Deminished value

I'm looking to learn about diminished value unfortunately. I've searched the internet with little answers found. I'm mainly looking to learn what is a fair amount and how to get more if the insurance co doesn't give what I consider a fair amount. Also thought this would be a good thread for people to learn from since I haven't seen any on this before.

About the only thing I can think to do is have my truck appraised now that it's repaired and then tell them about the damage and see how much value it loses. But of course that's would be trade in value and not retail unless dealers would give a retail appraisal?

I'm not just trying to get a check out of this but to get what is fair. I mean I know that when I look at a used vehicle and see that it has been involved in an accident I just move along to the next one so I figure that's how mine will now come off to others. Why should I lose value in my truck because of someone else's mistake of not paying attention? So I'd just like to get what's fair. So any input from others that have dealt with this will be greatly appreciated.

I was basically rear ended while sitting on an exit ramp by a driver that admitted he wasn't paying attention. I was lucky that he did swerve and not hit me straight on or it could have been ugly.

I haven't received an offer yet but want to be prepared on what to do and or say. An appraiser just looked at my truck today. I've been as pleased as possible with his insurance co. so far so maybe I'll be surprised but figure it won't be enough in my book. One of the things I love about this truck is the way they hold there value and feel like I've lost some of that. Anyway I'll stop rambling and wait to see what others say. Thanks.

 

DV depends on the amount of damage to your truck. If there is frame damage the DV is definitely a lot more. If it's just a bumper there likely isn't any DV but there could be an argument it will show on CARFAX. The issue is likely 50% of cars on the road have been in an accident but not all show on CARFAX.
Another thought I do believe you can only claim DV on a car one time in Georgia so if you do get DV make sure it's worth it.

 

Not sure about the one time part but is just more reason to get a fair amount. They did offer $1300. Was $4300 in damage. Replaced the bumper, bedside, tail light, the pillar inside the bed at the tail gate, and had to repaint the tail gate. No frame damage. So far I'm happy withe repairs.

As for the dv, I took it to carmax to get a trade in appraisal and was offered basically 3k less than what the insurance says it's valued at and by kbb which seems to be what they're going by. It was actually 4k less but based on the aftermarket wheels and tires which according to carmax gives me 1k less noses I put to oem back on because they won't sell it with aftermarket.

I faxed a copy to the insurance to try to up the offer and they claimed it meant nothing. I know I won't get the whole 3k but would be happy if they'd bump it to 2k. I feel like that's fair. Not sure what the norm is? I've had a couple people tell me if I could get them to 2k to take it though. Can't hurt to try I guess?

To me it has nothing to do with the amount of damage but only the amount of value lost. That's why I wanted a Toyota, because of how these trucks hold value and now a chunk of that is gone and not at my doing.

For what it's worth I was told by a Toyota used car salesman that I can no longer trade this truck in as a certified pre owned which loses me $1500 in trade. Just another reason I want a better payout. The insurance wanted something in writing on that and of course the salesman wouldn't give me anything. Can't blame him, just seems that if this is true I could get something to prove this without holding this particular salesman responsible.

On the flip side to all this, maybe I should just take the $ and be happy since I still plan to keep the truck for a long time. That was the plan when I bought it and since the damage was all cosmetic I'm not worried about the truck.

Thanks for chiming in, had gave up on anyone posting by now. Seems that there would be more interest on this subject for general knowledge but then again with the fact that not all states have DV I guess a lot don't care.

 

I'm not totally sure I'm following this story or not..... You were rear-ended = NOT YOUR FAULT.

You said the damage is $4300?? They're only offering you $1300 in repairs? Isn't your insurance company helping you get full amount?

I've had my fair share of accidents (not my fault).... and here's some recommendations:

First off - You should never deal with the other insurance company. YOUR insurance company should be the only ones dealing in the situation and 'fighting' with the other insurance company to get you your full repair costs.

Unless of course...You've decided NOT to report it to your insurance company. Then.....you're on your own. You can't complain about the outcome since you've decided to avoid the legal system.

What happens is (when you report it to your insurance company)...neither insurance company wants to pay for the repairs. Your insurance company will negotiate / fight to get the other insurance company to pay for full (or even partial) repairs. If they can't agree on a settlement (so to speak).... the case will go into arbitration. A 3rd party (unknown) insurance company will come in and look at the case and make a decision of 'who's' responsible for the repairs (and/or percentage of repairs).

Ultimately, whatever decision the 'arbitration' ends up with, is what the other insurance companies have to do to pay out.

 

Janster the truck has been repaired and paid for by his insurance co. Even paid for me a rental during that time. Diminished value is a cash payout to compensate for the loss of value of the vehicle since it is now listed as such on auto reports such as carfax. Not all states have this and surprisingly a lot of people don't even know about it. I'm just trying to collect a fair amount to cover the difference that I've lost in value. According to carmax I've lost 3 grand due to the accident, insurance only says $1300. It's not an exact science though. Hope this clears it up.

 

Wow...Never heard of that before. Is that a state law?? I mean....are insurance companies required to pay it?

Insurance companies want to 'wash their hands' after a claim is paid off. I can't imagine they'd pay out more money 'after the fact' unless there was a law requiring it.

 

They do have to pay it if you ask for it. As I said not all states have it. But the amount is negotiable. As I've read into it there is no exact way to calculate it and each insurance co has their own method of doing so.

 

If you have severe damage it's usually 10% of the value of the vehicle and goes down from there. No major damage it's usually 2.5% of that 10% etc. Each company has their own formula but if you go into a dealership they will over quote DV. They will tell you it loses $2000 in value and after you trade it in they take off less than $1000 to sell it again.
This is from Texas but shows the standard formula.
http://kielichlawfirm.com/insurance-companies-calculate-diminished-value-claims/