Quick answer

If your vehicle was damaged in an accident caused by another driver, you can document diminished value by getting a written independent appraisal that compares your vehicle’s pre‑loss market value to its post‑repair market value. In New Hampshire you typically present that appraisal and supporting evidence to the at‑fault party’s insurer as part of a damage claim. If the insurer refuses to pay a fair amount, you can pursue further negotiation, file a complaint with the New Hampshire Insurance Department, or sue in civil court.

What “diminished value” means

Diminished value is the difference between what your vehicle was worth immediately before the accident and what it is worth after repairs, even if repairs are done correctly. There are three common categories of diminished value:

• Immediate diminished value (loss in market value right after the crash, before repairs).
• Inherent diminished value (loss in value because buyers generally prefer vehicles without an accident history).
• Repair‑related diminished value (value loss because repairs are substandard or parts/lack of original parts).

Step‑by‑step: Getting an appraisal that proves diminished value

1. Collect core documents and evidence.
   • Accident report, police report, and any insurer claim numbers.
   • Repair invoices showing parts used and labor performed.
   • Photos of the vehicle before the accident (if available), immediately after the accident, during repairs, and after repairs.
   • Vehicle identification: VIN, mileage, trim/options list, and maintenance records.
   • Vehicle history report (e.g., CARFAX) showing the reported accident.
2. Obtain a pre‑loss market valuation.

   Ask the appraiser to document the vehicle’s market value immediately before the crash using reputable sources—NADA, Kelley Blue Book, local comparable sales, and dealer pricing—and to explain adjustments for mileage, condition, and options.

3. Hire an experienced diminished value appraiser.

   Look for appraisers who:

   • Provide a written report with methodology (how they calculated pre‑loss and post‑repair values).
   • Include comparable vehicle listings and adjustments.
   • Are independent (not tied to the repair shop or insurer).

   Get a few quotes. Typical appraisal products range from a simple report to a full appraisal with market comps and photos.

4. Get the written diminished value report.

   A solid report will state:

   • Pre‑loss and post‑repair market values with supporting comparables.
   • Clear calculation of the diminished value amount.
   • Photos and documentation of damage and repairs.
   • Any assumptions or limits of the appraisal.
5. Submit a demand to the at‑fault insurer.

   Send the appraisal, repair bills, vehicle history report, and photos. Make a concise written demand for payment of the diminished value amount, include a deadline for response, and keep proof of delivery.

6. If the insurer denies or underpays, escalate.

   Options include: negotiating with evidence, filing a complaint with the New Hampshire Insurance Department (see below), hiring an attorney, or filing suit in civil or small claims court.

How appraisal methods typically work

Appraisers normally use a market‑comparison approach: they find comparable vehicles (make, model, year, mileage, options) that sold recently and adjust for condition and location. The appraiser will explain adjustments and provide a final diminished value number with supporting comps. Ask for a signed report you can submit to the insurer.

Who pays for the appraisal?

If another driver caused the accident, their liability insurer is responsible for your proven economic loss, which includes diminished value. Many people pay for an independent appraisal up front and then seek reimbursement as part of the claim. In disputed cases, you may be able to recover appraisal and appraisal‑related costs if you prevail in a lawsuit or settlement.

New Hampshire practical and regulatory notes

New Hampshire does not have a different diminished‑value rule than other states: liability is based on fault for the crash and proof of economic loss. If an insurer’s conduct seems unfair or in bad faith, you have options:

• File a consumer complaint with the New Hampshire Insurance Department for claim handling issues: NH Insurance Department – Consumer Complaints.
• Review New Hampshire statutes and regulatory materials available on the state legislature’s site for insurance and consumer protections: New Hampshire Revised Statutes Annotated.

If you believe the insurer illegally denied a valid claim, consider consulting a New Hampshire attorney experienced with insurance claims or consumer matters to review your options.

When to hire an attorney

Consider talking to a lawyer if:

• The insurer denies liability but the other driver was clearly at fault.
• The insurer offers a low settlement that doesn’t match the appraisal.
• There are issues like a salvage title, structural damage, or disagreement about the quality of repairs.
• You need help enforcing a judgment or navigating subrogation issues.

Helpful hints

• Get an appraisal early—after repairs are complete—while evidence is fresh.
• Use an appraiser who documents sources and methodology clearly; vague or unsigned reports are less persuasive.
• Keep organized records: photos, repair receipts, communications with insurers, and the appraisal report.
• Compare multiple appraisers if you can; a second opinion can help if the insurer disputes the first report.
• Be aware that salvage titles or unrepaired structural damage can greatly increase diminished value, but they must be proven with documentation.
• File a timely complaint with the NH Insurance Department if you believe an insurer is acting unfairly: https://www.nh.gov/insurance/consumers/complaints/index.htm
• If you sue, keep in mind litigation has costs and timelines; small claims procedures may be appropriate for modest disputes.