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Hi all, I've been doing my homework on the question of Diminished Value. Seems both lawyers I've spoke to have the same outlook. The insurance companies have become both financially, and politically involved to limit how DV is calculated in the courts. It looks like the States, who allow DV claims, have loaded the way the claims are calculated. First step is to find the actual sale value of your car. They will only accept either NADA, or Kelly Blue Book values, as your basis for a DV claim. Then you have to reduce the value, by a percentage based on age. (when you look up your cars value, you use model in every case, and this determines age. ) Then another reduction by percentage based on mileage. (they give a table of mileage, and the amount of percentage) The next step is based on the damage of your repair, this is based on how many panels have to be replaced, or if repaired or straightened, with no replacement parts. Of course the more damage the higher the percentage. So, if you have a older car, but very pristine, you will have very little DV in your claim. The only way to really win a good DV suite is to drive a new, expensive car that has a high original value, since you have to use the NADA, or Kelly Blue Book to calculate the starting value. Now, I'm fighting the Insurance company about the value of the repair estimates. I've a estimate from a local body shop, which I thought was a good reference of the repairs. The insurance company sent their own adjuster to look at my Z4. The difference between the two adjusters was only $94.00. The actual difference in repairs was the value of the replacement of the rear left wheel, vs refurbish, and cost of the tire. The adjuster did use the replacement value of the tire, but deducted for tread wear. The body shop used the replacement cost of the tire, at 100%. Both made note of supplements should they be needed for non-visible damage. Neither estimate made no note of internal damage to the door, latches, and window parts, nor any mention of wheel bearings, axels, or suspension parts. I've noted both wheel sounds, and suspension sounds, so the car will have to be checked once it is opened up, and inspected for further damage. So, I'll have to wait and see.
Not sure who you spoke to, but you got bad advice.

Insurance cannot declare 'who they will accept' for value.... there is no estabished precedence in NH. (Im guessing you talked to free online attornies that give out a 5 minute review hoping to recruit someone with physical injury/medical claims?


Did these attorneys say that a priceless, antique car- since it isnt listed in Nada or KBB, will be valued at $0? (After all, that's what you said- they only accept nada or kbb...)

Im not sure DV is a good path for you....but your analysis of how you think they compute DV seems off....
 

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Not sure who you spoke to, but you got bad advice.

Insurance cannot declare 'who they will accept' for value.... there is no estabished precedence in NH. (Im guessing you talked to free online attornies that give out a 5 minute review hoping to recruit someone with physical injury/medical claims?


Did these attorneys say that a priceless, antique car- since it isnt listed in Nada or KBB, will be valued at $0? (After all, that's what you said- they only accept nada or kbb...)

Im not sure DV is a good path for you....but your analysis of how you think they compute DV seems off....
Interesting reading.
And good information to hear, the post regarding the attorney consultations had me thinking they had squashed getting realistic DV damages.

I was reading through the different states and GA talks about something that originated there, Forumla 17c.



It sounds like that is the formula that the attorneys the OP spoke to are referring to.
However, as you stated that isn’t a legally binding appraisal method that has to be used.

Sounds like many insurance companies use it and try to push the consumer to accept it in a settlement, because of course most times it significantly undervalues the DV vs reality.

The link you provided also offers DV appraisals, don’t know anything about the company but they charge $250.
If after DYOR of the company, it may be well worth it to get the appraisal for the information and DV conclusion it comes to.

Could be used as a negotiation tool in a DV claim, especially if the insurance company throws out a low ball 17c amount, and also help in determining if there is enough potential damages to pursue through litigation if necessary.
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Discussion Starter · #23 ·
Thanks for all your input so far. As far as this claim goes, I've not mentioned DV to anyone regarding to my claim. From what I have reduced from all the information I've gotten from you guys, and other sources of info, I should not spring it on the insurance company until the repairs are completed. As far as the "Formula 17C" it is devised to limit insurance companies liability in Ga. for one specific case in their courts. Of course since it succeeded in Ga, it was adopted in other cases, in other States. In NH, there has not been any activity as far as legislation concerning DV. I do know NH, being in New England, has a vast majority of the laws modeled from English Common Law. This model is not consumer oriented in many ways. So far, my plan of action will be as of now, wait until all the repairs listed on the estimate are completed, and any supplement damages are completed. Then get a copy of my Z Carfax, and see what has been added since the accident. Then start talking to the insurance company about DV, and possibly going after the driver of their rental truck. The driver of the U-Haul was charged with the accident, for making a "dangerous lane change resulting in a accident". That's where things stand to this minute. Thanks again.
 

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Discussion Starter · #24 ·
I got my check from the insurance company. It is for the exact amount of the insurance companies adjuster, not the amount of the repair shop. However, the amount only differs by $93.00. That is the amount to replace a 1/2 worn out tire, at full value, and repair the wheel. I'm working on determining the "diminished value" of my 2009 BMW Z4 3.0sdrive. Prior to the accident, "car fax had no record of any accidents." Within days, the car fax had recorded my accident, and amount of damage. It was reported by the Concord Police Department. I'll be taking the Z in for repairs on Wednesday. I'll also pickup a rental car, the insurance company will pay by reimbursement. When I spoke to lawyers about Diminished Value cases, none were well versed on that type of lawsuit. Both said people in NH do not even know about DV. Or, they drive such old common type cars, of such little value it is not a concern. I only noticed it when I looked on various auto sales sites, when my Z had gone significantly higher in value than what I paid for the car. I originally paid $18,000 for my Z4 3.0 Sdrive, 4 years ago. I saw a very similar car for sale, even the build list by VIN number was close only my car was not equipped with satellite radio, but wired for it. Even the same wheels, seats, and leather. The sale price for this 2009 Z4 3.0 Sdrive listed for $24,500.00 at a BMW dealership.
 

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Discussion Starter · #25 ·
Hello all, I dropped off my Z4 at the body shop for all the repairs. They said it would take about 3 weeks. I got my rental car for the entire time. The rental agency has had success suing for DV on their rental fleet cars.
 

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Of all places, I was driving in downtown Concord, NH, to a local restaurant on South Main St. While stopped at a light, a U-Haul box truck pulled up beside my pristine 2009 Z4 3.0 Sdrive. When the light changed the driver of the U-Haul decided to go straight, then had to change lanes to the right, into the side of my Z. His right front wheel started at the rear bumper, ripped the bumper, continued along the quarter panel, and then onto the drivers door, crushing it past the bottom brace. Then onto the fender. The police were called, and the U-Haul driver was cited for dangerous lane change resulting in a accident. I had to get a estimate for the U-Haul insurance company, it came to over $7800.00. The body shop said it may be hard to get some of the parts. Now, the U-Hauls company want to send their claim person to look at the car. Hopefully it will not be a total loss. Here is a profile photo. View attachment 1043484
Something like this happened to my wife while she was driving my 128i.
My insurance company covered everything because the other driver was at fault.
I brought the car to my local authorized BMW dealer to have the repairs completed and got a life time warrantee on the work performed by the BMW dealer.
I also took that opportunity to have all the recalls done!
The insurance company paid for a BMW rental for the 3 1/2 weeks it took to repair the car.

The only down side is for me is that in Quebec / Canada, when a car requires more than $7500 for accident repairs, it will lose a lot of it's resale value.
I ended up selling the poor girl for a song, only a few years later...

I hope this helps you to bring it to an authorized BMW dealer for the repairs and let BMW deal with the insurance company.
 
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