What is Diminished Value?
Diminished Value is the immediate loss of value a vehicle suffers when it is in a collision. Even if the vehicle has been completely restored to pre-loss condition, a buyer’s perception of value is less due to the stigma of the vehicle having previous damage. Insurance companies have kept this from the public for years. Recently more and more people are finding out about Diminished Value from friends, family and attorneys, mostly through social media. When someone receives a seven thousand dollar award for their loss of value, they tend to tell their friends and family about it.
“Oregon / Washington Claimants, Please see our regional site: Diminished Value of Oregon”
Insurance companies have seen this increase in claims and have started to take steps to not pay larger claims. Whereas in the past they would many times deny knowing what diminished value was, today they acknowledge the loss of value and either offer you pennies on the dollar for your claim, or suggest they use one of a few appraisers they know that can help. Many of these appraisers already work for the insurance companies on a regular basis, so obtaining an unbiased appraisal from them is going to be iffy at best.
I’m a State Certified Appraiser, Licensed and Authorized by ODOT to appraise vehicles. There are only 3 states (Oregon is the only one West of the Mississippi) that have a licensing and/or certification program for auto appraisers. So having a Certification / License issued by a state holds much more credibility than a certification from some unknown internet organization. There are appraisers who are licensed as an auto damage appraiser or as an adjuster only. These licenses mean nothing when it comes to proving the overall value of your vehicle and your loss of value. I have over 30 years experience in the Automotive Industry with over 25 years in retail automotive sales. I previously worked with hundreds of dealerships across the United States and have had a business relationship with hundreds of Dealer Principals, General Managers, Fixed Ops Directors, Used Car Managers and Body Shop Managers. I have a strong relationship with other auto appraisers across the country and if I don’t know the answer, it is safe to say I know someone who does.
As the Used Car Manager at the oldest Ferrari Dealership in North America I felt confident I could handle the Diminished Value claim on my BMW with ease. I couldn’t have been more wrong. Not only did Ken with Diminished Value of Oregon provide me with a complete and thorough appraisal on my car, His guidance was invaluable when it came to negotiating the red tape and road blocks the insurance company will put in your way to avoid paying you what you are due. – Lance Sholes – Oregon
In most cases, most body shops do a decent job repairing your vehicle. But, even if they did an excellent job with the repairs, your vehicle has still lost value. As an auto appraiser, I know that although repairs may appear to have returned the vehicle to visual pre-loss condition, there may be flaws that we can’t see. Such as low frequency fatigue. An example would be a spoon that is bent and returned to it’s previous shape. Although the spoon visually appears to be restored to it previous condition, it’s probably going to bend much easier next time due to micro tears in the metal which causes metal fatigue. So even though your car or truck looks the same as before the accident, it probably isn’t.
Even if the accident doesn’t show up on your vehicle’s Carfax or Autocheck report, doesn’t mean the accident hasn’t been reported to the Insurance Services Office Database (ISO). All claims are submitted to this database and may affect the payout of the vehicle in the future on any claims or total loss payouts. I act as an advocate for you, I’m not an attorney, only an appraiser. But most of our clients find they don’t need an attorney with a solid appraisal, by a certified auto appraiser. My License is #V34-075. If you’d like a free estimate, please fill out the form to your right or if on a mobile device, below and I can give you an idea how much of a claim you have.
