Wednesday, July 11, 2007

Diminished Value of Automobiles after an accident


One of the auto insurance industry's best kept secret is the concept of Diminished Value. Diminished value is the term given to the loss in market value a vehicle suffers as a result of an accident. Even after the insurance company pays for the repair, you should inquire about Diminished Value because potential buyers will no longer want to pay the same price for the car. Hence, the value of the car has diminished. My wife was recently involved in a car accident, where her AUDI A4 was rear-ended. The insurance company of the person at fault was quick to offer $500 as a total amout to close all transactions. They had already paid for all repairs totaling several thousand dollars - AUDIs are expensive to repair.

We filed for a Diminished Value appraisal from Autoloss.com. Still in process, but we will update you on what the outcome is...please come back to find out.

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About Me

I am an engineer with a fortune 500 company, but willing to go somewhere else if the deal is right. I specialize in Digital electronics design including Field Programmable Gate Array (FPGA) design.