How to determine diminished value? First you need to understand what diminished value is. Diminished Value is the sudden and unforeseen loss of value of a vehicle due to having sustained collision damage and subsequent repairs. This is not to be confused with normal depreciation that occurs to a vehicle over time.
Consumers generally believe that a vehicle damaged by collision will never be the same and has a stigma that renders it less valuable than a similar vehicle with no damage history. Most states requiring disclosure of collision damage, airbag deployment, significant refinish work, as well as consumers having access to vehicle history reports; a vehicle’s damage history will follow the vehicle wherever it goes.
Diminished Value Qualifications Checklist
Is your vehicle’s diminished value claim worth pursuing? Let’s find out. Just answer these three simple questions:
1. Is your vehicle less than five years old or worth more than $10,000? YES
Generally, the more your vehicle was worth before the accident, the more value the vehicle has lost.
2. Was the damage more than $2,000? YES
Generally the greater the damage to your vehicle (even if the repairs were done to industry standard),the greater the diminished value.
3.Did the accident happen within the last 4 years? YES.
Many States allow several years to make a claim for diminished value.
If you answered YES to all of the above questions then you problly have a claim that’s worth perusing. Use our NADVA diminished value calculator to determine the diminished value your vehicle has lost.
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