The auto diminished value of a vehicle refers to its value after a crash or other accident. Drivers have to figure out this change in value in order to report it to an insurer in hopes that the insurer will pay to cover it.
Many insurers will tell customers flatly that they do not pay to cover auto diminished value. However, with good counsel and data, some drivers have been known to receive it.
To get the auto diminished value of a car after it has been wrecked and repaired, a driver needs to get reliable, realistic sale prices from buyers such as car dealers. This can help in assembling a car value appraisal that the driver can use to prove to the insurer that the value of the vehicle is lower after the accident, even though the car may still look similar to what the blue book would suggest as “good” or “fair” value.
Drivers can also hire specific companies to do a auto value appraisal that will establish auto diminished value. See resources from groups like the Appraisal Group of America to learn more about the rights of a driver regarding auto diminished value.