Auto Insurance Question - Diminished Value

[UncleCharlie]

I bought my wife a new SUV about two weeks ago. On the 2nd or 3rd day the car was driven, she was rear ended in the school parking lot while picking up my kids.

A few people have mentioned exploring 'diminished value' to me but I have no experience with it. I do know that her car we traded in was dinged with a bad car fax report because of a similar type accident and cost us some money on trade.

Curious to hear your guy's experiences or thoughts and thanks in advance.

[Roy D Mercer]

one factor will depend on how much the damage is to your vehicle?

[TAB Outdoors]

As an agent, companies will not typically pay for the diminished value of a vehicle. You can definitely ask, but most of the time when it is paid, they had to get a lawyer and sue for it to settle on the value. Worth discussing with the adjuster!

[UncleCharlie]

Thanks for the information. I didn't think it was likely but wasn't sure of how often it occurred as I didn't know a lot about it. It's a new bumper plus some plastic underneath on an X5. 2500 or so in repairs. It just sucks that a 3 day old car got dinged.

I guess I should be glad that they had insurance and are willing to make the repairs.

Thanks again!!

[AntlerMax]

Check out this website article...

https://www.carprousa.com/How-Do-I-Collect-My-Diminished-Value/a/377

[airehead]

USAA told me about diminished value payment when my wife had a hit and run last month they sent the paperwork to me to fill out
Do not know what the outcome will be
Guess it depends on Insurance carrier


Ron

[RBSOLD]

I used to do diminished value reports all the time when I was a used car manager. I simply appraised the vehicle as if it had a clean car fax, and again as if it had a dirty carfac(as it eventually will when the insurance company closes the claim). Typically in my experience, the customers would tell me it was like negotiating a car deal. I would give them the appraisals, and let’s just say I had it for $2000 difference in appraisal value. Well, the insurance co. Would offer $500. Typically customers would wait it out and get $1000-$1500 back from them. I wish I knew more about the process to help, this just came from the customers I helped out.

I even had insurance agents call me to talk about it. Wish I had a law degree, I’d specialize in these... hah