edge of the trunk right will be hardest part. Get a few estimates, document value, politely reject & rebut lowballs. Find comparable cars, (240D that is actually clean, good motor, picture with blue moon & flying pig in background) & document value.
I took the money (1850-500-100 salvage)
I bought:
77 300D some rust, sharp interior, bad motor, for replacement trunk lid (project list) ($500)
Neighbor (20+ years in body) & son worked the back over w/ hammers so trunk shut & tail light fit, shape ok for bondo ($100).
616 motor, 240D trunk lid & rear clip, a little rust but clean enough to get parts me & neighbor need to repair (project list) ($350)
I should have bought an 83 300D, some rust, rough interior, spooky klima & electronics, good runner, 2 tank grease kit. Coulda had it for probably $750.
Balance to food & shelter.
If you're inclined, the curious will follow your story here.