Why Insurance Companies Offer Low Diminished Claim Payouts Alpharetta, GA
people worried with cars after an accident

After an accident, it’s not just the repairs that can be costly — your car’s value may decrease as well. This decrease in value is known as “diminished value.” Insurance companies offer payouts for diminished value claims to compensate car owners for the loss in resale value caused by the accident. However, many car owners find that the payouts offered by insurance companies are much lower than they expected. So why do insurance companies offer such low diminished value payouts after a claim?

Difficult Payout Calculations

There are several reasons why insurance companies may offer low payouts for diminished value claims. One reason is that diminished value claims are complicated and can be difficult to prove. Insurance companies may argue that the car owner is not entitled to any diminished value payout, or that the payout should be much lower than what the car owner is claiming. This is because the amount of diminished value can be difficult to calculate and can depend on various factors, such as the age and condition of the car, the extent of the damage and the local market conditions.

Reducing Losses

Another reason why insurance companies may offer low payouts for diminished value claims is that they are in the business of minimizing their costs. Insurance companies are for-profit businesses, and they have a vested interest in paying out as little as possible on claims. If they can convince car owners to accept a lower payout for diminished value, they can save money on their overall claims costs.

General Ignorance of How Diminished Claims Work

Finally, insurance companies may offer low payouts for diminished value claims because they know that many car owners are not aware of their rights or the true value of their claims. Car owners may accept a low payout simply because they don’t know any better or because they are eager to settle the claim quickly and move on.

Wreck Check Atlanta Can Help!

Insurance companies offer low diminished value payouts after a claim for a variety of reasons, including the complexity of the claims process, the desire to minimize costs and the lack of awareness among car owners. If you’re involved in an accident and believe that your car has suffered diminished value, it’s important to do your research and fight for what you’re entitled to. Don’t let the insurance company convince you to accept a low payout that doesn’t accurately reflect the true value of your claim.

Wreck Check Atlanta can perform an independent diminished value assessment and provide an extensive report to refute lowball insurance company claims payoffs. Contact us today to learn more about our diminished claim appraisals in your state and to get help if an insurance company is trying to strong-arm you into accepting an inappropriate lowball settlement. You do have rights and options and Wreck Check Atlanta has specialists who can help. Call or message us today.

Posted on behalf of Wreck Check Atlanta

Our happy clients!

Wreck Check Atlanta is the leader in Post Repair Inspections, Diminished Value Assessments and detecting Improper and Unsafe Repairs. Due to our success we have many satisfied clients that would like to tell you about their experience with our company.

  • Amazing! He told me early on how much money he was going to be able to get me and he was spot on. I paid a small fee to get thousands more in my diminished value claim than the insurance company was offering. Further, RJ was very easy to get in contact with. He responded to my emails almost instantly. The whole process went by so quickly once he was involved. I would recommend him to anyone.

    Hunter Owens
  • My insurance company offered me 37 bucks in diminished value. My case was slightly complex due to the insurance companies appraiser being stubborn and difficult. It had to be escalated to an unbiased umpire for a final binding decision. I wasn't expecting for it to go this far however it did. I ended up getting close to 3K back. RJ is extremely professional and he fights for you. The only issue to me is his preferred method of communication which is by email. Which i became accustomed to because he responds more prompt that way. He generated a 30 to 40 page report. He works extremely hard and for that I'm appreciative.

    Ricky Major
  • RJ is Awesome! He got me 10x what the insurance company offered on a 2 year old accident. Also, I traded the car in 7 months ago so I no longer had it. If I could share this experience with every person I see I would. I’ve already told several family and friends, it’s really just unbelievable to me! If you have any question what so ever, I promise his fee will be the best $275 you’ll ever spend!!

    Paras Raichura
  • Very responsive and professional. Helped me through the process step by step. I know that without their help I would not have gotten any money from the insurance company, literally pennies on the dollar without Wreck Check!

    Mayra Saldana
  • RJ Sweeney is very quick, effective, and efficient. He got me more money out of my car’s value after my insurance company low-balled me. Use him!!!

    Jessica Via
  • Helped us through the process. Very responsive. We were able to get more than we originally though. Thanks, RJ!

    Dani Senne
  • This was my first time working with a diminished value appraiser and RJ Sweeney made it an amazing experience. He helped me get 10 times the amount of the original offer from the insurance company

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