What is Diminished value? And why is it important?
After a vehicle has been involved in an accident, the value of the vehicle drops due to having structural or mechanical damage. This drop in value is known as diminished value. This drop in value is usually associated with damaged cars having problems down the road, or not having the original parts that they came with from the factory. For example, a front-end Collision on a vehicle may only need a new panel now, but later on the vehicle may have serious alignment issues. So if you were to take two identical vehicles that are the same make, model, and year but one was in an accident and one was not, you would expect to get much less for the vehicle that was in an accident. Even with quality repairs done, an accident on a vehicle’s history report can be a big red flag when it comes time to let go of your vehicle.
What is Diminished Value?
Diminished Value is the difference in value between a vehicle with an accident history, and the same vehicle without an accident history. This is also known as"Loss of Value".
Will my insurance rate go up?
Not if the other party was at fault. The money is collected from their insurance company, not yours.
Who pays Diminished Value?
The insurance company is responsible to pay Diminished Value. Diminished Value is paid from the other person's insurance company. However, in a first party claim, some insurance companies disallow Diminished Value claims. Refer to your policy for details.
Is the claim really worth pursuing?
Yes. The insurance industry would hope you didn't. However, our experience shows that if you have a professional company representing you in your claim, you will most likely end up collecting.
What does Amloss do?
Amloss handles your entire claim for you from preparing the estimate of your damages to negotiations with your insurance company, all the way through the disbursement of your settlement.There are no up-front costs to you and AmLoss pays for all expenses associated with your claim. You truly have no risk and nothing to lose by letting AmLoss get you the money you legally deserve.
The insurance company says the vehicle has been repaired properly, and as a result, not suffered Diminished Value. Is this true?
No. The vehicle is still worth less regardless of it being repaired properly due to the accident. The fact is, you cannot sell it for the same amount as a like vehicle which has not been in an accident. And no dealership will take it in as a trade in for the same amount. Insurance companies have tried to avoid paying on Diminished Value claims for years and they do and say whatever will justify their position.
I was not at fault from the accident, is my vehicle still worth less?
Yes. Whether or not you were the cause of the accident, once a vehicle has been involved in an auto accident and needs repairs, the value of the vehicle drops no matter who was at fault
Can I still collect diminished value even after my vehicle has been repaired?
Yes you can. When it comes time to sell your vehicle, it will still be worth less no matter the quality of the repair. With that being said, you are still entitled to compensation
What happens if the diminished value cannot be recovered?
If we are unable to get you your diminished value, then you won’t owe anything.