If you are a Colorado resident who has been involved in a car accident, or were involved in one during your last visit here, you may be entitled to a diminished value claim.
Filing a diminished value claim in Colorado provides a way for you to recover lost resale the value of your vehicle.
Why file a diminished value claim? Even though repairs may be made, the simple fact that a vehicle has been in an accident will reduce its value. A diminished value claim seeks recovery for the value that has been lost from the day beforethe accident to the day after the accident.
Why Vehicles Decline in Value, In Spite of Repairs Made
If your vehicle was damaged in an accident, its value may decline even if you have made all the necessary repairs. There are several reasons for this:
- Buyers are typically reluctant to purchase vehicles with accident history.
- Dealerships will not be able to sell your vehicle in a “certified pre-owned” program.
- Replacement parts are usually never as good of quality as original equipment manufacturer (“OEM”) parts.
- Repairs can structurally compromise and weaken your vehicle.
- There might be undiscovered (and unrepaired) damage to your car.
- In some cases, it’s impossible to return a vehicle to its pre-accident condition
- A serious collision may even void your factory warranty.
Colorado Acknowledges Diminished Value Claims
Lost vehicle value, also called diminished value, is recognized as a recoverable loss in Colorado.
Colorado is therefore said to be a “diminished value state,” which means you could be entitled to bring a diminished value claim after an auto accident.
What you should remember about diminished value claims in Colorado is this:
- The statute of limitation for a diminished value claim is 3 years.
- Your personal auto insurance almost never covers diminished value.
How Negretti & Associates Can Help You with Your Claim
Insurance companies are more concerned with maximizing profit margins than helping those affected by car accidents. For this reason, your insurance adjuster may undervalue or deny your diminution of value claim. The insurance company will always try to reduce its costs and save money.
The experienced auto accident lawyers at Negretti & Associates regularly handle diminished value claims for our Colorado clients. If you’d like to schedule a free consultation, please call us at 602-531-3911 or click here to write to us.