Auto Accidents, Car Accident Information, Car Accidents

Texas Diminished Value Claims After A Car Accident

Does Texas pay diminished value claims?

Many car accidents result in significant damage to your vehicle, which can impact its overall value even after it is repaired. In Texas, you have the right to seek compensation for the diminished value of your vehicle under certain circumstances. Discuss a possible claim with an Austin car accident lawyer right away.

At-Fault Claims

In order to seek a diminished value claim in Texas, you must be able to show that someone else was at fault for a collision that caused the vehicle damage. You would file the claim against the at-fault driver’s insurance company. If that driver is uninsured or you were in a hit-and-run accident, you can file the claim against your own uninsured motorist policy.

Learn more: Fault and Liability For Car Accidents

Calculating Diminished Value

There are different ways to determine the diminished value for the purposes of a claim, as follows.

1. Inherent value loss = This is the most common type of diminished value claim and refers to the difference in the vehicle’s resale value from before the collision to after the best quality of repairs are completed.
2. Repair-related value loss = If a vehicle cannot be repaired to its prior state, it will be worth less even after repairs finish up than its worth prior to the collision.
3. Immediate value loss = This refers to the difference in the vehicle’s resale value from before the collision happened to right after the collision but before vehicle repairs. Immediate diminished value also applies if an insurer becomes directly involved in repairs and results in insufficient repairs. If insurance control over repairs leaves the vehicle in lesser condition, it will diminish the value.

The reality is that any vehicle damaged in a collision will likely lose value, even if it is fully repaired. When someone is considering a vehicle purchase, they will likely not want to pay the same amount for a vehicle that was in an accident as a vehicle that was never in an accident. They want to pay less for a repaired vehicle, meaning it has diminished value.

Calculating the proper diminished value for your claim is critical to ensure you receive the full amount you deserve. An experienced attorney who handles car accident claims in Texas will know how to conduct such calculations.

Fighting for Proper Compensation from Insurers

Insurance companies will try to reduce the amount they pay for your claim, including for injuries and diminished vehicle value. An insurer will try to tell you how much your diminished value claim is worth, and it will certainly be lower than it should be. Never trust insurance company calculations – instead, consult with a lawyer who can handle your claim and seek the full amount you deserve.

Also read: Secrets The Insurance Company Doesn’t Want You To Know!

Let an Austin Car Accident Attorney Help

The legal team at Terry & Kelly PLLC handles all aspects of car accident claims, including seeking compensation for your injuries as well as the diminished value of your vehicle. We can assess the full amount you deserve for your insurance settlement, and we will fight for the insurer to maximize your settlement. Contact us for a free consultation today.