What you Need to Know About Diminished Value Claims

When your vehicle is damaged in an auto accident, even after professional repairs, it often loses value simply because it was involved in an accident. This loss in value is called "diminished value," and you may be entitled to compensation for it.

What is Diminished Value?

Diminished value refers to the difference between your vehicle's value before the accident and its value after repairs have been completed. Even with perfect repairs, most vehicles will be worth less on the market simply because they have an accident history.

Types of Diminished Value

There are three main types of diminished value claims:

• Immediate Diminished Value: The loss in value right after the accident, before any repairs
• Inherent Diminished Value: The permanent loss in value after repairs due to accident history
• Repair-Related Diminished Value: Loss due to poor quality repairs or use of aftermarket parts

Who Can File a Diminished Value Claim?

In Utah, you can file a diminished value claim if:

• You were not at fault for the accident
• Your vehicle sustained significant damage requiring repairs
• Your vehicle is relatively new (typically less than 5 years old)
• The repairs were substantial enough to affect resale value

How to Calculate Diminished Value

Several factors affect the calculation of diminished value:

• Vehicle age, make, model, and mileage
• Extent and type of damage
• Quality of repairs performed
• Market demand for your specific vehicle
• Accident history reported to services like Carfax

How Utah Accident Solutions Can Help

Pursuing a diminished value claim can be complex, requiring professional appraisals and negotiations with insurance companies. At Utah Accident Solutions, we can connect you with experts who specialize in diminished value claims to ensure you receive fair compensation.

Don't let the insurance company shortchange you on your vehicle's lost value. Contact us today to learn more about your rights and options.