Wrecked Car Damaged Vehicle Blog

RSS Grab DamageMAX RSS Feeds

Diminished Vehicle Value – The Perfect Storm for Insurance Companies

Joseph Coupal - Wednesday, March 12, 2014

Diminished Value is probably the dirtiest thing you can say to an insurance adjuster. Just say it and watch them get weird…Insurance adjusters are trained to be neutral and generally stoic by nature. It's pretty hard to "rattle their cage" unless you say the magic words "Diminished Value" or DV.

Diminished Value occurs when an automobile is involved in an accident, vandalism, storm or some other type of event where physical damage occurs.

There are three levels of diminished value:

  1. Stigma DV – the insurance companies involved will report your claim along with the settlement amount to data providers that will feed the information subsequently to CARFAX and AutoCheck. The vehicle will have a score that is impacted by this history and the value of the vehicle will depreciate up to 15% just because the vehicle was previously damaged.
  2. Frame / Structural DV – when there is physical evidence that a vehicle has been repaired extensively and the structure of the vehicle was compromised. The quality of the collision repair work is not in question, it is the fact that significant structural repairs were made to the vehicle. A good benchmark for the potential of structural DV would be collision repairs totaling to greater than $3500.00
  3. Sub-standard Repairs – physical evidence of poor quality repairs would significantly impact the value of the repaired vehicle. This compounds the DV effect as corrective repairs will be required before any estimate in DV can be ascertained.

Vehicle Data reporting sources like CARFAX & AutoCheck have created tremendous awareness, even fear and the american consumer is possessed with knowing vehicle history before they consider purchasing a vehicle. Great for CARFAX & AutoCheck, bad for insurance companies! Why? Because there are new businesses sprouting up every day to ride the Diminished Vehicle Value wave. There are companies like WreckCheck and TrueFrame that inspect previously damaged vehicles for repair quality in an attempt to restore a portion of the vehicles diminshed value. This comes at a price however, and the consumer must pay a few hundred dollars to get a certification that their vehicle was repaired properly. Sound fair to you? WRONG! You are sitting at a stoplight minding your own business and you get blasted from behind by a "texting teeny bopper" in mommy's Expedition. You are not at fault, and mommy's insurance company is quick to tell you they will be handling the repairs, but what about Diminished Value? Your vehicle is going to take a big hit in the value department and you won't be getting compensated for it?

CARFAX just announced that they will begin a classified listing service for automobiles. This will create more awareness as vehicles will only be listed "with" history reports visible for the consumer to peruse.

So if you're the victim of an accident and you believe you are not at fault, ask about being compensated for the Diminshed Value.

For more information on diminished vehicle value or to sell a previously damaged vehicle, please visit damagemax.com.


Recent Posts


Tags

Clean-Break TIP buy salvage title vehicles flood damaged cars sell online buys any wrecked car Call DamageMAX now! AAA cars for cash repair your vehicle insurance check Branded title vehicles average tow & storage bill value of your vehicle CarbuyerUSA sell it online collision repair Inoperable vehicles collision repairs legal for less cash offer value trade in sell to damageMAX Damaged Car car's value buys your wreck repaired fix your car car parts and components we buy any car selling your damaged vehicle Dr. Harrington trade car parts junk wreck selling their damaged car value of the vehicle selling a damaged car Collision damaged vehicles replacement vehicle buy your wrecked car cash for your vehicle sell your damaged vehicle selling a vehicle free quote damaged vehicles vehicle value junk cars reduction of resale value un-repaired collision broken vehicles selling your wrecked car buy your vehicle top dollar for your damaged vehicle selling totaled vehicles E15 engine damaged vehicle industry insider buy vehicles selling a damaged vehicle Used vehicle values used vehicle sell damaged vehicles buy the damaged vehicle sell the wrecked vehicle wrecked vehicle, problem vehicles cash for your wrecked vehicle buy your car for cash value for your Damaged vehicle CarBUYERUSA.com buy a car retained by the owner Dr Harrington wrecked vehicles how to sell a damaged car inoperable cars vehicle for trade-in buy your wreck fix the vehicle sell your Honda for Top Dollar auto insurance coverage sell a damaged car sell your vehicle as-is Problem vehicles sell junk car wrecked vehicle car for sale pre-cash value selling a wrecked car damaged by collision check for your wreck DamageMAX.com tow charges sell flood vehicles repair an old or worn out vehicle CarFax Reports post-crash value insurance company sell car parts auto body collision repair buyer of damaged vehicles sell the car Sell your wreck owner retained consumer awareness liability only wrecked car diminished value old car cash out sell damaged cars title processing procedures Sell your car FAST diminished value trends High mileage vehicles accident with no insurance wrecked truck sell your vehicle Maximum Value for damaged vehicle administrative fees recycle towing company buy any car wrecked your car cash offer on any damaged vehicle settlement check high mileage vehicle sell your wrecked car immediate cash offer buy damaged cars retail value CAR-Diologist repairing the wrecked car damaged vehicle problem vehicle Trade-in Program Donate Your Wrecked Vehicle wreck your vehicle how much it costs Sell DamageMAX your wreck damaged vehicle for cash storage or tow yard free price quote sell your Honda sell your damaged We Total Any Car repairs repairing your wrecked car sell your high mileage vehicle wrecked auto repair the wrecked car sell your car selling flood damaged cars sell a car trade-in repair a vehicle Selling your wrecked vehicle vehicle values car parts for cash damaged vehicle world car accident with no insurance car into cash wrecked car experts car for top dollar buy any wrecked vehicle sell junk cars vehicle for cash fast Body shops sold repair check salvage title vehicle selling any vehicle 12% in diminished value buys wrecked cars old junker car is not totalled trade-in value repair your wrecked vehicle sell your old car vehicle wrecked car is wrecked DamageMAX Difference buy your car repair bills Chicago salvage value buy your wrecked vehicle damaged cars call DamageMAX sell a wrecked vehicle cash only leaking fluids owner retained vehicle repair the vehicle wreck your car selling their wrecked cars buy damaged vehicles DJ Harrington buy a broken vehicle vehicle's value problem truck repair orders wrecked your vehicle selling flood damaged vehicles CarFax wrecker services cash out of your wrecked vehicle damaged vehicle replacement car buying business money for damaged vehicles buy wrecked cars car buyers buyer of wrecked cars car buyer cash for the car sell the vehicle sell your wrecked car online Honda We buy damaged vehicles repair your car repairing the car buys any car sell vehicles negative carfax reports damaged vehicle purchases Sell your wrecked vehicle broken vehicle repairing the vehicle trade their damaged car D.J. DamageMAX damaged vehicle to sell buying a used car repair providers Diminished Vehicle Value Top Dollar

Archive



    GET A MORE PRECISE OFFER

    Does your car have body damage ?

    Number of airbags blown?

    Do you have a collision estimate?

    What is your insurance deductible?

    Is your car drivable?

    Do you have the car’s title?

    Does the vehicle have a salvage or rebuilt title?

    Does the vehicle motor run?

    YOUR CASH OFFER!

    CASH OFFER FOR YOUR
    DAMAGED VEHICLE

    $
    Fair market value prior to accident $


    Sell my damaged vehicle
    Check for my vehicle AS-IS

    This represents a cash offer for the vehicle as described by the seller.

    $
    Net Repair Check

    Proceeds for repairs that can be used for purchasing a replacement vehicle.

    $
    Deductible Payment

    Amount you save if you sell the car now

    $
    Cash Toward a New Vehicle
    $
    Out of Pocket Expenses
    ($0)