Are you entitled to Diminished Value (also referred to as diminution) claim? Diminished Value is the reduction in a vehicle’s ‘market value’ occurring after a vehicle is damaged in an accident and then repaired. No person would want to pay the same price for a damaged, then repaired vehicle, as they would for a vehicle with no prior accident history. Even if the repairs are done properly by the collision center, the vehicle will still lose value. To collect diminished value in North Carolina after a car accident, most insurance companies require a third-party unbiased diminished value appraisal from a licensed appraiser. A Diminished Value payment is in addition to any repair cost and/or bodily injury paid by the insurance company.
Not all insurance companies will advise you that you’re entitled to file a claim for diminished value. This is where CK Appraisals can assist you! At your request, CK Appraisals will prepare a detailed diminished value report according to the ‘market value’ of your vehicle. You will then have documentation from a licensed appraiser to give to the insurance company.
The state of North Carolina mandates diminished value appraisals to be prepared by a licensed appraiser who maintains a license issued by the state of North Carolina. There are many online appraisal companies that claim to prepare appraisals for North Carolina; however, they are not necessarily licensed in North Carolina. Insurance companies will NOT accept appraisals from these non-North Carolina licensed appraisers.
North Carolina General Statute §20-71.4 states it is unlawful for the transferor of a vehicle not to disclose the damage to a vehicle when the damage suffered to the vehicle exceeded 25% of its fair market value at the time of the collision or other occurrences.
What is Fair Market Value? The measure of damages is the Fair Market Value of the vehicle immediately before the collision and the Fair Market Value after the vehicle was damaged in an accident or other occurrences.
CK Appraisals prepares diminished value appraisals in North Carolina, South Carolina, Georgia, Florida, Tennessee, Virginia, and most states in the Southeast Region.