Diminished Value Claims in Motor Vehicle Accidents
Following a motor vehicle accident, people are generally aware that the at-fault party will be responsible for repairing their vehicle. The at-fault insurance company may need to complete its investigation as to liability, but ultimately they will be responsible for fixing the victim’s motor vehicle. However, what most people are unaware of is the fact that in Maryland, the at-fault party is also responsible for the loss of the value of the vehicle. What does this mean?
Basically, let’s say that you own a brand new car and were unfortunate enough to have been rear-ended, causing significant damage to your vehicle. Now, if you try and sell your vehicle a couple of years later, any potential buyer will find this rear-end collision in any accident history report.
Thus, this decreases the market of potential buyers for your vehicle, hurting the price that you will be able to sell your vehicle at. It is this difference in value, between the price of your vehicle if it had never been involved in a motor vehicle accident and the price of your vehicle after an accident, that the at-fault insurance company is responsible for compensating you for.
The diminished value amount depends on a number of factors, such as: 1) year, make, and model of the car; 2) accident history of the car; and 3) severity of property damage to the car. An expert may be needed in order to best evaluate your diminished value claim. The Law Office of Miguel Palmeiro, LLC will be able to assist you in determining whether you have a diminished value claim and recovering the maximum amount for it.
Robert J. Kim, Esq. is a Personal Injury Attorney at The Law Office of Miguel Palmeiro.