How prior accidents that happened before you owned the truck affect your diminished value claim

Short answer: Prior accidents that happened before you owned the truck reduce the baseline value of the vehicle and will usually reduce (or even eliminate) a diminished value recovery for a later crash. To recover diminished value from a new accident in Utah you must show the truck’s market value immediately before the new crash and the market value immediately after repairs. Any prior damage that already lowered the truck’s pre-crash market value will be deducted from the recovery.

Detailed answer — how prior accidents factor into a diminished value claim in Utah

“Diminished value” means the difference between a vehicle’s fair market value immediately before a collision and its fair market value after repairs. Insurers and courts treat diminished value as a property-damage component of a tort claim (or part of a first-party/property claim against your insurer), not as a separate statutory category in most jurisdictions. In Utah, the same practical rules apply: the claimant must prove the market value before and after the accident and show that the new accident caused the loss in value.

When a truck has prior accidents, three basic situations commonly arise:

1. Prior damage was already repaired and reduced the truck’s value: If a previous accident lowered the truck’s market value before you bought it, the amount available to recover for a later accident is limited to the additional loss caused by the new crash. The insurer defending or paying the current claim will try to subtract the pre-existing loss from your claimed diminished value.
2. The truck has a branded or salvage title from a prior accident: A salvage, rebuilt, or branded title drastically reduces market value. If the title was branded before you bought the truck, your diminished value claim for a new accident will be small or nonexistent because the market already reflects the brand. If the title became branded because of the most recent crash, that can substantially increase your claim — but it must be shown the branding followed the new accident.
3. Prior accidents were not disclosed or were hidden: If the seller or a prior owner concealed damage, or repairs were poor and not disclosed, that complicates valuation. Insurers will still seek to allocate value loss to prior events if evidence supports that allocation. Conversely, if you can prove the prior damage was minor or fully restored to a pre-loss condition, you may preserve more of your diminished value claim from the new accident.

What you need to prove

• Fair market value immediately before the new accident (use comparable sale prices, dealer trade-in offers, or appraisals).
• Fair market value after repairs (again rely on comparables, dealer offers, and independent appraisal).
• That the new accident — not an earlier event — caused the incremental loss in market value.
• Evidence about prior accidents: vehicle history reports (Carfax, AutoCheck), prior repair invoices, pre-purchase inspection reports, photos, and the vehicle title brand history.

How insurers typically treat prior accidents

Most insurers will:

• Order a vehicle history report and point out prior collisions or a branded title.
• Use comparables from before you owned the vehicle (if available) to estimate the pre-new-accident value that already reflected prior damage.
• Reduce any diminished value payment by the amount they attribute to pre-existing damage.

Practical steps to protect or improve your diminished value claim

1. Collect pre-accident evidence: If you purchased the truck, keep the pre-purchase inspection, seller disclosures, photos, and any written confirmation of condition. Those show the pre-crash baseline.
2. Obtain a vehicle history report immediately after the crash to document prior incidents and title brands.
3. Get independent diminished value appraisals: an experienced appraiser will compare market data and separate prior losses from the new loss. Use appraisers familiar with the local Utah market.
4. Keep repair invoices, parts lists, and photos of the repairs. If repairs were shoddy or parts were substituted, that can increase your after-repair loss.
5. Ask the insurer to explain how it calculated any reduction for prior accidents and demand supporting comparables and data.
6. If the vehicle had a salvage or branded title before you bought it, expect limited recovery. If the title became branded only after the most recent crash, that could justify a larger claim.

When to consider talking to an attorney

Consider legal help if the diminished value is large (often thousands of dollars), the insurer denies your claim despite strong evidence, the insurer claims pre-existing damage that you can disprove, or title branding or odometer issues make valuation complex. An attorney can help assemble evidence, obtain expert appraisals, and, if necessary, negotiate or litigate the claim.

Helpful Hints

• Order a vehicle history report right away after an accident. It documents prior accidents and title brands quickly.
• Take dated photos of the truck from many angles as soon as it is safe to do so — before and after repairs.
• Save every repair invoice and part receipt. Detailed invoices help separate repair cost from market-value loss.
• Get at least one independent diminished value appraisal and a copy of the insurer’s appraisal so you can compare methods.
• If you purchased the truck recently, provide the seller’s disclosure or pre-purchase inspection to show the condition at purchase.
• If the insurer reduces your claim for prior accidents, ask for the exact comparables and math they used — and challenge any assumptions you can disprove with records.
• If you suspect unfair treatment by an insurer, you can contact the Utah Insurance Department for consumer guidance: https://insurance.utah.gov

Final note / disclaimer: This article explains general principles about diminished value claims in Utah and is for informational purposes only. This is not legal advice. I am not a lawyer. For advice about your specific situation, consult a licensed Utah attorney or contact the Utah Insurance Department for consumer help.