[Moony]

Hey everyone I need some help deciding whether or not this is a fair value.

4/14/15 2 days After driving my car off the lot I was hit by a negligent driver in a parking garage. She was speeding through corners and claimed to miss the brakes before smashing into the front of my vehicle. She claimed fault and everything's been handled through her insurance (Geico)

Geico is willing to write me a check for $2500 for the diminished value claim, not sure if they are being fair or lowballing.

At the time of the accident I had 466 Miles clocked in.

Breakdown:
Repair Costs







MSRP Paper


KBB Values my car now at


I was thinking I'm supposed to at least get $4000-5000 maybe even more.

Thanks for any/all help

[bimmer_335]

$2500 is on top of them repairing your car?

[rolltidef32]

Sorry about the accident man.

If they fixed the car, then gave you $2500, that looks to be ok, but just ok.

Front end damage is the worst and you still can take your car to the dealer to check under the hood; in fact, strongly suggest if you have not done so.

Was that the final bill, post repair?

You can tell them that another $1000 is more fair to you since you were at fewer than 1000 miles. Pocket the money for the next car.

Also, if this was a lease, take the money. If purchased. Keep fighting up to contacting corporate.

[JAYRICHFROMMIAMI]

The insurer's offer is way low but since there doesn't seem to be any structural or air bag damage (you only showed the final tally so there's no way for me to know) then it's at least something....better than "Repairing a vehicle to its pre-loss physical condition will in the vast majority of cases restore the market value of the vehicle to the same level it was prior to the accident." which Progressive stated before the report from St. Lucie Appraisal showed that they were full of it. My advice(s), get a comprehensive appraisal from a state-licensed appraiser (any state will do) then persevere until you get a satisfactory settlement amount. It's all in the appraisal....if the insurance company's defense attorneys tell the adjuster that the appraisal will stand up in court you have a great chance of getting paid without having to go to small claims court.

[CalCarNut]

I'm fuzzy on this whole 'diminished value' thing even after reading a few threads on it. How is this supposed to be calculated? % of total damages repaired? If the car was made whole again and at the level it was..why is there a diminished value on the car?

Any constructive comments welcome

[Moony]

Originally Posted by rolltidef32

Sorry about the accident man.

If they fixed the car, then gave you $2500, that looks to be ok, but just ok.

Front end damage is the worst and you still can take your car to the dealer to check under the hood; in fact, strongly suggest if you have not done so.

Was that the final bill, post repair?

You can tell them that another $1000 is more fair to you since you were at fewer than 1000 miles. Pocket the money for the next car.

Also, if this was a lease, take the money. If purchased. Keep fighting up to contacting corporate.

Cars been repaired already and the final quote came out to $500 more than the estimated total and sounds good thanks for the input ill start demanding more money!

[Moony]

Originally Posted by JAYRICHFROMMIAMI

The insurer's offer is way low but since there doesn't seem to be any structural or air bag damage (you only showed the final tally so there's no way for me to know) then it's at least something....better than "Repairing a vehicle to its pre-loss physical condition will in the vast majority of cases restore the market value of the vehicle to the same level it was prior to the accident." which Progressive stated before the report from St. Lucie Appraisal showed that they were full of it. My advice(s), get a comprehensive appraisal from a state-licensed appraiser (any state will do) then persevere until you get a satisfactory settlement amount. It's all in the appraisal....if the insurance company's defense attorneys tell the adjuster that the appraisal will stand up in court you have a great chance of getting paid without having to go to small claims court.

I've updated the post with the full document, it looks to be mainly cosmetic

Originally Posted by SoCalDave

I'm fuzzy on this whole 'diminished value' thing even after reading a few threads on it. How is this supposed to be calculated? % of total damages repaired? If the car was made whole again and at the level it was..why is there a diminished value on the car?

Any constructive comments welcome

The way I see it is even though the car has been repaired there will always be that report on file (carfax) that the vehicle was in an accident. Later on when you sell the car, whatever kbb posts as private party value would not be the price people would want to pay since there's been accident history

[BMWrules7]

Originally Posted by cchong4

Hey everyone I need some help deciding whether or not this is a fair value.

4/14/15 2 days After driving my car off the lot I was hit by a negligent driver in a parking garage. She was speeding through corners and claimed to miss the brakes before smashing into the front of my vehicle. She claimed fault and everything's been handled through her insurance (Geico)

Geico is willing to write me a check for $2500 for the diminished value claim, not sure if they are being fair or lowballing.

At the time of the accident I had 466 Miles clocked in.

Breakdown:
Repair Costs
Attachment 1221783
Attachment 1221784
Attachment 1221785
Attachment 1221786
Attachment 1221787


MSRP Paper
Attachment 1221644

KBB Values my car now at
Attachment 1221662

I was thinking I'm supposed to at least get $4000-5000 maybe even more.

Thanks for any/all help

In general, the tail on liability and physical damage lasts indefinitely.

So, let's say a year from now you discover more engine damage related to this accident. You are allowed to reopen the claim and get reimbursed. Plus, you won't have to pay an additional deductible.


make absolutely sure you're not waiving the right to reopen the claim if you discover more damage if you accept the $2500 diminished value. That's a trap you need to be aware of.

[Moony]

Originally Posted by BMWrules7

In general, the tail on liability and physical damage lasts indefinitely.

So, let's say a year from now you discover more engine damage related to this accident. You are allowed to reopen the claim and get reimbursed. Plus, you won't have to pay an additional deductible.


make absolutely sure you're not waiving the right to reopen the claim if you discover more damage if you accept the $2500 diminished value. That's a trap you need to be aware of.

You make a very good point. I actually noticed on their "Release of Property Damage Claim" it states...

"The undersigned voluntarily accepts the sums offered for the purpose of making a full and final settlement and acknowledges that no promise, inducement, representation or agreement not contained in this document has been made to the undersigned for his/her representative, that this Release contains the entire agreement between the parties to this Release, and that the terms of this Release are contractual and not a mere recital"

[rolltidef32]

Originally Posted by cchong4

You make a very good point. I actually noticed on their "Release of Property Damage Claim" it states...

"The undersigned voluntarily accepts the sums offered for the purpose of making a full and final settlement and acknowledges that no promise, inducement, representation or agreement not contained in this document has been made to the undersigned for his/her representative, that this Release contains the entire agreement between the parties to this Release, and that the terms of this Release are contractual and not a mere recital"

Well see, BMWrules7 brings up a key point that I forgot; liability waiver.

This is also why I said let the dealership look under the hood and at the suspension.

Did you have an authorized shop fix the car? All OEM? Likely all OEM parts since the 4 series really doesn't have aftermarket body panels just yet in wide circulation.

Anyway, yes, this looks to be mostly slow to moderate speed cosmetic, but it still may have caused suspension damage. Your engine would likely not be damaged unless a front end collision exceeded 35mph, but then, the airbags deploy just north of that, I think.

Just getting it checked out would even make me feel better!

[Moony]

Originally Posted by rolltidef32

Well see, BMWrules7 brings up a key point that I forgot; liability waiver.

This is also why I said let the dealership look under the hood and at the suspension.

Did you have an authorized shop fix the car? All OEM? Likely all OEM parts since the 4 series really doesn't have aftermarket body panels just yet in wide circulation.

Anyway, yes, this looks to be mostly slow to moderate speed cosmetic, but it still may have caused suspension damage. Your engine would likely not be damaged unless a front end collision exceeded 35mph, but then, the airbags deploy just north of that, I think.

Just getting it checked out would even make me feel better!

yeah a Certified BMW shop took care of all the repairs and ordered all OEM parts. They're actually a BMW dealership with a collision center and they checked out all the essentials in terms of everything under the hood as well. Collision was no more than 10-15mph in a parking garage so damage wouldnt be that bad except cosmetically.

[claykin]

Florida law allow you to re-open an accident claim for up to 3 or 4 years (cannot recall) provided you have collision coverage. Check with your insurance company to confirm.

Diminished value is relatively new and each insurance company has their own policies. However, in most cases, if the damage was not structural or to engine/trans its fairly typical to be offered between 10-20% of the cost of repair, as diminished value settlement

Typically lease vehicles are not eligible for diminished value. These settlements are paid to the owner and the lessee does not own the vehicle.

[ArchJR]

Carfax reports are the primary reason I lease. The diminished resale value will far exceed $2,000 when you go to sell or trade the car, and some dealers will not even take the car on trade since it is so hard to flip a car with a serious accident on its Carfax record. I would fight for a lot more than $2,000.

[CalCarNut]

Everyone's talking about the diminished value after the wreck but all I really see is that the sticker was $61K and current value after only 400 miles is $47,186.00?!?!? Its lost $14K by driving it off the lot? I'm more concerned about this (1st, anyway)..and then maybe the Carfax report.

[SPSPilot]

If it were me, Geico needs to give you a brand new vehicle. Your resale value is practically diminished, and secondly, it can be a challenge to resale a vehicle that has an accident on it.

[tex2670]

The problem is that you can't know the true hit you take because of the accident until you sell the car. If you tend to keep your car a while, the difference may be less at that time. Honestly, if they offered $2,500, counter with $3,500 and see what that say. If they won't budge, that's what they'll give you, and just take it and say "thanks."

[tex2670]

Originally Posted by SoCalDave

I'm fuzzy on this whole 'diminished value' thing even after reading a few threads on it. How is this supposed to be calculated? % of total damages repaired? If the car was made whole again and at the level it was..why is there a diminished value on the car?

Any constructive comments welcome

The point is, in the eyes of the used car buying market, a car that has been in an accident is never viewed as having been made whole.

If you've ever traded in a car, the first thing they ask is whether it's been in an accident; and even if you lie, their appraiser can tell if it's been repainted. The "diminished value" is that you can't sell it for as much as if it was never in an accident. But--at this point, it's theoretical, because the car is not currently for sale, and who knows when it will be.

[bily]

First you should have a warranty from the shop. If they missed something it's on them. Plus u still have ur ins too.

As for DV their job is to pay you as little as possible. Hire a 3rd party to evaluate your claim and understand what you are entitled too. $2500 is way too low. I'm thinking between 6-8.

PM me if u need the name of a firm. They brought me from 2800 to 10500 fairly easily.

[jd_perspective]

fight for more. never. ever. take their first offer.

[CalCarNut]

Guess everyone is ok with the driveway depreciation 'hit'... .

[mdavis12]

Usually the insurance diminished value offer is less that the real loss of value resulting from an accident. I have had two one not at fault accident where an old man jumped lanes and the back of my car. at the time i drove a honda. after getting an appraisal for $100, ended up getting twice the amount their insurance initially offered. On my current car, I hit an object a driver ahead of me drove over. Ended up repairing it from my own insurance. since i live in GA, i asked to be paid for the diminished value. again got a low ball estimate. I went through a company called diminished value georgia for my appraisal. got twice the amount of the initial offer. My recommendation is to get your own estimate. if the latter is higher than what Geico is offering, request the amount of your appraisal. you should get something really close to your independent appraisal. they might try to play hard, but if you stand your ground, they will settle.

and if they gave you a check, don't cash it, don't sign it. I think doing so would not allow you to challenge their appraisal. it cost around $100 and is worth every penny from my experience.