Detailed Answer
After a collision, even high‐quality repairs often leave a vehicle with a lower market value than before the crash. This difference is called the diminished market value. In New Hampshire, you can recover this loss as part of your property damage claim under common‐law contract and tort principles (see RSA 507:4). This guide explains how to calculate and document that loss.
1. Establish the Pre-Accident Market Value
Begin by determining your car’s value immediately before the accident. Use reputable sources such as Kelley Blue Book or NADA Guides. Compare listings for vehicles that match on:
- Year, make, model, trim and mileage
- Optional features and condition
- Geographic location
Record screenshots, printouts or appraisal summaries. Label them clearly with dates and your vehicle’s identifying details, such as the Vehicle Identification Number (VIN).
2. Determine the Post-Repair Market Value
After repairs, hire an independent auto appraiser. A professional report should include:
- Current market comparables for similar vehicles
- Adjustment for accident history and repainting
- Detailed summary of diminished value methodologies
Alternatively, use online valuation tools and adjust downward to reflect accident damage. Ensure you keep a copy of the appraisal or valuation report.
3. Calculate Diminished Market Value
Subtract the post-repair market value from the pre-accident market value:
Diminished Value = Pre-Accident Value − Post-Repair Value
For example, if your car was worth $15,000 before the crash and $13,000 after repairs, the diminished value is $2,000.
4. Gather Supporting Documentation
Strong documentation increases the likelihood of full reimbursement. Collect and organize:
- Repair invoices: Itemized bills showing parts and labor (see RSA 261:143).
- Photos: Clear before-and-after images of damage and repairs.
- Appraisal report: Independent expert’s written valuation.
- Comparable listings: Printouts of similar vehicles on sale.
- Correspondence: Written communications with insurers and repair shops.
5. Submit Your Claim
Send a demand letter to the at-fault party’s insurer. Include:
- Cover letter summarizing the diminished value calculation
- Copies of all supporting documents
- A deadline for response (typically 30 days)
If the insurer refuses or undervalues your claim, consider small claims court or hiring an attorney experienced in New Hampshire property damage cases.
Helpful Statute References
- RSA 507:4 – Action for recovery of specific personal property or damages.
- RSA 261:143 – Written motor vehicle repair estimates and invoices requirement.
Disclaimer
This article provides educational information only and does not constitute legal advice. Consult a qualified attorney to discuss how New Hampshire law applies to your specific situation.