Diminished Value

Diminished Value

Our X got hit by someone when it was pretty much brand new at ~2500 miles. The damage was small, a dented panel on the FWD. Their insurance covered the entire cost without incident. Ultimately the bill that went to insurance was $8k for the replacement panel, taking the door apart enough to put the new panel back on, and then repainting the car and reinstalling the trim that had to be removed for paint to be done. So all-in-all a pretty minor bit of damage.

The insurance company, at our request, processed a diminished value claim and came back with an offer of $1500. On one hand, I'm skeptical since it was damage to a luxury car that was brand new. On the other hand, it really was only a dented panel. No airbag deployment, no frame damage, no damage to electronics, joints, etc. In my previous experience, this kind of body damage often doesn't even get pushed to a CarFax report.

Thoughts on if it's worth it to pursue independent appraisal of the diminished value and fight the insurance company over it? Anyone have experience with that?

PBEndo | 09. oktober 2016

paging lolachampcar | 09. oktober 2016

I my experience, even the minor accidents show up on Carfax. I had BMW X5 before model X. it was hit twice once on the rear number at stop sign and on the driver door on a parked vehicle. both are around $2000 claims. when I took my car for appraisal for trade in, both the incidents showed up in car fax. and they did bring down the price pointing those two minor accidents which are no fault of ours. | 09. oktober 2016

*number = bumper

bushburner2 | 09. oktober 2016

Make sure you keep record and pictures of the damage. In terms of trade in value or selling to a company like Carmax, you're going to take a bigger hit. $2000 to $3000 lower compared to a car with no accident. On the private market it wouldn't matter as much as long as it was a minor accident and the body shop did a good job.

contact | 10. oktober 2016

Here is the site for St. Lucie Appraisal Co which has some info on diminished value, a payment button and the email to which you can send the repair estimate and original window sticker.

speyerj | 19. oktober 2016

Well insurance offered $1400 and St Lucie came back with an average DV of $21k. I suppose that's a starting point for negotiation...ugh. Few things I hate more than arguing with insurance companies. This is going to be long and painful...

ernie | 19. oktober 2016

@speyerj I think you are in the Seattle area. I am not affiliated with this firm, but have talked with them and I think they know their way around DV. There are only about two qualified appraisers in the Greater Seattle area.

speyerj | 19. oktober 2016

You're correct that I'm in Seattle. If we don't get anywhere with our opening negotiation with insurance, I have a low threshold to involve a lawyer so I appreciate the suggestion. I'm not really after $20k but I think that $1400 is insultingly low.

burnrubber | 19. oktober 2016

$1,500 is insultingly low. I just sold a $28K car for $23,500 because it had one accident on carfax, and that kept anyone from paying full value for it, even though I had pictures of the minor rear end accident and the $1,800 repair bill.

I see no issue with $10k+ on a $80K+ car. The average buyer walks away when they see anything on the history.

burnrubber | 19. oktober 2016

Oh, and in Seattle, Jeff Butler at Lake City Collision will help you fight for your diminished value claim and has lots of experience.

ernie | 20. oktober 2016 should be after whatever the diminished value is.... They will NOT offer it.

speyerj | 20. oktober 2016

Well yes, I'm AFTER $21k. But I honestly don't expect to get that much, even if I get into a court case. I expect to get somewhere in the range.

aww100 | 20. oktober 2016

Because of this a lease is a better choice.
Your downside potential is limited.

AlMc | 26. november 2016

Another good thread to bump for diminished value. being the holiday weekend there (unfortunately) may be people who will need it.

Triggerplz | 26. november 2016

Go to click on Diminished value claims FAQ, then go to the middle of the page click Free DV Estimate, fill out the form your address and phone number is not required they will email you a free estimate by the next business day. I submitted my estimate to the insurance company and their offer went up 100%. Good Luck

Silver2K | 26. november 2016

good stuff trig! thanks!

Triggerplz | 26. november 2016
Lubdub | 26. november 2016


adnanishat | 13. juni 2018

@speyerj Just curious on where you ended up with the insurance company? Does anyone else have experience regarding accuracy of estimates provided by St. Lucie Appraisal Co? Any recommendation for Tesla Diminished value approvals in Austin?

colorczar | 11. oktober 2018

Also interested to hear of how you made out on this DV claim @speyerj?
Any wisdom / experience to share?

KITT | 07. august 2019

Hi, can one actually list the numbers for the diminished value claim. I was hit, other party accepted claim, what would be a good number to settle at on a 37k damage? 10K or 15K?