Why You Should Bother Filing a Diminished Valued Claim for Your Vehicle

What is diminution in value anyways? Quickly put, when a vehicle has been damaged and repaired the diminished value is the portion/amount/percentage of that vehicle’s value that is lost and not restored by the repair process. Typically, owners of exotic cars or luxury vehicles are the ones that are filing for a diminished value claim—and getting it. They usually have a better understanding of what their car can be sold for or will be worth, whereas the average car owner doesn’t or maybe thinks it’s too much trouble trying to face an insurance company. Not that they would be wrong necessarily. Insurance companies aren’t known for being easy to work with or effusive with funds. The thing is—everyone should apply, whether they own a 2010 Honda or a 1968 Fiat Dino. Here’s why:

It’s your right.

When you purchased that vehicle you spent your hard earned money to buy a car that you would use, possible re-sale, and you also paid insurance to have options should something happen to that vehicle. So why would you settle on having a repaired vehicle that you won’t be able to resale for the type of value it would ordinarily receive?

Insurance companies will try pretend they don’t know what diminished value is or that it doesn’t exist and that your vehicle wouldn’t be worth much anyway, but that’s their job. The adjuster has to get you not to file or pursuit a claim and you shouldn’t expect anything else, because you’ll believe it and not ask. Your job, on the other hand, is to fight for your rights, and our job is to help you.

Getting the most out of your vehicle

We’ve been doing this a long time. We’re experts in creating air tight reports that will make your case for you. We’re not “googling” a few sites and then trying to slip it past an adjuster. This is our business. We can help you make a solid claim that will get you the money you deserve. You paid for the vehicle. You paid for the insurance. It’s time for them to do what you paid them to do, and that’s provide you with the correct value of your claim.


How To Find A Diminished Value Appraiser and Why You Must Buy A DV Report

The first thing in finding a qualified appraiser is to find out if the DV appraisal is USPAP compliant, if it passes the Daubert standard of evidence, if it passes IRS comps test for ACV. Most reports either do instant formula based diminished value appraisals or they use a debt to car value ratio which is right for ACV and for normal appraisals but not for market valuations of a vehicle. The model act under NAIC says that a percentage of damage cannot be used to calculate diminished value amounts which is what 80% of companies do, the other 15% use automation, instant reports but it is ok you get what you paid for $9.99 to $35.00 reports is up your ally. If you are so unlucky to find an adjuster that is having a bad day they won’t only laugh at you but call you on fraud. Please, remember when you get free estimates to try to negotiate yourself you are letting the adjuster know: I am to cheap to buy a report and am willing to accept anything you offer. Do the smart thing, get an appraisal so you can get paid and don’t try to do everything yourself? This frame of thinking only causes you problems with the insurance company in the end.