How to File a Diminishment of Value Claim for Your Car

If you have been in a car accident and it was not your fault. You not only have a right to getting the damages to your car paid by insurance, but you also have the right to be compensated for the difference in value of your car before the accident versus after the accident.

Difficulty: Easy

Instructions

Things You'll Need:

• You will need the value of your car before the accident
• You will need the invoice of all the repairs done to the car after the accident

1. You've been in a car accident(no one was injured) and the accident was not your fault. But, your car was damaged and will need to be repaired. You obtain the insurance information from the other party and give them your information. Even though it was not your fault, the other party is entitled to it.

2. You call the insurance company of the driver who caused the accident. tell them what happened. They will send out an adjuster to see how much damage there was to your car.

3. The insurance company may suggest a car repair company. But, use your car manufacturers repair shop. You do not have to use the one suggested. The insurance company will also pay for a rental car.

4. Once you get your car, get a copy of all the repairs and an itemized list of all the costs.

5. Now, you have several options. If your car was severely damaged and fairly new or had low mileage. Go find a car you would like to buy and see what the dealership says the trade in value is of the repaired car.(Tell them about the damages and how much of the car had to be repaired. )

6. You've been in a car accident(no one was injured). However, your car was damaged and will need to be repaired. It was not your fault. You obtain the insurance information from the other party and give them your information. Even though it was not your fault, the other party is entitled to it.

7. You can go and trade your car in and buy a new car or used car(non damaged is best). Then, call the insurance company and tell them that you will be filing a diminishment of value claim.

8. Ignore the insurance personnel's response. Which could be negative. Package up all the information. The costs of repairs, how much you were given for the trade in, compare this number to the Blue Book Value of your old car if had not been damaged.

9. Explain that you got x amount for trade in and the Blue Book Value for your car before the accident was y. Then, tell them you want the difference between x and y. Send all the information by certified mail.

10. You should receive an offer from the insurance company in a month or less.
    It's your decision to try to negotiate the figure up or not. In my case, I took what they offered me and I got a check in 3 days.

Tips & Warnings

• The newer your vehicle is when the accident occurs and the extent the damage determines how much you will be reimbursed.
• Don't bring this up to the insurance company until your car has been repaired and the insurance company has paid for the repairs.

[NightowlMama]

on 7/11/2009 no kidding thanks for the tips

[saburnham]

on 6/29/2009 My car was totaled. Am I entitled to diminished value as well as the totaled amount for my car. Would it matter if I bought my totaled car (which I have been driving since the accident and doesn't look like it is a totaled vehicle, has no frame damage? Can I still get a dimished value check?

[CaseyCarlton]

on 4/4/2009 Very good article. I didn't know about this until recently. 5 stars

[lacy2430]

on 1/13/2009 Very helpful information.

[momsrule]

on 1/13/2009 Thanks for the comment. You bring up a good point. In my scenario, the accident wasn't my fault. So, I was dealing with the other person's insurance company. I brought the issue of my filing a claim for the loss of value after my car had been "fixed", paid for by the insurance company and in my possession.