If you were involved in a minor car accident in Nevada, your insurance policy might reimburse you for the damage, but the value of your vehicle can still diminish. Even when a car is restored to its original condition, an accident can still put a dent in its resale value. Fortunately, insurance companies in Nevada permit diminished value claims.
Diminished value is defined as the loss of a vehicle’s value after it has been repaired due to an accident or defect. Even the best body shop in the world can’t repair a vehicle back to its original factory condition. If you are involved in a car accident, you have the right to file a diminished value claim if you believe that a purchaser will not pay as much for your car that has been repaired as they would for a similar vehicle that has not been repaired.
Nevada uses a fault-based car insurance law to determine liability for a collision. If you did not cause the accident, the at-fault party’s insurance company is responsible for your diminished value claim. On the other hand, if you caused the crash, you may be able to seek compensation for the diminished resale value of your vehicle from your own insurance provider. However, your insurer will more than likely only cover the repairs necessary to restore your vehicle, as diminished value claims are only paid in very limited circumstances.
There are several types of diminished value claims:
The most common type of claim is for inherent diminished value, which you may be entitled to if the value of your vehicle is less than it was before the accident, even after receiving quality repairs to restore your vehicle.
Your ability to recover fair compensation for a diminished value claim will heavily depend on the negotiations with the at-fault party’s insurance company. Insurance adjusters often use tactics to undervalue or deny diminished value claims. Their first settlement offer will likely be lower than your claim’s worth. Before accepting, speak to a Las Vegas car accident attorney so they can evaluate your case and advise you on how much compensation you are entitled to.