Everyone is ok, but your vehicle has damage. Of course we can have our vehicles repaired and they can look like or appear better than new, but the history reports will still show damage... that damage can effect the value.
We call that Diminished Value.
In New York, diminished value claims can be filed with the at-fault party's insurer to recover compensation for the loss in market value of a vehicle due to an accident.
While New York is a "no-fault" state for injuries, it is still possible to pursue a diminished value claim for vehicle damage.
Here's a more detailed look:
What is Diminished Value?
Diminished value is the difference between a vehicle's market value before an accident and its value after the accident, even after repairs. This loss in value can occur due to several factors, including:
- Inherent diminished value: The vehicle's damage history, even if repaired, can impact resale value.
- Repair-related diminished value: Poor quality or incomplete repairs can further reduce a vehicle's value.
When Can You File a Diminished Value Claim?
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Not at fault:You can typically file a diminished value claim against the at-fault party's insurer if you were not responsible for the accident.
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Significant loss in value:It's generally worth pursuing if the accident caused a significant decrease in your vehicle's resale value.
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State and insurance allow it:Confirm that both your state's laws and the at-fault party's insurance policy permit such claims.
How to File a Diminished Value Claim in New York:
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1. Document the accident and damages:Gather photos, reports, and any documentation related to the accident and its impact on your vehicle.
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2. Obtain appraisals:Get an appraisal from a certified vehicle appraiser to assess the pre- and post-accident values.
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3. Check the insurance company's process:Familiarize yourself with the specific procedures for filing a diminished value claim with the at-fault party's insurer.
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4. Submit your claim:Follow the insurer's instructions and provide all necessary documentation.
Important Considerations:
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First-party vs. third-party claims:In New York, diminished value claims are generally not covered under your own insurance policy (first-party) unless you have Uninsured/Underinsured Motorist coverage.
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Negotiation and legal representation:You may need to negotiate with the insurance company or hire an attorney to pursue your claim.
In Summary:
New York recognizes diminished value claims, allowing individuals to seek compensation for the loss in market value of their vehicle due to an accident caused by another party.
By documenting the accident, obtaining appraisals, and following the procedures outlined by the at-fault party's insurer, you can file a diminished value claim and potentially recover some of the loss.
With over 34 years in the automotive retail business, "Uncle" Bill OGorman can be a trusted resource. Feel free to send a text to 607-366-5862 or just dial 607-543-1215 and talk to "Uncle" Bill direct!
