Is there any way to claim compensation for lower trade in value of my vehicle after a not at fault accident?
The car has been fully repaired, but the trade in value/ private sale is lower because it has an accident history.
Please don’t answer with don’t tell them, I just want to know if there is an avenue to claim this amount.
Thanks
Car Devaluation after Not at Fault Accident
chloden on 05/06/2023 - 08:40
Comments
compensation
It is an online buyer and the question is there, so it would probably be fraud to say no.
So don’t lie. If someone asks, tell them. If it means the walk away, someone else will come along and possibly not ask.
Some people will care that it has been in a crash. Others will be more interested that it’s been repaired properly. In some cases, getting the repair will increase the value as the paint work will be refreshed and look better than better.
@Euphemistic: A resprayed paint job is never as good as factory. After a few years it will look worse.
@JIMB0: Disagree. It depends on the quality of the work there’s no reason a properly prepared and sprayed job can’t last just as long as factory. Some factory paint is absolute rubbish (looking at you Nissan)
And if you get work done, it’s likely the car will be cleaned and buffed so will look great - at least initially.
@JIMB0: Toyota owners with white paint 040 and Ford owners with shockwave(?) blue will beg to differ. Then there's anyone with a 90's vehicle in red.
You can do this in the USA (diminished value claim) so maybe take your car over there.
Just google the answer yourself if you can't handle the bullshit that comes with a public forum.
How about we ask this…
Why do you feel the need to waste our time with stupid questions?
Google it or speak to a lawyer.
Let me guess, you only came here seeking confirmation bias and you didn’t get any?
Just tell me what you want to hear and I’ll just say it for you.
“Yep, you can sue for diminished value if your vehicle has been in an accident. You just need for the buyer to write you a letter outlining what they would have paid and compare that to what they did pay… you will also require this de-valuation to be witnessed by a public notary…”
Well I did Google it first, but couldn’t find an answer. I have not made any negative replies to the people that commented that I will not have any luck infact I have + their comments. So no, I didn’t come here to hear the answers I wanted to hear, I came here to ask a genuine question I was hoping that OzB members might have a similar personal experience and pass on some good advice. Now of course I knew that there are people in this forum that have nothing better to do than ridicule and post childish replies , but I was genuinely hoping that I might avoid them. I guess I got unlucky.
Well I did Google it first, but couldn’t find an answer.
That's because it's not common practice in Australia.
It is however very common practice in the USA and it's called a diminished value claim. A little humour suggesting you take your claim there and you flipped your shit and proceeded to go on a rant. Lol.
Stupid questions deserve stupid answers
Pretty unlikely. They’ll claim they have repaired to as good as new, therefore you haven’t lost value.
I could be wrong, and stand to be considered, but insurance won't cover this. Once repaired, you would have signed a release upon collection of your vehicle.
Your only option would be to bring a civil case against the at fault driver. Wouldn't have a guarantee of a finding in your favour, given the car had been returned repaired and a release signed accepting that neither the insurer or driver were responsible for any further costs.This is broadly correct. The whole idea is they will repair your vehicle to a road worthy acceptable condition. That’s all they can do. How do you value the intrinsic impact to an accident as that can vary day to day, buyer to buyer. It’s too arbitrary.
Think about it another way, when you buy a dishwasher and it comes with warranty. If it becomes faulty, they repair it or replace it. You wouldn’t ask about compensation of value if it was repaired right? I know we are talking different asset classes here (one being far more liquid / more frequently traded and the other not so much) but a similar logic somewhat applies.
@chloden: Why not have the repair professionally inspected for quality? If it is/was not 'made good' in any material way, you'd have a follow-up claim, unless you've waived that right by signing some form.
Not sure what the insurer would do if you refuse to sign it without such an inspection though- leave the car there, and then raise the matter in writing?
Very few insurance repairs are any good, even on decent, new cars, but insurance companies get away with a best effort service because people accept it, and 'lifetime guarantees' (really only a guarantee that they will do the bare minimum), and because they can claim used cars are used and thus repairs need not be measured against a new car's condition.
It’s probably too late. To be honest I didn’t become aware of the difference in value until I did an online quote to sell. Thanks for your suggestion.
Online buy platforms are designed to pay the smallest amount they can get away with. They’ll always drop value if you tell them stuff like it’s been in a crash or it doesn’t have a service book, even if that was just a bumper scratch or that you have a full service history just not the book.
Real life buyers will look at the condition of the car and be able to ask you more specifically what the crash was. Further questions like were the airbags deployed, or what panels were damaged will help them determine if it’s lost value.
You can’t have it both ways. Maximum sell price and minimum effort do not work together.
how big is the gap? roughly
Depending on the age of the car, it just simply doesn't matter. If it's under 3yrs old then it might, but if you're worried about it on a 10yo car, it doesn't.
What sort of vehicle are we talking about here?
Why do you think the car will be devalued, eg is the repairs visible due to wrong paint, out of alignment on panels?
What is the redbook guide on sale? https://www.redbook.com.au/Most panel beaters offer a lifetime warranty on repair work these days.
Check with the smash repairer the warranty is transferable and and if asked let the buyer know.
There should be no devaluation.Most insurers offer a lifetime warranty on repair work these days.
FTFY. I would like to go back to a panel beater after 5years and ask them to fix something that has broken since they repaired it. Panel beaters will do what they can to bring it back to new if that’s what they are told to do - and given the opportunity to replace new for old parts during the repair.
Is there any way to claim compensation for lower trade in value of my vehicle after a not at fault accident?
No
diminished capacity claim also rejected on a pre existing basis…
Is there any way to claim compensation for lower trade in value of my vehicle after a not at fault accident?
No its now on the history of the car… known as firm faeces.
hagglers will haggle. Lots probably don't care but will use whatever they can in an attempt to drive down the price.
claim compensation
From whom, the government? If you're thinking insurer, have you read the PDS?
How do you assess the quantum and most importantly avoid moral hazard and who pays the admin costs?
I should have said that I was referring to from the at fault driver.
If this works out for you let me know, I'm going to sue the tree that dropped its branch on my car in a storm a few months ago
Sounds treemendous
Don't tell them
The source of fault of the accident shouldn't be a concern if it you've had a quality repair conducted.