Car diminished value refers to a loss in value of your car resulting from an accident. Basically, it is the difference in your car’s market value before and after an accident. This is recorded as a loss for the owner of the car that was in the accident. Sometimes though, they can get compensation from insurance companies to cover the loss by filing car diminished value claims. But when and how do they qualify to do so?
When Can You File A Diminished Value Claim?
You should only file for car diminished value claims if you are not the at-fault party in the accident. If you are, the possibility that your claim is accepted will be very low. If the other driver is insured, then you should reach out to his insurance agency and file the diminished value claims.
Time is also for essence when filing a diminished value claim. It should be done as soon as possible. Since events will still be fresh in the mind of all concerned parties, it would be easier to get your claim accepted. Waiting also does more damage to the value of your car by reducing it.
How to File A Diminished Value Claim?
Before filing a diminished value claim, you must get yourself acquainted with the insurer’s rules on doing so. This way you avoid any loopholes and are informed of all that is required of you.
You might also need to produce evidence like photos of the accident scene with both vehicles in it, documentations to show the repairs made on the car after the accident. So, make sure you have them ready.
Next, is stating your car’s fair market value. This should be gotten from valid sources like the Kelly Blue Book or other reputable and recognized ones. You’d also need to have your car appraised, preferably by a certified appraiser or a dealership so the report can be valid. The car appraisal is one of the most important steps to take if you want your claims accepted.
It is very important that you pay close attention to all that the insurance company requires of you as doing so is key to having your claims validated. Many have had the value of their claim greatly reduced or even legally refused because they made errors while filing for it.
It is even advisable to get a qualified lawyer who has prior experiences in such matters to serve as an intermediary between you and the at-fault insurer’s company. Although, while this greatly increases your chances of filing a successful diminished value claim, it might lengthen the process, not to mention making it more expensive.
It is noteworthy that filing for diminished value claims can be burdensome as the responsibility of proving your car’s value rests solely on you. With the right help though, you can get the job done and get the compensation you deserve.