Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a licensed attorney for advice specific to your situation.
Detailed Answer
Diminished value refers to the difference between your vehicle’s market value immediately before a collision and its market value after repairs. In Nevada, you can file a diminished value claim against the at-fault driver’s insurer (third-party claim) or, in certain cases, under your own policy (first-party claim).
1. Understand Nevada’s Insurance Laws
- NRS 686A.310 prohibits unfair claim settlement practices, including unreasonable delays or denials. NRS 686A.310
- NRS 687B.145 covers loss determination and may affect repair valuations. NRS 687B.145
2. Gather Evidence of Pre- and Post-Accident Value
- Obtain a professional appraisal of your vehicle’s market value before the accident (Blue Book, dealer quotes).
- Get a second appraisal after repairs by a certified auto appraiser.
3. File Your Diminished Value Claim
- Contact the at-fault insurer: Locate the other driver’s insurance information and call the claims department.
- Submit a written demand: Include your appraisals, repair invoices, photographs of damage, and a cover letter requesting payment for diminished value.
- Follow insurer submission guidelines: Many insurers accept claims via email, online portal, or mail. Keep proof of delivery.
4. Insurer’s Response and Next Steps
- Response time: Under NRS 686A.310, insurers must acknowledge and respond within a reasonable timeframe (often 15–30 days).
- Negotiation: Be prepared to negotiate. The insurer may request additional documentation or a new appraisal.
- Appraisal appraisal clause: If your policy or theirs includes an appraisal clause, you can invoke it to have two appraisers and an umpire determine value.
- Escalation: If negotiations stall or you receive an unreasonable denial, file a complaint with the Nevada Division of Insurance via their website: https://doi.nv.gov.
Helpful Hints
- Act quickly: Document your vehicle’s condition before and immediately after repairs.
- Use certified appraisers: Credentials matter when insurers review diminished value reports.
- Maintain detailed records: Keep emails, letters, invoices, and photos organized by date.
- Know deadlines: Nevada’s statute of limitations for property damage claims is 2 years (NRS 11.190(4)).
- Consider legal counsel: For large losses or complex disputes, a lawyer can guide you through negotiations or litigation.