How To Make A Compensation Claim For The Loss In Value Of Your Car
If you weren’t already aware, Diminution (depreciation in value of your car) is the loss in value of a motor vehicle after it’s involved in a road traffic accident (which wasn’t your fault). When the person eventually goes on to sell their car, due to the accident they’ve been involved in; the value of their car will be lower and they will have paid further expenses for the car to be fully repaired.
We strongly feel as though the general public deserves to know about this grey matter; as thousands of people in the UK are losing money from diminution in value each year when selling their vehicles.
In this blog post, we will go into great detail explaining the process in which you would make a Diminution claim and discuss the potential obstacles which may arise along the way. Overall, making a diminution claim is a piece of cake!
What evidence is needed to claim back the loss of my car value after an accident?
The first thing you must do is determine that the accident was not the fault of you or your driver. If liability for the accident has not already been established, it may be necessary for us to obtain witness statements, a police report, photographs of the accident location, CCTV evidence and vehicle damage documentation.
If your vehicle has already been repaired, you will need a copy of the repair documentation. If you do not have this, don’t worry, we can obtain the paperwork for you.
If the car has not been repaired, you will need to have this done so that the extent of the claim for Diminution can be assessed. You have a number of options. You could utilise your fully comprehensive insurance policy. If you do not have this, you could either arrange for the repairs to be completed and paid for by yourself, or submit a claim for car damage to the third party insurance company direct. If you need help with this, please speak to us and we will be able to assist you.
Once the repair documents have been obtained, we would strongly recommend that you request a Diminution report from a specialist Motor Engineer. This report will be used to value your financial losses, and will be submitted to the insurers of the responsible party. We have access to the best Motor Engineers in the industry.
If you have already sold your repaired vehicle, you will be required to provide evidence of the price you received for the car, along with DVLA proof that the vehicle no longer belongs to you. If you sold it to a private seller, then it would be helpful if you had a bank statement to show the payment you received. If you used the vehicle for a part exchange deal, a copy of the paperwork you received from the garage will be sufficient.
If your vehicle was sold with the damage, it is possible to claim back the difference you sold it for, compared to the market value of a similar, undamaged vehicle. This can be difficult, as it is unlikely you will have evidence if the extent of the repairs and the third party insurers will therefore be able to argue that the damage was not as significant as you allege, and you sold it for less than you could have done.
Should you have any further queries about this article, please do not hesitate to email us. Or, Alternatively, call us on 0113 200 9720.