When to File a Diminished Value Claim
When is it appropriate to file a diminished value claim? We’re sharing everything you need to protect your assets and get what you deserve.
Insurance is essential for the operation of your vehicle but what happens if you do happen to experience an accident yet the insurance company doesn’t quite cover the cost of the full damages?
The damages in meaning include covering the cost of the vehicle even after it’s repaired. If you had a new vehicle, for example, and were in an auto accident then you may only be entitled to the basic repairs.
So what happens when you later want to sell the vehicle? Those damages show up.
A diminished value claim helps you recoup the costs which incur during the automatic loss of an auto accident. Few car insurance companies even help their customers understand these options are available!
This results in the vehicle losing a significant amount of value.
A diminished value claim protects the value of the vehicle so if you decide to sell it at a later point then you’ll be able to recoup the costs since many individuals prefer to buy vehicles with little or no prior incidents.
Submitting a Diminished Value Claim
The process of submitting a claim does need you to take the necessary steps to repair the car.
Afterward, you have options. The following is how you’d go about filing the claim from the beginning to end.
- The vehicle must be repaired so that you’re able to compare the value of the vehicle prior and after the accident. This is a time which you’d want to contact your insurance company to make sure you’re taking the necessary actions to move forward with your claim.
- The secondary set of actions is to review and research the insurance coverage and the value of the car before the accident. There’s not much you can claim if you’re outside the ability to do a diminished value claim. Know the approximate value, mileage, and condition of the vehicle to send off to the insurance company to maximize value. It’s now, too, that you’d want to get a written estimate of the value and its trade-in value.
- Get in touch with the insurance to present the pre-cost and post-cost value of the auto and repairs. This is also the point where you may want to contact an attorney since many insurance companies will try to resist.
- Consider taking the claim to small claims court if they’re being resistant. You’re the one within your rights so don’t be a push-over. Visit the court clerk’s office to get the process started. Filing a claim can end up being thousands of dollars coming back to you if you’ve covered your basis and win in this situation.
A vehicle that has sustained damage from an accident will have a lower value when you go to resell. Costs can be recouped by claiming diminished value — something that few insurance companies are ready to admit nor the public generally acknowledges.
They’ll even put up a fight which makes it worth fighting for.
A diminished value claim can make all the difference in the value of your vehicle after an indecent. Fight tooth-and-nail with the auto insurance company to protect your claim because it is you right.
You may need to file a diminished value claim letter to see results. This is where an attorney comes into play.
Know your rights. It’s your capital that’s on the line.
Have you ever needed to claim a diminished value claim? What was the experience? Share it with a comment to help others, below.