How to Provide Proof of a Diminished Car Value

Diminished value typically occurs in a vehicle that has been involved in a collision. It is common for antique or customized vehicles to incur a diminished value. Value loss comes in three categories: "inherent diminished value," in which the automobile loses market value; "repair related diminished value," caused by poor repairs; and "insurance related diminished value," caused when an insurer does not act to repair the vehicle.

• 1

  Gather any photographs, receipts and documents related to the vehicle prior to the collision. This includes photographs taken at various stages of restoration or customization, receipts from service and parts purchases, automobile value appraisal certificates and any awards given to the vehicle in a car show.

• 2

  Estimate vehicle repair costs. Hire a vehicle insurance appraiser or take the vehicle to at least three body shops. Get estimates of the repair costs. Add the quotes together and divide by the number of quotes to yield the average repair cost.

• 3

  Send copies of all pre-collision documents as well as each repair quote to the insurance company. Follow up by phone within five to 10 business days. Explain that the value of your vehicle was diminished as a result of the collision.