You bought a new car, and sadly, ended up in a car accident. Your $20,000 worth car is damaged, and even when repaired, won’t be valued nearly as close as its purchase value.
The question is – can you receive compensation for the damages done to your car?
This is called a diminished value claim and is usually processed separately. Keep in mind that it is not always easy to receive compensation for diminished value, as there are many factors in play. Here are some tips that will help you file a diminished value claim.
Do a Full Appraisal
The first thing you should do (if you believe that your car’s value has dropped since the accident) is to hire an expert to do an appraisal. Once the car’s previous value has been determined, and the car’s current (post-accident) value has been determined, you will have a true insight into what you have to do next and how much money you should seek through diminished value claim.
But understand that it will be hard to receive more money just because your car was in a major accident. The main reason is the accident itself – once the car goes through an accident, no matter how much you invest in its repair, it will never have the same value it had before the accident.
On top of that, new buyers would rather purchase a new car, than the one that has been in an accident. So, if your claim is unsuccessful, your options are to either sell the car, reinvest in its repairs, or sell it to someone who will repair it. You can always sell it per-pound, and receive some cash for it. However, this is nowhere nearly as much as you would want to receive.
Seek The At-Fault Party’s Insurance Coverage
This is the negotiation part. Our Los Angeles Car Accident Lawyers in Los Angeles advise you to keep knocking on their doors until they “let you in”. No one said that it is going to be easy, but as long as you are persistent and have evidence that your car’s value has diminished significantly after the accident, you have something to negotiate with.
The insurance companies usually use the “industry formula” to calculate the value of your losses and may offer you a token amount as a sign of good faith. If that is not what you want, you will be left with one option – turn to the court.
Have A Good Attorney Represent You
This is where our attorneys come in play; if you call today and schedule a consultation with one of our knowledgeable Car Accident Lawyers in Los Angeles, you will learn how you can file a diminished value claim and increase its chances of success.
Note that if you have an old car, it may not be worth filing a claim as the money you invest in the process may be greater than the money you may receive from it. However, if you have a brand new or an expensive almost-new car, it may be worth the effort and the investment. Consult with our attorneys for free, and explore your best options.