How Important Is A Diminished Value Appraisal New York

We know without a single doubt that insurance is what keeps us thriving even in the face of unprecedented mishaps. Many of the things that would have seemed like a loss of hope for us are usually well taken care of by our insurance plans. If you do not have an insurance plan on your car, it is advisable you get one with immediate effect to save yourself a lot of trouble. Before just running off to get an insurance plan, you should also consider very much the policy of the company you want to use. Make sure you check for something called diminished value policy, if they do not have then this article might not be beneficial to you. In this article we would be explaining the importance of a diminished value appraisal New York.

What is a diminished value?

Before going into details of what a diminished value appraisal is, we will be talking about what a diminished value is. A diminished value is the term used to describe the amount of money that the value of your vehicle is reduced by because it was in an accident.

What is a diminished value appraisal?

A diminished value appraisal is the valuation of your car after an accident in order to know how much you are to be paid by your insurer.

This bit of information is one that your insurance company will never be ready to tell you about but they are obliged to pay. Before you can file a claim for a diminished value, you must have done two things.

  • You must have valued your car before an accident
  • You must make sure the company you’re insured with has a policy that supports diminished value.

Without these two things in place. You will never get your diminished value.

Why is the diminished value important?

Let us paint a scenario here. You walk up to a car dealer and ask that you purchase a used car, after the date has been fixed and the price agreed, you discover it has a history of damage or accident and repairs. Would you still pay the same amount for this car as you would pay for a car with a damage history? The answer is NO! And in the same way, many others will not buy your car for the same price that they would by a car with no record of damage.

The importance of the diminished value appraisal is that it gives you the accurate figures to give to your insurer if how much they are meant to compensate you with. The value of your car will experience an irrevocable drop and you can only hope to get compensated not paid. However, you need to make sure you take this very seriously so that you don’t end up losing in two ways. Once you have a car, get experts like us to help you value it so that when you need a diminished value appraisal, we can also help you out.