Diminished Value Claims
What Are Diminished Value Claims?
After your vehicle has been damaged it can still lose value, even after it has been repaired. If a vehicle has been restored to near perfect condition, the fact that it was in an accident, had some damage, and needed to be repaired can lower the value if you decide to sell it or trade it in at a later date.
This loss, the difference between what the car was worth before the damage and what its worth after repairs, is the diminished value. This value may be able to be covered by your car insurance policy if you file diminished value claims. When you have successfully completed a diminished value claim, you will get a payment to make up for the loss in value. Diminished value claims aren’t easy and it’s not the type of claim you can make for just any type of damage. For example, if you are an at-fault driver then collision insurance may not cover diminished value claims.