California Diminished Value

Diminished value or diminution in value is defined as that portion of a vehicle’s pre-loss value that cannot be restored through the repair process.

There are three levels of diminished value:

Immediate diminished value is the difference in resale value of a vehicle immediately before an accident and prior to repair.  When resolving property damage claims inherent diminished value and repair related diminished values are normally used.

Inherent diminished value is defined as the amount by which the resale value of a repaired vehicle has been reduced solely as a result of the vehicle now having significant damage history.  This history decreases the overall market value of the vehicle.

Repair related diminished value is the loss of the vehicles value as a result of improper collision repair. This is an additional claim to the claim for inherent diminished value.

What Happens To Cars After An Accident

Lose Value 100%
Improperly Repaired 75%
Have Structural Damage 35%

5 Levels of Repair

When it comes to the repair of your vehicle after a collision it not only affects the market resell value but it can also affect the safety of the vehicle. Diminished Value CA is committed to educating the consumer of the issues surrounding improper collision repairs.

Contact us regarding California Diminished Value questions.

The 5 levels of repair are:

  •  DV- Repair level one – true pre-loss condition exists when a damaged vehicle has been repaired to pre-loss condition in all categories.
  • DV- Repair level two – Repaired to the pre-loss condition to the best of human ability, meaning the repairers followed the most current documented manufacturer specifications and utilized repair equipment and techniques approved by the manufacturer.
  • DV- Repair level three – Repaired to “insurance dominated typical collision repair”, meaning the repairers may have used some OEM and some parts from sources other than the original manufacturer called imitation parts.
  • DV- Repair level four – Repaired to “Industry Sub-standard-cut rate repair. This exists when the repairer used salvaged parts, non-original parts, excessive body plastic repair material, limited materials with regard to coatings, caulking or sealers.
  • DV- Repair level five – Poorly repaired-unsafe to drive. This occurs when the insurance company specified imitation parts and the repairer agreed to use them without protest in repair of the subject vehicle.  These parts have been determined by experts and the courts to be inferior to OEM parts in many respects.

We can provide California diminished value support, contact us today! 800 762-2671

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Diminished Value Report

  • Analyze the insurance and/or the repair facility estimate of record
  • Review submitted photographs of damage
  • Establish the level of loss in value. 
  • Analysis of Value of Vehicle based on standard condition.
  • Discounted Diminished Value Appraisal Report

* Not available for exotic or luxury, or other speciality classified vehicles. ( contact us for details )

**This service DOES NOT include any inspection of the vehicle or repairs**