Further
by ACross (2024-04-16 16:48:22)

In reply to: Hopefully, but California tends to be very special. Hence my  posted by kellykapowski

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"California law is a little complicated but certainly recognizes stigma damages. Bottom line, you will need to provide a reasonable basis for the amount you seek and show your work.

There is a formula.

You will need to know:

1. Purchase price
2. Cost of repairs
3. Mileage


In California, you file diminished value claims with an insurance company. That insurance company will determine how much value the vehicle lost in the crash. Most insurance companies and their adjusters use the 17c Formula to calculate diminished value.

This diminished value formula begins with the appraisal value of your vehicle. This is the pre-accident value of your car, in its original condition. It often comes from the National Automobile Dealers Association (NADA) or Kelley Blue Book.

The appraisal value is then multiplied by 0.1. This represents the maximum diminished value that a vehicle can suffer from a crash. The number is often referred to as the base loss of value.

A damage multiplier then determines the base loss of value. The damage multiplier ranges from 0 to 1. Higher numbers are for more severe damage from the wreck:

0 – there was no structural damage or replaced panels,
0.25 – minor damage to panels or the vehicle’s structure,
0.5 – moderate damage to panels or structure,
0.75 – major panel and structural damage, and
1.0 – severe damage to the vehicle’s structure.

The resulting number is then subjected to a mileage multiplier. Older vehicles that have been driven more lose value less than new ones. The results of the damage multiplier are themselves multiplied by:

0 – for vehicles with 100,000 miles or more,
0.2 – vehicles with 80,000 to 99,999 miles,
0.4 – 60,000 to 79,999 miles,
0.6 – 40,000 to 59,999 miles,
0.8 – 20,000 to 39,999 miles, and
1 – for vehicles with less than 20,000 miles.

I just cut to the chase. I treated the adjuster with respect. I asked her what her data showed. I asked her to make an offer. I told her that it was not reasonable and told her I needed it to be better. I had some additional leverage because my kid was knocked around a little bit but just fine. They knew I was plaintiff's lawyer but I had no enemies at their company because I don't do that kind of work. You can handle it just fine yourself.



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