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Diminished Value Claim in GA

Diminished Value Claim in GA

Our 2014 Tesla was in accident in August of 2015, Repair Claim (18,000) was paid without any issues. Hired Diminished Value of GA after the insurance company sent us an DV Check for 2100.00 and told us that was it. DV of GA did a full appraisal report, we submitted to the insurance co. another check was issued for 900.00, again the insurance co, said that was all that would be paid on the DV Claim. Tony at DV of GA continued to negotiate and the final DV claim totaled 6000.00. If you are in need to file a DV Claim, I highly recommend DV of GA, as the cost was only 275.00.

70D-Tesla | 2015年12月22日

I would think that the Diminished Value claim would be more than 6k for an accident that caused 18k worth of repairs.....but i could be wrong. I'm glad you got them to pay the extra 3900 though!

bejachb | 2015年12月22日

@70D-Tesla, maybe more if it went to court or "umpire". Insurance Co, appraiser had upped to 3K and than 5K, DV of GA said no less than 6K. Better than nothing, I guess.

contact | 2015年12月22日

If your car had structural damages or air bag deployment, the loss in value would be more than 30% of the vehicle's value. So if your Tesla was worth $80,000.00, your diminished value could have been $24,000.00 or more. Diminished Value of Georgia is one of those independent appraisers that works for insurance companies as well as for car owners. Was the insurance company you were making the claim against one of DV GA's clients? $6K is more like what an insurance company's initial offer might be.

bejachb | 2015年12月22日

@contact

Insurance company used their own independent appraiser, no structural damages, but had two airbags deploy. Very doubtful anyone will receive 30% of the value of vehicle on DV claim. Insurance company initial offer was 2100.00

contact | 2015年12月23日

Just a few examples to illustrate that Teslas, as well as other exotics, lose a lot more in value than you have been led to believe. DV amounts - Tesla only
2013 Tesla S85 Trade-In Value $70,000, Repair cost $44,605.32 including structural, diminished value $23,919.00
2013 P85+ Trade-In Value $75,000 Repair cost $44,605.32 including structural, diminished value $25,792.50
2014 S85 Trade-In Value $70,312.00 Repair cost $2,596.77 no structural or air bags, diminished value $7,170.32
2013 S60 Trade-In Value $53,250.00 Repair cost $17,209.00 including structural, diminished value $18,857.00
2014 Tesla S85 Trade-In Value $82,500.00, Repair cost $46,269.50 including structural, diminished value $32,835.00.
2013 Tesla S85 Trade-In Value $75,000.00, Repair cost $19,988.32 including structural, diminished value $26,227.50

It would take a week to list every Tesla diminished value claim but this sample should give you some idea. Structural damage and/or air bag deployment are the kiss of death. If you make inquiries at any high-end dealership about a trade, I think you'll be shocked at how much less they will offer because of the Carfax showing air bag deployment. You may be happy with $6,000.00 if you plan to keep the car forever but diminished value is determined at the time of the loss and that amount what you are entitled to be compensated for.

bejachb | 2015年12月23日

@contact and source for the facts above are?

contact | 2015年12月23日

Diminished value appraisals that were done for Tesla owners, many of whom participate in this forum.

bejachb | 2015年12月23日

@contact

After searching the net, TMC and these forums, the only posts that match exactly to your post above are DV reports, but not payouts. I found one DV report was for over 7000 yet the owner settled for 1100. Your numbers are very skewed, hopefully you will never be in the situation where you will need to make a DV claim, as you will be disappointed.

contact | 2015年12月27日

I wouldn't be disappointed if I had to make a DV claim because I know how the game works and I'd start by getting an appraisal that would scare the insurance company and finish only after I'd put them through the wringer. Yes, that Tesla owner who settled for less should have taken his claim a few steps farther but said that he was moving and didn't have time. If you want to get more information on payouts the best way is to start a topic here on DV appraisal amounts vs. actual DV payouts. The only thing I can tell you for certain is that persistence pays. I don't know whether your appraiser was looking out for your best interests and neither do you until you ask whether that insurer is also one of their clients. You also don't know if you accepted chump change or whether you would have done better either with a more comprehensive appraisal or by furthering your own cause. We had a case whereby I was asked to look over a DV of Georgia appraisal. It was prepared using a cryptic formula that probably took all of 5 minutes. I had no clue what it meant. When I asked the appraiser to explain what some of his calculations represented he refused to divulge the information. If I, as an appraiser for over 30 years couldn't understand how he came up with his DV figures, I'm sure that a magistrate or mediator would have even more of a problem.

The key is to provide an appraisal that convinces the insurance company and their defense attorneys that they will lose in civil court. Whether to accept an inadequate amount is up to you but with the right ammunition there's no reason for it. I would be interested in how much less a dealer will give you for your trade-in. I'm betting that he or she will offer you more like $20,000 less. Had you done that prior to settling your claim, you probably wouldn't have even considered accepting less than half of that amount.

contact | 2015年12月28日

An email that I received this morning. Not a Tesla owner but a diminished value claimant nonetheless.

"The following was my response to the insurance company after much back and forth and negotiation. I agreed to accept $5154, their offer $4000. After reading this is there anything I should add to strengthen that? $5154, a reduction to your appraisal of $6309 is a very fair compromise, whereas their offer of $4000 is not? I don't think they are not using a method that truly is indicative of the actual diminished value of this vehicle. They originally only offered $2000. I would appreciate your final input before I make a decision whether to get an attorney involved or accept their $4000.00."

The insurance company's standing offer is 63% of the amount that I appraised. It sounds like she will get even more.

Applying that percentage to your claim, your payout would have been about $25,000. Still think that DV of GA did you such a big favor?

I'm posting this simply to show Tesla owners that a fair diminished value settlement is possible and not to get discouraged by much of what they read both here and elsewhere.

johnfuller174 | 2016年1月21日

Contact, can you provide for me the Vin numbers for the vehicles in your example above? I have used your examples in my DV report and the insurance company is asking me to provide vin numbers to confirm the referenced payout. please email me directly at johnfuller174@yahoo.com. thank you in advance!

Socalphil | 2016年1月21日

Can anyone offer referrals for a DV appraiser and/or attorney in Southern California? I was in an accident for which the repair costs are $47k including structural damage and airbag deployment. Car is being repaired now. Thanks

bejachb | 2016年1月22日

@contact an 18000 damage claim will not net a 25,000 DV claim, you keep displaying numbers, yet the example above she was offered 2000 and settled for 5154.00, you leave out some very key info, all of the vehicle info,type of damage, etc. Just an FYI there is an appraisal clause in the policy and magistrate court is limited to 15K. DV does not work with Liberty Mutual, Liberty hired a DV appraiser from OK. You still have failed to provide real numbers with actual back-up. You are just typing hear say, sort of like when people go to Vegas, they all claim to have won something, when in reality they lost.

alex | 2016年1月22日

$6k is pretty generous for a diminished value claim... I've never sold a high value car without quite a few miles on it, but assuming you hang on to your Model S for a half dozen years or so, you'll have made more money on the DV claim than the actual lost value of the vehicle.

bejachb | 2016年1月24日

@Alex, average DV Payout in the U.S. is 4000.00, Carfax only shows a 1080.00 deduction for this accident. Actually Liberty Mutual ended up paying 6897.00 on DV claim. Not too concerned with the value as plan on keeping it for 8-10 years.

contact | 2016年1月29日

@johnfuller174, write to me directly at contact@stlucieappraisal.net and I'll see what I can do.

@bejachb, The $5,154 settlement wasn't for a Tesla, I showed it just as an example of how well claimant's can be compensated (percentage-wise) if they have patience.

An $18,000 repair can certainly cause $25,000 in diminished value in a high-end car, particularly when structural damages were repaired or air bags deployed.

@socalphil, See our email address above. We also recommend good attorneys to our clients.

SCCRENDO | 2016年1月29日

I used contact. Accident cost $23k. Claimed $40K for diminished value loss of use Aug 2014 accident. They offered me $5K, My lawyer got me $13.5K. Signed release in July. Although I am primary my insurance and the other insurance were fighting over $300 but apparently have worked it out. They want to settle everything before they pay me. My lawyer says any day now. Contact wrote me great reports. I recommend him.

contact | 2016年5月5日

FYI, contact is St. Lucie Appraisal Co.. Thank you. SCCRENDO.

SFEVER | 2016年5月5日

Insurance companies do not have to pay out diminished value in California which sucks!

colbyeevans | 2016年5月5日

Hi All,
I just finished a successful DV claim in CA.
Got ~$11K which included rental car reimbursement of $2.5K and the DV report (Auto Mediator) which was $700.
It took a ton of follow up, and of course a threat of lawsuit. Until that deadline came, they were very non-responsive.
Happy to have it behind me.

SFEVER | 2016年5月5日

colbyeevans: I had a 50k claim with AllState and they would not pay DV I even hired someone and that just said NO when on for months so I gave up but I"d be happy to re file who was the Auto Mediator you worked with?

flight505 | 2016年5月5日

In 2001, at a couple thousand miles a kid backed into my $45,000 BMW with 2,000 miles - recently bought new.

I sued State Farm. I hired an expert witness on diminished value and he used charts to show diminished value was - can't remember precisely, but I believe $1,500 - not even close to what I lost.

I tried to trade in my almost new car based on miles without mentioning the accident and got a trade in figure.

Then, I tried to trade in my almost new car based on miles and did mention the accident damage.

They offered me $10,000 less.

Do this and see how much you really lost.

I don't trust those diminished value experts.

rxlawdude | 2016年5月5日

Diminished value IS a damage that is recoverable from a tortfeasor, even in California. However, if you have to collect from your own insurance company, they may not be obliged to cover DV. That's why it's preferable to go after the other driver's insurance or the other driver him/herself. The law entitles one to be made whole. That includes DV.

SCCRENDO | 2016年5月5日

Have an update. Accident in Aug 2013. Repair $23000. Appraisal through St Lucie for $37000 including diminished value and loss of use. Offered $5000. Hired an attorney Jan 2015. Settlement of $13500 agreed to in July 2015. Insurance company still played games but finally payed me this months.

TaoJones | 2016年5月5日

2.75 years later *shakes head*. Congrats for prevailing to the extent possible in the end.

SCCRENDO | 2016年5月5日

Worth it in the end. Try it on your own first. But best to use a lawyer. Forget about it. Put it at the back of your mind and then the money comes. So you smile. Accident happened at 42000 miles. Have driven 46000 miles since.

SCCRENDO | 2016年5月5日

Sorry accident August 2014 so 1.75 years later

contact | 2016年5月6日

Great news! As I wrote to the OP, his $6,000.00 diminished value settlement for a Tesla with almost $20K in damages isn't anywhere near a fair settlement. And to #flight505, just because you hired a dud of an appraiser I don't feel that all of us should be lumped into that "untrustworthy" category.

bejachb | 2016年5月6日

@SCCRENDO.Ca.US appraised at 37,000 by contact, you received $13500 for DV and Loss of use, we are not that far off had 18,000 of damage, liberty mutual ended up paying just over 7000.00 in DV we did not have Loss of Use Claim. Seems like Contact "high balled" the appraisal and the insurance company "low balled it" Our 18,000 in damage was not structural in nature, but did have two airbags inflate, In hide site maybe the airbags and their components maybe a blessing as now they will not be subject to the possible recall. Contact like the way you add 2000.00 to the damage of 18,000 and subject 1000.00 from the payout, hoping you are not an accountant!

SCCRENDO | 2016年5月6日

I was dealing with Mercury which is possibly the worst company to deal with. Interestingly they completely ignored the DV and were prepared to cover a my loss of use at a reduced rate. Once we were going back and forth the details were not discussed and it was a numbers negotiation with us coming down to $20K and the back and forth continuing. When I agreed to the amount and signed the release last July and August they delayed payment while trying to settle with my insurance company as they originally paid for my repairs. There was an apparent discrepancy of $300 and this kept going backwards and forwards through "snail-mail". They don't believe in using the phone or email. And it took a further 8-9 months, Frankly they are jerks. It is imperative to be patient and stay the course.

rxlawdude | 2016年5月6日

There is something called "bad faith," which are two words insurance companies don't like to hear. Triple damages where it's shown they intentionally drag their feet or lowball damage payouts.

Mercury is one of the worst automobile insurance companies out there, in my opinion.

flight505 | 2016年5月6日

@contact
Well, I just lost my trust. I'm sure some are better than others. Next time I will do my own research.

I prosecuted my own case and won, but the JP judge here in Texas said she would wait two weeks to give her decision. I had to call her weeks later t get her to rule. She told me on the phone obviously I had won the case. I asked her then why she didn't say so at the trial. She would not answer me, but I believe she did not want to embarrass the attorney for State Farm.

I think beating them was more important to me at the time than the money, especially after they refused to pay diminished value. I think diminished value was not recognized as much 15 years ago.

contact | 2016年5月7日

@rxlawdude I'm not sure that punitive damages can be attached. I wish insurance companies could be held accountable.

contact | 2016年5月7日

@bejachb We don't "high-ball" our diminished value appraisals for two reasons. First, St. Lucie Appraisal, unlike both insurance company and independent appraisers, yours included, that use a myriad of formulas to assess the amount of diminished value, obtains the opinions of the sales managers at six high end new car dealerships. The average of their quotes is the diminished value amount. Our requests specifically describe the car and the damages that were repaired. We simply request, obtain and compile. We do not throw out low numbers unless they are a farce. Even then, the fact that we rejected a quote is listed in our report. Second, should the claim become a case, we want the magistrate to look at our report, readily understand it and recognize that it is a fair valuation by any and all standards.

SCCRENDO | 2016年5月7日

I would give a strong thumbs up to contact. His report was excellent and worth every penny. He is not an attorney but he provided my attorney with relevant precedent cases including one that Mercury had lost. The real issue is who is going to blink first. The insurance company understands it better than you. If you go it alone they lowball you. In California you can take them to small claims court for up to $10k. If you get an attorney involved it costs you 1/3 and if they go to court it can be 45% plus expenses. You also may be subject to the whims of jury. How much sympathy do you get from a juror who drive an old Honda Civic and you are claiming $40k in diminished value??

rxlawdude | 2016年5月7日

@contact - punitives attach, at least in California, to findings of bad faith in paying claims.

ftdayanara2 | 2016年12月8日

Hi SCCRENDO. COULD YOU PLEASE GIVE THE NAME OF THE ATTORNEY YOU USED TO HELP YOU. THANKS

dj-tesla | 2016年12月10日

I'm just curious if the driver and passenger of the car were okay during the accident.

sp | 2020年2月7日

SFEVER | May 5, 2016
colbyeevans: I had a 50k claim with AllState and they would not pay DV I even hired someone and that just said NO when on for months so I gave up but I"d be happy to re file who was the Auto Mediator you worked with?

The appraiser they are speaking of is Auto Mediator