What Is a Nevada Diminished Value Claim?

ER Injury Attorneys
Nevada diminished value claim

When your vehicle is involved in a wreck and suffers damage, the value decreases even if your vehicle is repaired. As Nevada is a diminished value state, it is possible that you can obtain some compensation for the value of your vehicle due. In this blog, the Las Vegas personal injury attorneys at ER Injury Attorneys explain what a Nevada diminished value claim is and how we can help you in the process.  

What Is a Nevada Diminished Value Claim? 

The diminished value is the difference between your car’s market value before and after the accident with repairs. Any repairs made to your vehicle will permanently decrease the value. By filing a Nevada diminished value claim, you may recover the loss of value when selling or trading in a car. 

Types of Diminished Value in Nevada

Diminished value claims can vary significantly depending on the terms of your insurance policy. Depending on the circumstances, your claim will fall under one of the following types. 

Inherent diminished value

Inherent diminished value refers to the loss of a vehicle’s value due to damage caused by a collision. This type of diminished value estimates the decrease in the vehicle’s worth based on its accident history. It assumes that the repairs were carried out correctly. Inherent diminished value is the most common type of diminished value claim.

Immediate diminished value

Immediate diminished is the difference in the vehicle’s resale value immediately after the accident, prior to any repairs being made. This type of diminished value claim is less common because insurance policies typically cover the cost of repairs.

Repair-related diminished value

Repair-related diminished value occurs when a vehicle loses value due to subpar repairs or the use of unauthorized parts. Even after repairs are made, the vehicle may never fully return to its pre-accident condition, resulting in a decreased market value.

How Is Diminished Value Calculated? 

Insurance companies have different methods of calculating diminished value, but the most common is the formula 17c method. This formula takes the following factors into account:

  • The value of your car before the accident: this is determined by Kelley Blue Book (KBB) or National Automotive Dealers Association (NADA).
  • A cap of 10% on the value of your car: this amount will be added to your vehicle’s value from one of the above sources. 
  • A damage and mileage multiplier: this multiplier is used to determine the extent of the diminished value, based on the severity of the damage to your car and the number of miles it has been driven.

Steps to Filing a Diminished Value Claim in Nevada

  • Check your eligibility: make sure you are eligible to file a diminished value claim by checking the following:
    • You were not the at-fault party in the crash.
    • The damage was caused by a collision.
    • The accident occurred within three years of the current date.
  • Contact the insurance company of the liable driver: get in touch with the insurance company of the driver who was at fault for the accident. The process of filing a claim will vary based on the insurance provider and their policies. 
  • Have your vehicle appraised: a certified vehicle appraiser to determine the diminished value of your vehicle.
  • Gather evidence: to help support your claim, take photographs of the accident-related damages and gather any relevant accident-related documents, including the information from the certified vehicle appraiser.

How Las Vegas Injury Lawyers Can Help Your Nevada Diminished Value Claim

Filing a diminished value claim after an injury-related car accident can be a daunting task, but a personal injury attorney from ER Injury Attorneys can help you every step of the way by:

  • Gathering evidence: your attorney can help you gather evidence of the diminished value of your vehicle, such as the appraisal, repair estimates, and photos of the damage.
  • Evaluating your claim: after reviewing your claim, your lawyer will determine if you are entitled to compensation. 
  • Negotiating with your insurance company: an attorney can negotiate with the insurance company on your behalf to get you the maximum possible settlement for your diminished value claim.
  • Possibly help you file a claim even if you are the at-fault party: under Nevada’s modified comparative negligence laws, your attorney may even be able to help you recover losses from a damaged vehicle even if you were partially at fault for the accident.

Contact a Las Vegas Injury Attorney

When filing a Nevada diminished value claim after a car accident, the insurance companies will often deny or lowball diminished value claims. Don’t let this happen to you! The team at ER Injury Attorneys will fight to see you secure the rightful compensation for your vehicle and more. 

We’ve helped clients in Las Vegas, Henderson, Summerlin, Boulder City, and Pahrump successfully file diminished value claims. Contact us 24/7 by calling 702-878-7878, via LiveChat, or by filling out our contact form for your free case consultation.

The information on this blog is for general information purposes only. Nothing herein should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship.