Diminished Value Claims

Even after repairs, an accident may affect your vehicle's market value. Get professional guidance on evaluating and documenting potential diminished value.


If It Is a Diminished Value Claim
 

• What Happens: You are claiming that your vehicle lost market value even though it was repaired. Because this is a third-party claim against the other driver's liability insurance, you cannot force an appraisal clause onto your own insurer. [1, 2, 3, 4]
   

• How It Is Handled: You must compile local market data, a certified independent diminished value report, and submit a demand directly to the at-fault driver's insurance company. [1, 2, 3]
   

• Leverage in Oregon: For claims under $10,000, Oregon statute ORS 20.080 allows you to recover attorney fees if you have to sue and beat the insurance company's best settlement offer, which heavily pressures them to negotiate. [1, 2]

Total Loss Appraisals

If your insurer declares your vehicle a total loss, an independent appraisal can help you assess whether the proposed vehicle value deserves further review.

 

If It Is a Total Loss Dispute
 

• What Happens: You hire and pay for an independent auto appraiser, the insurer hires theirs, and they pick a neutral umpire if they disagree. [1, 2]
   

• The Cost Rule (ORS 742.466): If the final appraisal value ends up higher than the insurer's last offer, the insurance company must reimburse you for your reasonable appraisal costs. [1, 2]
   

• The Outcome: The agreed-upon amount becomes the binding payout for your vehicle's pre-loss value (minus any deductible or salvage value if you keep the car).

Appraisal Clause Assistance

Facing a disagreement over your vehicle's value? Get guidance on the appraisal clause process and the documentation involved.

 

The Appraisal Process in Oregon
 

1. Hire an Independent Appraiser: You select and pay for an independent, licensed auto appraiser, while your insurance company hires and pays for their own appraiser. [1, 2]
    

2. Independent Assessment: The two appraisers evaluate the vehicle and attempt to agree on a fair market or actual cash value. [1, 2]
    

3. Involve an Umpire: If the two appraisers cannot agree on a number, they submit their differences to a neutral third-party called an umpire. An agreement by any two of the three (the two appraisers or one appraiser and the umpire) sets a binding dollar value for the claim. [1, 2]
    

4. Timeline: Most appraisal disputes resolve within 2 to 4 weeks, depending on how quickly documentation is gathered and how fast the appraisers and umpire work. [1]