How To Make a Diminished Value Car Insurance Claim in California
David Muñoz | March 6, 2024 | Car Accidents
If you were involved in a car accident in California, you may be entitled to compensation for various losses you suffer, including the diminished value of your vehicle. Many car accident victims are unaware of this type of claim and lose out on the chance to receive compensation for it when they settle their cases.
Here is what you need to know about diminished car value claims and how to make them in California.
What Is a Diminished Value Car Insurance Claim?
California follows an at-fault system for car accidents. The driver responsible for causing the collision is also responsible for paying the victim for their damages.
Damages represent the various losses the accident victim suffers because of the accident, such as:
- Medical bills
- Lost income
- Repairs for their vehicle
- Pain and suffering
A diminished value car insurance claim asks for compensation from the at-fault driver’s insurance company for the loss of your vehicle’s value immediately after an accident. Your vehicle’s value is inherently worth more before the accident than it is after the accident, so this type of claim seeks to receive compensation for this loss.
California caselaw recognizes an accident victim’s right to pursue compensation for this economic loss.
How Does a Vehicle Lose Value After an Accident?
There are three ways that a vehicle can lose value after a car accident:
- Stigma – Vehicles that have crashes reported on their accident history are inherently worth less than a vehicle with no accident history. Today, people can easily obtain information about a vehicle they are considering buying. These reports detail the accidents the vehicle has been involved in, the structural damage, where the damage occurred, and repairs made. Prospective buyers will usually offer less once they find out the vehicle was involved in a crash.
- Immediate diminished value – This is the immediate loss of value before any repairs are made.
- Repairs – The value of your vehicle can also be diminished by repairs. The quality of the work may not be good, or the repair shop may have used after-market parts that decrease the vehicle’s value.
You may be able to make a claim for one or more of these diminished values.
How To Make a Diminished Value Claim in California
Most car insurance companies will not inform you of your right to various damages. You will have to assert your rights.
You can begin the process of making this type of claim by asking the insurance adjuster about them and requesting forms to complete to detail your losses. A car accident lawyer can help you with this process.
Calculating Diminished Value
The insurance company may use a formula to calculate the diminished value of your vehicle. This formula typically considers the vehicle’s appraisal value before the accident, the extent of the damage, and the vehicle’s mileage.
Keep in mind that the insurance company wants to minimize the value of your claim as much as possible to protect its own profitability, so it might arrive at an unfair number.
A car accident attorney can help you with this type of claim, gathering evidence of the value and working with independent appraisers on your behalf.
Contact an Experienced California Car Accident Lawyer For Help With a Diminished Value Insurance Claim
If you were involved in a car accident in California that was not your fault, you should contact an experienced lawyer for assistance. We are familiar with diminished car value claims and the various types of damages you can demand compensation for.
A lawyer can also investigate your collision, identify all parties who contributed to it, and pursue maximum compensation on your behalf. Call us today to learn more about how we can help.
Contact the San Diego Car Accident Law Firm of Mission Personal Injury Lawyers Today To Get More Information
If you’ve been injured in a car accident in San Diego or Chula Vista, please call Mission Personal Injury Lawyers for a free case evaluation with a personal injury lawyer or contact us online.
We proudly serve San Diego County and throughout California.
Mission Personal Injury Lawyers
2515 Camino del Rio S Suite 350, San Diego, CA 92108
(619) 777-5555
Mission Personal Injury Lawyers – Chula Vista Office
690 Otay Lakes Rd #130, Chula Vista, CA 91910
(619) 722-3032
We also serve the state of Texas. Contact our personal injury law office in El Paso for legal assistance today.
Mission Personal Injury Lawyers – El Paso Office
201 E Main Suite 106, El Paso, Texas 79901
(915) 591-1000
