Don't be left in the dark about your vehicle's diminished value
Unsure if you're entitled to a diminished value claim? We've assembled some vital questions with the answers you need.
What types of diminished value are there?
- Repair Related Diminished Value - Caused when the repair shop that made the repairs to your vehicle does not complete those repairs perfectly. If, after the repairs are completed, it is obvious that the car has not been repaired properly (i.e. tapelines, color match problems, poor alignment of sheet metal, frame or uni-body alignment problems) then your vehicle has repair related diminished value. The amount of repair related diminished value is determined by the overall quality of the repairs. If the repairs are of very poor quality and the repair related diminished value is substantial you may choose to consider legal action against the repair shop.
- Inherent Diminished Value - The actual retail cash value that your vehicle has lost due to the damages that occurred in the loss. This is the amount that your vehicle was worth just prior to the loss less the value just after the repairs are completed. Most vehicles that have sustained damages due to a collision will have Inherent diminished value.
- Claim Related Diminished Value - Caused from repair operation omissions or when the insurance company does not allow the shop to do what is necessary to repair the vehicle properly.
Am I eligible for a diminished value claim?
In many states, you may be entitled to file a claim for diminished value on your vehicle if you have been involved in an accident that was not your fault. To determine if you are eligible please contact us.
What types of vehicles are eligible for diminished values claims?
Diminished value claims can be made on all types of motor vehicles including:
- Passenger vehicles of all varieties
- Commercial road vehicles of most varieties
- Motor homes and motor coaches
- Motorcycles
- Boats
Who is working for me?
The consumer is usually pitted between the insurance company's need to minimize its losses and the repair facility's need to make a profit. In fact, many body shops are now working directly with insurance companies in what is called a Direct Repair Program. These DRPs are controlled by the insurance company and dictate to the body shops how the repairs will be completed. The consumer needs an unbiased third party to assure that the repairs to their vehicle have been completed properly and the owner has not been shortchanged in the repairs.
Can I file suit against the body shop if my repairs are not completed properly?
You can contact an attorney in your county to determine if your claim warrants a legal case.
How do I recover my losses?
To recover for diminished value, you should have an assessment of your losses on your vehicle. Therefore, you should have a diminished value appraisal done on your vehicle as soon as possible after the repairs are completed. Once you have received the DV report, you will send a copy of it to the insurance carrier with a 10 day letter to respond to your request for reimbursement.
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