Originally Posted by Boomer-Bob

Just search the web "Diminished Value" or "DV" for laws sample letters etc. Insurance Adjusters are most all aware of this, they may not like it in some states, and may be able to dodge it in others. It is most usually only available if you are filing a "third party claim", that is, not your own insurance company. It's the at fault driver or his insurance company that has to pay it... usually. It's not greedy or dishonest, you down graded your ride, you have a loss, they owe you. PS It is based on the number of days your ride is out of service, not the number of days you rent a car. If you rent or not isn't important. ALL IMHO GL

Originally Posted by gee wiz

Due to our recent accident I inquired to Allstate about assistance in going after the responsible party (uninsured motorist) as a third party claim for diminished value. I was told I would have to do this myself. I then asked if they could assist me in a DV assessment on my vehicle, which was only two weeks old at the time of the accident. I was told (and this may be only the case here in my state) that diminished value can only be assessed when you actually incur a loss of value, which would only occur at the time of the sale of the vehicle. They said the law allows three years from the date of the accident to file such a claim against the third party. This may be considered BS by some, but they stood firmly behind their statement.

In our case, we could sell the car now, incur a loss, go after the responsible party, but there's no guarantee that we'll be able to suck blood from a turnip. We could inevitably sustain a larger loss. The car is repaired well to our liking and there was no frame or major damage. We plan to keep it for several years, at which point at the time of the future sale the accident and repairs probably won't be a factor. Our 2003 G was rear-ended twice and received moderate body repairs. When we sold it earlier this year we declared the repairs, which were done well, and we were still able to get full blue book value. With a newer car I'm sure this wouldn't be possible, thus diminished value would be more critical.

Originally Posted by Boomer-Bob

GeeWiz
Did the Allstate agent tell you this in a letter? Maybe provide a Legal Citation as the basis for their opinion? Often the grounds are "Inherent Diminished Value". If it is barred by statute, I would ask their help in citing the state law that applies. Could be they are correct.

PS There are legal firms in some states that specialize in DV. Could be worth a phone call or two IMHO.

Originally Posted by gee wiz

The info I obtained from Allstate was verbal by phone. My local agent wasn't too clear on DV, so he made a call with me present in his office and had me speak with someone in claims, who then gave me the explanation. I will look into this further and ask for written proof.

Even if I went after the third party for DV, I doubt I would succeed in obtaining a single penny. The guy was uninsured, driving someone else's car, living with someone in a home that is not in his name and Allstate is already going after him for over $6,000 for the repairs. I guess anything is worth a try, but I'm not feeling good about this one.

Thanks for the info!