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Discussion Starter #1
I recently posted that I had struck a deer at 45mph with my 2010 Roadglide. The bike never went down but the damage totaled over $11,000. I took the check and what was left of the bike and traded it in on a new '13 RGU.

I contact Progressive and ask for a diminished value payment. Georgia is one of few states that offer this. They started out by saying there was no diminished value as all of the painted/damaged parts were being replaced. I explain to the rep that if somebody had 2 identical bikes and put them up for sale, one that had never been damaged and one that had over $11,000 in damage, that I doubt too many people would pick the 2nd bike or pay the same price for it.

He then comes back with a $300 offer a few days later. I told him to go ahead and keep that check as I wouldn't be cashing it. He asked what I thought would be reasonable. I told him that I believed the bike value was diminished by a few thousand dollars but that I would be satisfied with a check for $1,000. They have now decided there is no diminished value because all damage parts were replaced.

I went through this before with a car and ended up using an attorney to recover the settlement. Looks like I'll be going that route again. It's not really so much about the money as it is them doing the right thing. They were sued not too many years back for the same thing but apparently not much has changed.
 

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This is news to me!
Where do you find a list of the states that are supposed to
honor "diminished value" does anyone know? Sharkbite??
You make a very good point though Sharkbite!
-ST
 

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Discussion Starter #4
I don't know of a 'list', however if you research diminished value online you'll probably come up with a ton of information.

My understanding is Georgia, Kansas and Washington are the 3 states from which you can collect diminished value, even if you are the at-fault driver. It is also not supposed to have any impact on your rates in itself. I believe all other states you are entitled to it if you are struck by somebody else that is at fault.
 

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Discussion Starter #7

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Discussion Starter #8
Contacted my attorney with a quick email about the damage etc...his response:

Total horseshit - you are absolutely entitled to diminished value. Send over all the info: claim number, adjuster, etc

I love my attorney....it'll take me a bit to get the info to him 'cos of working double-shifts the next few days but it's so much easier to put stuff like this in his hands :)
 

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just out of curiosity, did the dealer offer you less on trade than he would have if you hadn't hit the deer? and how much less?
 

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Discussion Starter #11
just out of curiosity, did the dealer offer you less on trade than he would have if you hadn't hit the deer? and how much less?
That's the million dollar question. How do you determine that? Essentially they were buying the damaged bike, along with my insurance check, along with the additional amount that I financed. Obviously they gave me less for the damaged bike than they would have given me if it wasn't damaged. I wasn't trying to sell it prior to the deer-remodel so I have no idea what they would have given for it at that time.
 

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Discussion Starter #12
so basically if they pay you say $11000 for the bike and it's worth $13000 before the wreck , then they owe you the $2g diff ??

JtB
Yes, that is putting it simply and that is accurate.
 

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Sure wish I would have known that back in 2010.....I doubt, but is it retroactive?
 

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Discussion Starter #14
UPDATE: I received a 'satisfaction survey' from Progressive regarding the claim. Naturally, quite a few of my responses were negative. The last thing on the survey is a box that you can check for a manager to contact you. I checked the box.

The same 'manager' I had been dealing with on this matter said he received my survey results and was calling because I had checked that box. I told him that there really was nothing to talk to him about as he was already aware of the situation. I advised him that I had contacted my attorney and would be forwarding him all the information over the weekend and he would take action on it next week. I informed him that I was disappointed that it came to this as I was otherwise very satisfied with their handling of the claim. I told him that it was my belief that the diminished value was in the $2000-3000 range and ultimately they would end up paying this amount.

The manager then asked if my initial offer/request of $1,000 was still on the table. I told him that up until I paid the retainer to the attorney, I would be satisfied with a check for $1,000 in diminished value. Once I initiated legal action or obtained a diminished value appraisal, I would not settle for anything less than what the appraisal revealed. I told him there was no doubt in my mind that $1,000 was a very fair request.

He notified me that he would have a check in the mail to me for $1,000 at the close of business that day. Problem solved and by doing the right thing they will retain me as a customer. It would have been nice if they had done this in the first place but I understand they are in business to make money.
 

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Discussion Starter #15
Sure wish I would have known that back in 2010.....I doubt, but is it retroactive?
Not that far back but at least you know if there's a next time :)
 

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Thanks Sharkbite....figured as much! Hopefully there won't be a next time!!! but......
 

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Discussion Starter #17
Bringing up an old thread 'cos of a story on WSB in Atlanta this week. Sums up my case exactly:

ATLANTA — The Georgia Department of Transportation reports more than 1,700 drivers crash in Georgia each day.

A crashed car is worth less in trade and the insurance company is supposed to pay to make up the difference. How much they pay is the $30 million question.

Laura Shaw admits her crash in 2009 was her fault. State Farm paid to repair more than $5,000 worth of damage, and sent a separate check for what the crash could cost her at resale. It's called diminished value.

"I said, 'What the heck is diminishing value?' I've never gone through any of this before," she recalled to consumer investigator Jim Strickland.

After a 1999 Georgia court decision called Mabry vs. State Farm, insurance companies have to pay for your crashed car's lost trade-in value.

A new court challenge is brewing trying to prove the insurance companies are shortchanging on the payments. Shaw plans to be the test case, after State Farm paid her $237.35

"What am I going to do with a check like this?" she said.

Independent appraiser Antoine Rached found her loss to be $2,020. Rached's firm, Diminished Value of Georgia, specializes in fighting the insurance companies' valuations.

"Most of the claims I get, people are getting offered $200 to $300 where diminished value should have been $2,000 to $3,000," said Rached. "So it is tenfold, or they are paying 10 cents on the dollar."

The insurance companies use a formula approved by a judge in Muskogee County in 2000.

The maximum diminished value payment is 10 percent of a car's blue book value. A $10,000 car starts at $1,000 lost value, a figure which shrinks with lighter damage or high mileage. If your car has more than 100,000 miles you don't get a check at all.

Vivian Joyce wound up with $1.74 after a rear-end crash in her minivan.

"Who is going to buy a car and say, 'Stop. I'm going to pay you a dollar less because of this wreck!' Nobody does that," Rached said. He figured her loss at $550.

"Knowing what I'm entitled to, of course I want to get that money back," Joyce said.

Attorney Alex Ngyuen said insurance companies count on most crash victims seeing the payments as free money.

"So for a regular consumer when they get this, 'Wow, this is great! My insurance company is doing the right thing,"" he said.

Ngyuen plans to file a class action lawsuit in Muscogee to rewrite the insurance industry's diminished value formula.

"It's about $25 million to $35 million for all of the consumers in Georgia who have insurance," he said.

A statement from State Farm, Georgia's highest volume car insurer, refers only to Laura Shaw's case and not the diminished value issue as a whole. The company won a summary judgment in Gwinnett County, but may have to defend itself again in Muscogee County.

"In this case, the court found that State Farm’s assessment and payment of the diminished value claim, using the Mabry formula, was reasonable as a matter of law,” said the statement from State Farm spokesman Justin Tomczak.
 

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I never knew that either, but your right. I'd never buy a wrecked bike that was repaired for the same price as a never been wrecked bike.

I personally would not buy a bike that's been wrecked unless I got it for a song.
 
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