How to Handle a Diminished Car Accident Value Calculator in Jacksonville

Have you recently been hurt in an accident in Jacksonville and have questions about your rights and your vehicle accident claim? It falls on you to get the support of an experienced lawyer who is knowledgeable with the diminished value of a car following a wreck. This is only one example of some of the many challenges that you might experience in the process of filing a car accident claim. 

If you had planned to resell your car or even if the rest of your finances were relying on selling this vehicle as a backup plan, those strategies get shattered when your car is torn up in a serious vehicle accident. That’s when you need to know what kinds of insurance claims to file so that you can get the maximum compensation you’re owed for this situation. 

But what if you’re not sure how this process works or if you got a number back from the adjuster already and it’s too low? This can be a frustrating situation to deal with and you might need to take matters into your own hands to fix it. Thankfully, there are some processes and steps you can use to make this easier for yourself. 

Understanding Claims of Diminished Value 

Diminished value relates to the vehicle damage sustained in the accident and how this has decreased your value invested in the car itself. For example, imagine that your vehicle was worth $10,000 prior to the accident but has sustained substantial structural damage and you'd likely only be able to resell it for $2000. That is a significant difference all due to the accident caused by another party's negligence. 

This is one big reason to speak with an experienced and knowledgeable lawyer about a diminished value claim in Jacksonville as soon as possible after the insurance company has told you about their calculations. The process of a diminished value claim can be very complicated and it’s a big reason why many people do not understand that they do have the opportunity to fight back and argue that the diminished value arrived at by the insurance company does not reflect a fair number. 

It's very important to understand that process on your own so that if you do have to fight back against the insurance company that you are doing so with solid evidence that can increase your chances of getting the value that you deserve. Likewise, you'd want an experienced attorney in your corner if you sustained significant injuries in an accident all caused by another party's negligent behavior. 

Your lawyer would help to argue that the accident left you with far-reaching consequences and that you should not be responsible for coping with these changes in your life because someone else wasn't paying attention behind the wheel. Even when you believe that your case is relatively straightforward, it can be difficult to argue with a car insurance company, and having a dedicated attorney at your side to assist with a diminished value claim in Jacksonville can make a world of difference in the recovery of damage compensation. Verify that you have protected yourself to the fullest by scheduling a consultation with an attorney familiar with diminished car accident value calculators in Jacksonville as soon as possible. 

It could even be a separate battle to show that the other party was responsible in Florida since you’d likely turn to your PIP insurance first for coverage of your injuries. That’s why you want to make sure you’ve thought through all the major issues and have considered the best way to make a claim that the other person caused the accident and left you with the consequences. 

What Is a Diminished Value Claim? 

A diminished value claim is what entitles a victim to recover the difference between their car's worth before and after a vehicle accident. If you were in an accident caused by another driver, you would usually start by filing a liability claim against that driver's car insurance to cover the repairs to your vehicle. If the accident also drove down the overall market value of your car, you may be eligible to file a diminished value claim with that driver’s insurance carrier, too. 

This is because a hypothetical buyer factors in many different things into the decision of when and how to buy a car. If your vehicle has lost a significant amount of value because of an accident caused by someone else, you will be the one suffering those consequences when you try to sell the vehicle.

Once you have filed your claim the insurance company uses its own diminished value claim calculator to determine your payout. You may not agree with this payout and this makes it extremely important to be able to protect your interests and have the support of a lawyer at your side. 

You can also complete your own diminished value claim calculator process to arrive at a number that you feel is fairer but you'll only want to present this information to your insurance company after you are sure about how you arrived at this number. This will greatly increase your chances of getting the damages and the compensation difference that you deserve. 

Kinds of Diminished Value Claims

There are three primary types of diminished value claims. The first of these is an inherent diminished value which means the car's market value number once it has been repaired after an accident. Even if repairs and parts have brought the car back to a safe-to-drive condition, the accident history will decrease the car's value for potential buyers who may be concerned about the long-term impacts. This is the most commonly used type of diminished value claim. 

The second type of diminished value claim is a repair-related diminished value. If the mechanic provides substandard repairs or uses questionable quality parts on your vehicle, you may be eligible to fight for repair-related diminished value. This is because a vehicle cannot be restored to its original condition. This is especially important if you own an expensive or a luxury vehicle. The third type of claim is immediate diminished value, which refers to the resale value for your vehicle immediately after your car has been involved in an accident. 

How Diminished Value Is Calculated?

Many companies rely on the 17c diminished value formula as the way to calculate damages. It’s from a Georgia car insurance case. This does not, however, mean that you are limited to the formula’s findings and you may be able to fight back with the support of an attorney who knows about diminished vehicle accident calculator claims. 

This starts by analyzing the value of your car. Do this with a third-party tool, such as using the Kelly Bluebook. This helps to figure out what the market value of your vehicle was prior to the accident and also after repairs were completed. Kelly Bluebook can also help you identify these numbers directly by plugging in the mileage, year and the model and severity of damage in the accident. After that point, you will need to apply a 10% cap to the market value that you've calculated. For example, perhaps you identified that the market value is $10,000. 

This means that your base loss of value is 10% of that or $1000 and would be the maximum that you could recover in a diminished value claim. This is why it is so important to arrive at a fair and reasonable number for the vehicle's value before applying this cap. The third step is to apply a damage multiplier. Your payout will be further reduced based on the severity of damage in your car. For severe structural damage, for example, a multiplier of 1.00 is applied. 

For moderate damage to panels and structure, a multiplier of 0.5 is applied. This is another circumstance in which having an attorney in your corner can help you significantly because it can increase your chances of success by increasing the multiplier associated with your claim. The next phase is to apply a mileage multiplier. When determining your car's overall value, insurance companies make adjustments based on this factor of your mileage. 

Multiply this by a mileage multiplier to arrive at your final number. The mileage multiplier is based on the amount of miles driven on the car. Theoretically, newer cars will have lower mileage amounts, meaning that there is a greater loss so a multiplier of 1.00 applies to those cars that have between 0 and 19,999 miles. You can get the most money out of your diminished value claim by reaching out to your own attorney to help you navigate this process so that you can get a fair payout.       

What if I Can’t Get the Number I Want?

A lawyer can tell you more about whether the claim you’re making as far as vehicle value is fair and whether it’s worth continuing to fight in this manner. Lawyers will be more familiar with the car accident and insurance process so that you have a clear idea of what to expect. 

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John Morgan