diminished value claim

[cerbo]

Looking for any advise not knowing the insurance business as well as some may.
2024 BTS, hit while parked. Cosmetic only (bumper, grill, and apparently everything in the bumper for no reason as far as I see). $3500 estimate went to almost $10K . aurtbody and insurance worked together. Paid $500 deductible only to find out a hit and run can go under uninsured motorist. They sent me $300 out of the $500 due to that. Truck fixed, perfect. Now I ll have a diminished value vehicle. Called a company that files these claims for people for a small fee. They said they are looking at $8-10K payback to me. They said it s all part of the same claim. I have 3 cars and a home insured. Clean driving and accident record . Is this wise and will this cause more light to be shed on my rates or likelihood of being dropped? What else am I missing? That s a lot of money even if it was negotiated down a little. This was such a minor hit that has got out of hand with the crazy auto body bill. I posted a thread when it originally got hit. Trying to decide. Thanks all.
before and after pics.

 

[HSKR R/T]

Looking for any advise not knowing the insurance business as well as some may.
2024 BTS, hit while parked. Cosmetic only (bumper, grill, and apparently everything in the bumper for no reason as far as I see). $3500 estimate went to almost $10K . aurtbody and insurance worked together. Paid $500 deductible only to find out a hit and run can go under uninsured motorist. They sent me $300 out of the $500 due to that. Truck fixed, perfect. Now I ll have a diminished value vehicle. Called a company that files these claims for people for a small fee. They said they are looking at $8-10K payback to me. They said it s all part of the same claim. I have 3 cars and a home insured. Clean driving and accident record . Is this wise and will this cause more light to be shed on my rates or likelihood of being dropped? What else am I missing? That s a lot of money even if it was negotiated down a little. This was such a minor hit that has got out of hand with the crazy auto body bill. I posted a thread when it originally got hit. Trying to decide. Thanks all.
before and after pics.

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Unless you planning selling the vehicle within a couple years, I personally wouldn't worry about diminished value claim.

It was repaired back to "like new" status for insurance purposes doing diminished value might also cause insurance company to power their valuation o your truck, should you have any future claims, which would lower the amount for it being a total loss and also reduce the amount they will pay out for total loss

 

[cerbo]

it s already has the lower value due to the car fax (even as far as insurance co I guess)..... they can t double bang me on that. I d probably get less on a total already from them, no?

 

[RebellionisDuty]

If you decide to pursue this, check out

Diminished Value Appraisal Reports | Free Estimate | DVCHECK

They negotiated a higher settlement for me. Insurance wanted to give me $3000.00. Dvcheck got me another $4500.00. They do all the work, provide you with a packet for the insurance company, and negotiate on your behalf.

You can do the same thing. Get two or three comparables before and after repair. Go to something like Kelly Bluebook and enter the vehicle twice. One selecting without an accident and then after.

In the packet is a letter stating they'll go into a courtroom with you. Mine didn't come to that.

Best $250.00 I ever spent.

 

[cerbo]

Autoloss - National Diminished Value Auto Appraisals

Auto loss provides Diminished value automobile appraisal services. Get a fair insurance settlement for your diminished value or total loss claims.

autoloss.com

If you decide to pursue this, check out

Diminished Value Appraisal Reports | Free Estimate | DVCHECK

They negotiated a higher settlement for me. Insurance wanted to give me $3000.00. Dvcheck got me another $4500.00. They do all the work, provide you with a packet for the insurance company, and negotiate on your behalf.

You can do the same thing. Get two or three comparables before and after repair. Go to something like Kelly Bluebook and enter the vehicle twice. One selecting without an accident and then after.

In the packet is a letter stating they'll go into a courtroom with you. Mine didn't come to that.

Best $250.00 I ever spent.

Autoloss - National Diminished Value Auto Appraisals. they told me $350 to do it all. but some may say their best estimate on damages are high.

 

[cerbo]

If you decide to pursue this, check out

Diminished Value Appraisal Reports | Free Estimate | DVCHECK

They negotiated a higher settlement for me. Insurance wanted to give me $3000.00. Dvcheck got me another $4500.00. They do all the work, provide you with a packet for the insurance company, and negotiate on your behalf.

You can do the same thing. Get two or three comparables before and after repair. Go to something like Kelly Bluebook and enter the vehicle twice. One selecting without an accident and then after.

In the packet is a letter stating they'll go into a courtroom with you. Mine didn't come to that.

Best $250.00 I ever spent.

any repercussions from the insurance company.. mine was a hit and run (which is under uninsured motorist) so they have no other to go after???

 

[RebellionisDuty]

any repercussions from the insurance company.. mine was a hit and run (which is under uninsured motorist) so they have no other to go after???

None at all.

Also, depends on your state laws. Check those on DV. My state has a law that they had to pay my demenished value. Don't get in a fight you can't win.

I think they came in at $14k. Final settlement was over $9k. Actual cash value is subjective. Art of the deal.

Try Carvana and KBB. You'll get an idea of how much that accident is going to cost you. If you feel it's worth $350, it's worth a shot. Make sure to run the vehicle as a private sale. That's higher than trade.

 

[HSKR R/T]

it s already has the lower value due to the car fax (even as far as insurance co I guess)..... they can t double bang me on that. I d probably get less on a total already from them, no?

I'd bet your insurance premiums won't go down due to diminished value. Which, if insurance was insuring it at the lower value, they should.

 

[scottmoyer]

You can't file diminished value claims against your own insurance company. Since you said it was a hit n run, your insurance fixed your vehicle, even though they weren't the responsible party. You should check your state laws, but most states don't allow diminished value against your own insurance company.

 

[RebellionisDuty]

Ah. Excellent point. The other party in my accident was at fault. I went through my agent, and then they communicated with the other person's insurance. My state allowed DV, but I'm not certain what it would be with a hit and run.

Definitely check the state laws on this.

 

[cerbo]

the company I inquired didn t say anything about the hit and run accident report . said hit and run comes under uninsured motorist even if unidentified . My insurance would be paying. I m continuing investigating at this point. I pay over $300 on 3 cars to have uninsured motorist coverage in my state. (TN).

pulled this offline/. I have the coverage.
Diminished Value is generally not covered in an auto insurance policy in Tennessee when making a first-party claim unless there is Uninsured/Underinsured Motorist coverage. A first-party claim is when an individual files a claim under his/her own insurance policy.

 

[cerbo]

thanks for all the input, here s what I got back from recovery company...

ello Mark,



Thank you for requesting a diminished value estimate from DVCHECK.



Based on our initial findings, your approximate range of diminished value is $7,500 - $9,000. Tennessee can be a challenging state for diminished value claims due to conflicting court cases. Because of the unsettled case law, we can’t offer a money-back guarantee on your claim. We’ve had TN clients win in small claims court and recover the diminished value from the at-fault insurance company after prevailing in court. You may have to take that step on your claim as well if the insurance company refuses to pay your claim.



DVCHECK can provide you with a certified diminished value appraisal, demand letter, and expert guidance throughout the claims process.



We charge a one-time flat fee of $350. For your convenience, we can accept payment over the phone or online. To get started, please click on this link to make payment online and email us the final repair estimate if you have not done so already.



We have built a reputation as the leading diminished value appraisal company in America with an A+ BBB rating and hundreds of 5-star reviews!



Let us know if you have any questions, we’re happy to help

 

[RebellionisDuty]

Seems to be a lot of grey area in TN. Is $350.00 worth a shot at $7500 - $9000? Is it worth getting into a battle with your own insurance company? As mentioned earlier, they paid to repair the vehicle. It's almost like buying a $350.00 lotto ticket. You scratch it. Sometimes you win. Most times you lose. Small claims court is an iffy proposition. Now you're talking time and money.

 

[Jimmy07]

thanks for all the input, here s what I got back from recovery company...

ello Mark,



Thank you for requesting a diminished value estimate from DVCHECK.



Based on our initial findings, your approximate range of diminished value is $7,500 - $9,000. Tennessee can be a challenging state for diminished value claims due to conflicting court cases. Because of the unsettled case law, we can’t offer a money-back guarantee on your claim. We’ve had TN clients win in small claims court and recover the diminished value from the at-fault insurance company after prevailing in court. You may have to take that step on your claim as well if the insurance company refuses to pay your claim.



DVCHECK can provide you with a certified diminished value appraisal, demand letter, and expert guidance throughout the claims process.



We charge a one-time flat fee of $350. For your convenience, we can accept payment over the phone or online. To get started, please click on this link to make payment online and email us the final repair estimate if you have not done so already.



We have built a reputation as the leading diminished value appraisal company in America with an A+ BBB rating and hundreds of 5-star reviews!



Let us know if you have any questions, we’re happy to help

What they seem reluctant to tell you is what all variables go into calculating the diminished value, which all vary widely state by state, and they just want to give you a best case scenario, “so just send us $350 to see what happens”.
They’re probably going to take into account all types of odds, such as what are the chances you are actually going to realize a diminished value, and how much it could be, ie- a brand new vehicle with 1000 miles getting hit, then you want to get rid of it right after it’s repaired, vs a 3 year old vehicle with 50,000 miles that you you might not get rid of for several more years where the “diminished value” would be much less, vs you might not get rid of the vehicle for long time when the vehicle might only be worth a little more than the diminished value, vs the odds that prospective buyers of the vehicle will even care that much about a fender bender on the car fax, etc. All of that stuff is calculated in depending on different states.
I would probably fork over the $350, but in your situation, I would make absolute certain since your insurance company handled it, that they aren’t going to raise rates, because that could end up costing you more in the long run no matter what you get.

 

[cerbo]

Seems to be a lot of grey area in TN. Is $350.00 worth a shot at $7500 - $9000? Is it worth getting into a battle with your own insurance company? As mentioned earlier, they paid to repair the vehicle. It's almost like buying a $350.00 lotto ticket. You scratch it. Sometimes you win. Most times you lose. Small claims court is an iffy proposition. Now you're talking time and money.

I agree. Not going to court and all that for a maybe. I questioned my adjuster to see what his response is. Have a feeling I ll just move on. Not that important and my dealer says it won t affect what they would offer anyway. He did say 5.7 hemi s are becoming in demand .

 

[RebellionisDuty]

I traded mine as soon as I got my DV payment. I had no faith in the body shop. They were sketchy. It was extremely obvious that owner was way too chummy with my adjuster. I wanted as far away from that mess as I could get.

So as previously stated, what you plan to do with the vehicle matters. I had originally planned to keep mine, but after the experience during repairs, I bailed.

It took $27,000 to repair it plus over $9000.00 in DV. This happened in 2020 when used truck prices were extremely high due to lack of new inventory. It would most likely be totalled these days.

 

[OldMarine]

retired insurance adjuster here. my career was in Mass, live in CO now. I have never heard of someone getting paid out on diminished value when there is no other carrier to go after. DV is paid out by the liable party's insurance co. As someone mentioned, there are different laws in different states, so maybe you have some mechanism to recover. hmmm.....good luck.

 

[Willwork4truck]

Old example but you get the idea.
Son got hit in his 2019 1500 (in 2021) and had $12K damage plus frame… carfax noted it as frame damaged.
When son traded off in 2023 for a new Escalade, it cost him $7K from book values (at the time) due to the carfax report.
The OP carrier had denied any loss of value since it wasn’t a sports or luxury brand vehicle, “just a basic 1500” and at the time of settlement he couldn't prove a loss.
Moral of the story, your truck will have diminished value whether the op insurance recognizes it or not.
Just as a regular joe, I’d never pay as much for a frame damaged vehicle as one that had not been hit.

 

[scottmoyer]

Since the OP used his own insurance to fix the truck, hit and run, he'd be filing the loss against his own insurance company. In theory, loss is loss and insurance is supposed to make you whole again after damages, but the risk is also there that his premiums will increase enough to offset the DV claim over time. Moving to a new insurance won't help as his records are shared and any new company will see this claim, so higher premiums there also.

I had GEICO tell me that the DV claim can't be more than the cost to repair the damage and I had argued that they are totally separate. I used a company that charged me $250 for the report, but I had the at-fault party insurance card in my hand. My insurance was never involved. The damages to my car were around $2000, so GEICO tried paying a percentage of it at $700. The report showed me at $5k in diminished value at that time. After 1.5 years of fighting GEICO, they finally settled on $3800. One thing I learned though is that CarFax isn't notified until the claim is settled. So, I sold the car before I settled and CarFax never reported the damages since the file was still open.

To the OP, if you think you want to sell, do it before CarFax has records. It usually takes a couple months.

 

[LOWRMPG]

From my own experience when my F350 was nearly totaled by a woman running a yield. The vehicle ended up with over $30k in damage, I received $7200 in depreciated value.