What to Know with Regards to Vehicle Diminished Value
Research has shown that accidents involving cars happen every ten seconds. This translates to thousands of accidents in towns such as Houston alone annually. Being involved in a car crash and getting your car wrecked, means that your car has a permanent diminished value.
The term diminished value refers to when a vehicle is involved in an accident and gets damaged physically, structurally and cosmetically. Even if the automobile gets fixed back to a new-like condition and looks immaculate, it will not have the same worth as it had before the crash. To understand clearly, the difference between the worth of your car before and after the collision is what is referred to as diminished value of your automobile.
Austin diminished value is a common phenomenon and actually exists. Towns such as Austin require full disclosure of accidents which occurs to a vehicle because some buyers would not like to purchase cars that have been involved in an accident. Most buyers need a car that has never ever been in an accident and even if they do, it should go for way less than that which has not been involved in an accident.
Three main types of diminished value apply to claims that companies such as Hansen Price use and they are as follows.
Immediate Diminished Value
An immediate diminished value signifies the difference in the resale value of the car after the car crash.
Inherent Diminished Value
The decrease in the worth of the car from the accident when put up for sale in the market is what is referred to as inherent diminished value and is what is the commonly recognized and most accepted form of diminished value.
Repair Related Diminished Value
This is the last type of diminished value and identifies with the depreciated amount of the vehicle due to improper repairs, poor quality repairs, or having some repair work not completed.
Virtually towns such as Austin and Fort Worth allow people to file their diminished value done by firms such as Hansen Price if they were not the ones that caused the accident. Some of the diminished value insurance claims include the first-party claim and third party. As for the first-party diminished value insurance claim, the person who caused the car collision will have to ask his car insurance company to pay for the claim. As for third-party insurance claim, you did not cause the accident meaning therefore that the insurance company of the person who wrecked your car will pay the claim.
Several factors go into calculating the exact diminished value of your vehicle after an accident, and they include the age of the car, pre-accident condition, value of the car before it was damaged as a result of the accident, mileage and if it has ever been involved in another accident before.
Always seek for counsel from firms like Hansen Price that have the expertise in such matters to help you get the amount of money you deserve from these claims.