For almost every individual, being involved in a car accident is a grievous experience. Not only does it put you under a lot of stress, but it also leaves your beloved ride damaged. In such a situation, you will definitely call the insurance company to file a claim and recover losses. But let us ask, what do you know about the claim you are about to file?
Many people are unaware that after their car is involved in an accident, they need to file a diminished value claim in Ventura, CA. If you are one of them, worry not, as we explain everything about a diminished value claim here.
When a car is involved in an accident and gets damaged, its market value drops. The difference between the vehicle’s market value before and after its accident is the diminished value. Suppose your car is worth $95,000 and is involved in an accident. After being damaged, the market value of your vehicle drops to $81,000. The remaining difference of $14,000 is the diminished value of your car.
Once involved in an accident, your car can have 3 different types of diminished values at specific times. If you are confused about how it is possible, read the following points.
An immediate diminished value of a car refers to its market value right after being involved in an accident. Suppose your car’s market value was $95,000, and after an accident, it dropped to $81,000. Then, $95,000 - $81,000, $14,000, which is the immediate diminished value of your car.
If you do not know, a poor-quality repair can further decrease your vehicle’s market value. In this situation, the difference between your car’s value after its accident and repair is the repair-related diminished value.
Let’s say your car’s value is $81,000 after an accident. You get it repaired, but the used parts are substandard, so your car’s market value further drops to $77,000. In this situation, $81,000 - $77,000, $4,000 is the repair-related diminished value of your vehicle.
Once a car is involved in an accident, its market value always remains lower than its price before the accident. This remains unchanged even if the vehicle is repaired to its original condition using high-quality parts. The difference between your car’s value before the accident and its estimated price after repair is called the inherent diminished value of your vehicle.
Suppose your car is worth $81,000 before it is involved in an accident. You get the vehicle repaired to its original condition with high-quality parts. The market value of your car can be $80,000, but not $81,000. In this situation, $81,000 - $80,000, the remaining $1000 is the inherent diminished value of your car.
A Diminished Value Claim is the right you can use to recover the loss of market value of your car from the at-fault party’s insurance company. The claim usually falls under 10% to 25% of a vehicle’s fair market value before it is involved in an accident.
In Ventura, CA, you can file a diminished value claim in Ventura, CA, within 2 years from the date of the accident. After the deadline passes, you can’t file the claim. If you still file a claim, it will be rejected, and you can’t do anything about it.
You can file a diminished value claim if you own the vehicle, weren’t at fault for the accident, and your vehicle isn’t on lease. Filing the claim is possible after it has been repaired and you have an appraisal showing the diminished value. You generally file the claim against the at-fault driver’s insurance company. In case the at-fault driver is uninsured or underinsured, you can file the claim under your motorist coverage, if it allows so.
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Filing a diminished value claim in Ventura, CA, is a complex process. We have written the steps to make it simple and help you successfully file a claim.
After your car is involved in an accident, call the police and file a report. You also need photos of the damage and an estimate of repairs.
This is a crucial step, for which you need to hire an independent appraiser and get your car inspected. If they specialize in Diminished Car Value Appraisal in California and Ventura, CA, that can be a plus point. The appraiser will provide an appraisal report, which will include your car’s accurate market value before the accident.
Once you have all the relevant documents, including the appraisal letter, organize them and submit them with a demand letter. You should also contact the insurance company of the at-fault driver and let them know about your claim. State the amount you seek from the company in the call and in the demand letter.
The insurance company will send an adjuster to assess the car damage and complete the settlement. After they arrive, present your documents and cooperate with them. Once the inspection is complete and the adjuster offers a settlement, confirm if it’s the amount you demand. If you believe that the insurance adjuster is undervaluing your claim, negotiate for a fairer settlement.
If the negotiation fails, don’t lose hope and hire an attorney specialized in diminished value cases. They will handle your court case and fight to help you get a fairer settlement. Hiring an attorney will potentially lengthen the settlement process, but increase your chances of receiving a fairer amount, so it’s worth it.
Did your car get involved in an accident, and now you are filing a diminished value claim? Our professional diminished car value appraisal in Ventura, CA, can help you with a fairer settlement.
At ADR-Claims, we are a team of experienced appraisers, serving you with a fair claim settlement and a range of services. We help you with repair disputes, stated value appraisals, lease return inspections, Total Loss Thresholds, physical damage inspections, etc. Call us for a free quote if you need any of these services.
