Vehical depreciation after accident repair question

Jim Werth · #1 (**permalink**) 04-29-2009, 04:16 PM

My son was in an accident when driving a 2008 Ford Focus. The other driver admitted 100% fault. Car has $6700 in damages. Question is after the repair, what percent value is the car depreciated? Having a war with the other guys insurance not calling or paying bills already incured. I am a co-owner of this car because I co-signed a loan for him. Asking for loss of wages for him and bills owed. Giving the insurance company till friday before I call a lawyer. Any idea what I should ask for in depreciation? Thanks Jim

elmariachi · #2 (**permalink**) 04-29-2009, 04:39 PM

Quote:

Originally Posted by Jim Werth

My son was in an accident when driving a 2008 Ford Focus. The other driver admitted 100% fault. Car has $6700 in damages. Question is after the repair, what percent value is the car depreciated? Having a war with the other guys insurance not calling or paying bills already incured. I am a co-owner of this car because I co-signed a loan for him. Asking for loss of wages for him and bills owed. Giving the insurance company till friday before I call a lawyer. Any idea what I should ask for in depreciation? Thanks Jim

Its called "diminished value," read here. I have managed to get compensated on both of the two accidents I have had where I was not at fault. You have to badger and demand they pay, because their standard policy is to not pay it. But as the article says, the courts have said otherwise in many states. They make you jump through some hoops and make you get some appraisals, but in my case it was worth another $1000+ in both instances. You gotta get your argument down, and timing is key. Reference how people are going to react when they pull a CarFax and learn your car has been wrecked. Point out that this fact alone will lessen the number of people who will even want to consider buying it. And its a well-known fact that dealers bid less for cars that have been repaired and painted on. Then, right as you are about to settle, introduce the DV argument, so that whatever you get is above and beyond the agreed settlement for repairs.

Good luck.

Jim

mrmustang · #3 (**permalink**) 04-29-2009, 04:45 PM

It's called "diminished value", as for how much, that really depends on how well the car is repaired, if new OEM only parts are used, and if there are any signs of damage repair afterwards. Make sure that you demand OEM parts only, no aftermarket parts at all. Demand to see the receipts for these parts. Do not get steered to one body shop or another because it is the other persons insurance companies "preferred" or "certified" shop. Know your rights, especially the right to have it repaired at a shop of your choosing. Pick one that you trust, explain to the owner that you are the customer, not the insurance company and make sure they understand to have your best interests in mind, not that of the insurance company. Expect push-back from the insurance company as they do not like situations where they are not in 100% control.

Hope you find this helpful.

Sincerely,

Bill S.

427 S/O · #4 (**permalink**) 04-29-2009, 05:03 PM

Many years ago I had a difference with an ins. co., I wrote the state ins. commissioner and resolution soon followed.

bdeutsch · #5 (**permalink**) 04-29-2009, 05:17 PM

I am a bit surprised that with that much damage, that the car was not totaled.

Did a quick Blue Book trade-in estimate; guessed on a few variables. Trade-in value is somewhere between $11k to $9.3k (based on my location in CA).

mrmustang · #6 (**permalink**) 04-29-2009, 05:20 PM

Quote:

Originally Posted by bdeutsch

I am a bit surprised that with that much damage, that the car was not totaled.

Did a quick Blue Book trade-in estimate; guessed on a few variables. Trade-in value is somewhere between $11k to $9.3k (based on my location in CA).

Most insurance companies will spend up to 70-75% of the value of a car before they consider it a "wipe" (totalled).........

Bill S.

Jim Werth · #7 (**permalink**) 04-29-2009, 06:47 PM

It is getting taken to the body shop that I picked next week. It's been over 2 weeks for them to OK the repair. They are using all new OEM parts. I also know a bodyman that works there. Thanks for the advice. I really don't want to use a lawyer but looks like I will have too. Jim

Jerry Clayton · #8 (**permalink**) 04-29-2009, 08:09 PM

use your insurance, pay the deductable and let them get it back

DAVID GAGNARD · #9 (**permalink**) 04-30-2009, 10:39 AM

I thought WI. was a "no-fault" state as far as insurance goes??????

David

Jim Werth · #10 (**permalink**) 04-30-2009, 03:30 PM

Wisconsin is not a no fault state. Insurance will only get car fixed minus deductable. Called the other guys insurance company again today. Only got voice mail. They did call back 2 minutes before they closed, but i was outside. Only heard it ring 2 times. They left no message but caller ID said they called. Called back but they were closed. Will try again tomorrow! Jim

DAVID GAGNARD · #11 (**permalink**) 05-01-2009, 05:39 AM

Jim;

Don't know why, but I thought WI. was a no-fault insurance state....

If you don't get what you want from the "at-fault" company,let your insurance company handle the repairs/rental,etc., and they will subrogate against the other company. It will be quicker on your part getting your car repaired.

as for "diminished value", 15% of the car's A.C.V. would be the norm for that year model.....

David

misfit41 · #12 (**permalink**) 05-02-2009, 02:18 PM

6700.00 in repairs is not much these days considering all new parts and body shop rates. This is why you see cars with salvage titles that are still drivable with seemingly little damage.Figure 80 to 100 bucks an hour,2 to 4 k in parts and hundreds in paint and materials, it isn't really a lot of damage.
I would say if the shop does a nice job with oem parts it may be best to keep the car ,after all the insurance co is responsible for is fixing the damage , if you can get that done it's a good days work.
Only 6700.00 in damage will likely never be reported to carfax anyway so I would be concerned with getting the car repaired properly and then move on. A of couple years down the road trade in on a 150k mile focus is not going to vary much regardless of history as long as it looks,runs and drives decent.
Carfax is pretty much a joke.
good luck,Tk