After a wreck, you are probably asking “Does my brand new luxury car have diminished value?
A Diminished Value Claim And Luxury Cars
Insurance Claims Advice To Help You Find The Diminished Value Of A Luxury Vehicle
Was your luxury car in a wreck? If you own a high end vehicle like a Lexus, Mercedes, Cadillac, Infiniti, Bentley, Rolls Royse, Porsche, Maserati, BMW, Audi, Saab, or any other vehicle that is considered a luxury vehicle, then you should be thinking about diminished value if you were involved in a car accident.
No matter if you backed into a tree or if some negligent driver crashed into you, there is a possibility that your vehicle has lost value because of the simple fact that it was in an accident. Even if you took the vehicle to the best repair facility around, it doesn’t change the fact that your car was once wrecked. Diminished value is a concept that has been around for nearly 90 years. There is law relating to it in Georgia dating back to 1926!
What Can You Do About Diminished Value?
If you are in this situation what the heck can you do about it? You’ll get stories from both sides of the fence on this subject, and even professionals disagree. The thing that is constant is that courts consistently agree that diminished value is an element of damages. The question is whether you are filing against your own insurance company or whether you are filing against the policy of a person or business that caused your damages.
Specifically in high end or luxury vehicles, even a scratch can make the value of the vehicle depreciate substantially. It’s a known market trend in the luxury vehicle market that purchasers are looking for a blemish free vehicle with a blemish free history. Whether or not your insurance owes you is a complicated question that will require an expert in both insurance contracts and diminished value, but if someone caused your damages and you are filing on their insurance, then it’s just a matter of how much diminished value your vehicle suffered. Every State’s tort systems allows for the recovery of diminished value.
Do Your Research On Diminished Value!
In conclusion, if you have a luxury vehicle, you should thoroughly research diminished value. Even minor damages that have to be repaired can result in a significant difference in the before-accident value and the after-accident value. In some cases, there is not even a need to inspect a repaired vehicle as it is just inherent that the vehicle will suffer some loss in marketability and value. In cases when inspection is not required, all that is needed is a repair estimate and the accompanying invoices.
Find yourself a qualified professional that will honestly help you figure out if you have a claim worth pursuing BEFORE they charge you a dime.
Sometimes, it’s just in the Petty Details!
Posted in: Diminished Value