guinn
Well-Known Member
- First Name
- Guinn
- Joined
- Apr 12, 2021
- Threads
- 19
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- 80
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- Location
- SW Colorado
- Vehicles
- 2021 AWD Select Standard Range; 2023 AWD Premium
- Occupation
- Retired but active
- Thread starter
- #1
I was in an accident on May 3, 2022 where the other driver was at fault. I had seen "diminished value" discussed some here. I have filed a claim and have now received payment, so I thought I would summarize how it went.
Here is a picture of my car (2021 AWD, standard batter) after the accident.
Fortunately, the main battery was not damaged, and the car was able to be repaired.
It turns out that every state has laws about how to file a claim for diminished value. We all know that a car which has been in an accident is typically worth substantially less than one which has never had an accident. You can only file a DV claim if the accident was not your fault. I understand that in 49 states you must file against the other party's insurance company. (I can't remember which state allows you to make a claim against your own insurance company.) Colorado, where I live, is one of the 49.
After a bit of checking, I was able to contact State Farm, the other's party insurance company. They asked me to get an appraisal, send pictures, and send the repair estimate. I had waited until the repair was done, although that's apparently not necessary. The repair bill was somewhat in excess of $20,000.
I started googling companies which will do a DV appraisal. These are available starting under $100, however I finally decided to go with TigerDV. Their price was $350, but it seemed like they were pretty professional. The appraisal included an explanation of how they came up with the value. They contacted 3 dealers to ask what my car would be worth if it had not been in an accident. The amount was about $45,000. (My sticker price was around $48,000.) They then asked what the car would be worth after the repairs. The difference was $13,150, so this was the amount I asked for from State Farm.
When State Farm got back to me, they stated that the appraisal was too high and offered $9,333. They did not state how they came up with that number.
TigerDV indicated that if the value offered by the insurance company was too low, the best tactic was to let them know that you were prepared to take the other driver to small claims court. They said that this typically results in a higher offer since the insurance company would have to provide legal assistance to the other driver under that person's liability policy. Unfortunately, this wasn't an option for me because the small claims limit in Colorado is $7,500. My only other option was to hire a lawyer and file suit in another court. TigerDV indicated that the lawyer would typically want 1/3 of the settlement, so I was probably better off just accepting State Farm's offer.
I pondered this for a while and decided I just wasn't interested in going through the hassle of finding a lawyer and filing suit. So I accepted the offer and deposited the check today. (In my younger days I might have been more inclined to fight!!)
Filing a DV claim is pretty straightforward, and I would certainly do it again if needed. I hope this helps others who may be in a similar position.
Here is a picture of my car (2021 AWD, standard batter) after the accident.
Fortunately, the main battery was not damaged, and the car was able to be repaired.
It turns out that every state has laws about how to file a claim for diminished value. We all know that a car which has been in an accident is typically worth substantially less than one which has never had an accident. You can only file a DV claim if the accident was not your fault. I understand that in 49 states you must file against the other party's insurance company. (I can't remember which state allows you to make a claim against your own insurance company.) Colorado, where I live, is one of the 49.
After a bit of checking, I was able to contact State Farm, the other's party insurance company. They asked me to get an appraisal, send pictures, and send the repair estimate. I had waited until the repair was done, although that's apparently not necessary. The repair bill was somewhat in excess of $20,000.
I started googling companies which will do a DV appraisal. These are available starting under $100, however I finally decided to go with TigerDV. Their price was $350, but it seemed like they were pretty professional. The appraisal included an explanation of how they came up with the value. They contacted 3 dealers to ask what my car would be worth if it had not been in an accident. The amount was about $45,000. (My sticker price was around $48,000.) They then asked what the car would be worth after the repairs. The difference was $13,150, so this was the amount I asked for from State Farm.
When State Farm got back to me, they stated that the appraisal was too high and offered $9,333. They did not state how they came up with that number.
TigerDV indicated that if the value offered by the insurance company was too low, the best tactic was to let them know that you were prepared to take the other driver to small claims court. They said that this typically results in a higher offer since the insurance company would have to provide legal assistance to the other driver under that person's liability policy. Unfortunately, this wasn't an option for me because the small claims limit in Colorado is $7,500. My only other option was to hire a lawyer and file suit in another court. TigerDV indicated that the lawyer would typically want 1/3 of the settlement, so I was probably better off just accepting State Farm's offer.
I pondered this for a while and decided I just wasn't interested in going through the hassle of finding a lawyer and filing suit. So I accepted the offer and deposited the check today. (In my younger days I might have been more inclined to fight!!)
Filing a DV claim is pretty straightforward, and I would certainly do it again if needed. I hope this helps others who may be in a similar position.
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