Diminished Value

Two cars for sale. Which one would you buy?

2009 335Ci
12,000 miles
Never Been Wrecked
$39,990

OR

2009 335Ci
12,000 miles
Recently had $9,900 in collision repairs
$39,990

What is Diminished Value?

The difference between the undamaged vehicle and the damaged one is the Diminished Value – this is a recoverable loss under the laws of most states:

The basic concept of a tort is that the negligence of one or more individuals has lead to loss or damages of another. It is a general rule that the law of torts attempts primarily to restore the injured party to as good a position as he held prior to the tort.

If you are not the at-fault driver in an auto accident, you may be able to collect for the loss in value of your property after it is repaired. While many insurance policies have written “Diminished Value” out of the policy (with no reduction in your premiums, mind you) for collision and comprehensive coverage, you are still entitled to collect “DV” from the at-fault driver. Obtain a “Diminished Value” appraisal once repairs are complete and submit a claim to the at-fault driver’s insurance company for payment.

For more information click Collision Consulting in the above menu, or go to the Collision Consulting website.