Types of Auto Insurance Claims
In the event of damage to your high-end vehicle, there are various types of auto insurance claims you can file to help recoup your losses. Learn about these types below, and contact Supercar Claims to work with an experienced luxury car insurance claim lawyer who can help you navigate the claims process and maximize your compensation.
Types of Auto Insurance Claims
01
Diminished Value
Diminished value refers to the reduced market value of your luxury vehicle after post-accident repairs. It is based on the idea that, even with sufficient repairs, your vehicle can not necessarily be returned to a perfect condition. Types of diminished value claims include inherent value loss, repair-related value loss, and immediate diminished value loss.
02
Loss of Use
A loss of use claim is intended to cover your alternative transportation expenses while your vehicle is being repaired. Depending on the circumstances, this may include the cost of a rental car that is similar to your damaged vehicle, public transportation, or any other reasonable form of alternative transportation.
03
Total Loss
A total loss claim is made in instances where the cost of repairing your luxury vehicle is 80% or more of its total market value or where no amount of repairs will return your vehicle to a safe and drivable condition. When this happens, you may be entitled to a cash settlement of the actual cash value of your supercar or a replacement with a vehicle of like kind and quality.
Understanding the Different Types of Diminished Value Claims
The goal of a diminished value claim is to compensate you for the lost market value of your vehicle, even in instances where it has undergone high-quality repairs. There are three forms a diminished value claim can take:
- Repair-related diminished value: Compensation for lost value after both the damage-causing incident and subsequent repairs.
- Inherent diminished value: Compensation for the general lost resale value of your high-end vehicle due to it now having a history of damage and repairs.
- Immediate diminished value: Compensation for the lost market value of your vehicle after it incurs damage and before it is repaired.
For these and other types of car insurance claims, we recommend working with a car insurance claim lawyer who specializes in luxury, exotic, rare, and collectible vehicles so you can maximize your settlement and recover the value you deserve.
How Cars Get Damaged
How much does a car depreciate after an accident? It depends on the type of accident that has occurred, its severity, and the original value of the vehicle. Some of the most common ways for your supercar to be damaged include:
Towing
Improper towing practices can take a toll on your luxury vehicle, resulting in significant damage to your car’s undercarriage and/or alignment and a direct impact on driving safety and performance.
Storage
While in storage, your rare, collectible, or exotic vehicle may incur scratches, dents, or exposure to elements that deteriorate its condition and leave you with steep and unexpected repair costs.
Shipping/Transport
During transport, your supercar could be scratched, dented, or incur serious structural or mechanical damage, especially if it is improperly handled at any point throughout the shipping process.
Accident
Accidents are the most common cause of luxury vehicle damage, ranging from minor collisions and fender benders to severe wrecks and total car loss, as well as lost value due to insufficient post-accident repairs.
Contact Us
Contact us for the expert help you need to file and/or appeal an auto insurance claim after damage to your luxury vehicle. Give us a call or fill out the contact form below to schedule a consultation.
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