A friend’s (2013 Mercedes) was rear-ended, not quite $6k in initial visible damage plus some “supplementals” after they got it pulled apart. The other guy was found at fault, ticketed, etc., and his insurance paid for repairs. My friend got his repaired car back recently and soon after received a check from the other guy’s insurance for “property damage, diminished value.” How is this amount figured? How can you tell if it’s a fair amount? I think it is around $700. Anyone have any thoughts on whether this sounds about right or is there too little info to tell?
The diminished value is a subjective amount, but based somewhat in reality. How much would a 2013 Mercedes with X,000 miles and no body work done be worth vs. a 2013 Mercedes with X,000 miles with body work repaired on the rear end. Your friend’s insurance company estimated this to be $700. Can this amount be challenged and negotiated with the insurance company. Sure.
You might be able to check by going to one of the used car pricing sites (like kbb.com) and fill in the info for your friend’s car. They will typically show the range of prices over the various conditions the car might be in (excellent, good, fair, poor, etc). You can see if $700 seems appropriate compensation for the drop in quality of the car.
Thanks for the replies! Checking kbb is a great idea. Don’t know if the check has already been cashed, but I’ll make that suggestion to my friend and also let them know the sum is subjective and negotiable.