Diminished value claims in Nevada

Can you claim diminished value in Nevada?

Short answer: Nevada courts have not clearly decided whether you can recover it from the at-fault driver's insurer.

No Nevada appellate decision squarely deciding vehicle diminished value was found. In Dugan v. Gotsopoulos, 117 Nev. 285, 22 P.3d 205 (2001), a car-damage case, the Nevada Supreme Court held that an owner may testify to her vehicle's value without an expert; that the Kelley Blue Book is admissible under the market-compilation hearsay exception (NRS 51.245); and that loss-of-use damages may be measured by reasonable rental cost, and a party who was financially unable to rent a substitute need not have actually rented one. It concluded the owner should have been allowed to present the car's value before and after the accident. This supports a before-and-after market value approach, but the court did not rule on residual diminished value after repair. When an insurer elects to repair, NAC 686A.680(8) requires only restoration to pre-loss condition and does not mention diminished value.

Source: Dugan v. Gotsopoulos, 117 Nev. 285, 22 P.3d 205 (2001); NAC 686A.680(8)

See which states allow diminished value claims.

Does your own insurance pay diminished value in Nevada?

Short answer: There is no clear Nevada rule either way, so check your policy wording.

A claim on your own collision coverage depends on what your policy promises. Read its definition of "loss" and any exclusion for diminution in value before you ask. The Nevada rule above is the starting point; your policy wording can narrow it.

What to do when Nevada law is unclear

Unclear does not mean no. It means we found no Nevada court decision that settles the question. You can still ask the at-fault driver's insurer in writing, with evidence of the lost value, and ask for its reasons in writing if it refuses.

• Keep the deadline below in view. Talking with the insurer does not usually stop it from running.
• Base your number on market evidence, not on a formula the insurer picks.
• If the insurer will not engage, a local attorney can tell you whether Nevada courts are likely to allow the claim. Many offer a free first call.

How to file a diminished value claim in Nevada

1. Finish the repair and get the final invoice showing every part and labor operation.
2. Document the pre-accident value of your exact trim and mileage.
3. Collect proof of the loss: a vehicle history report showing the accident, written trade-in offers, or an independent appraisal.
4. Send a written demand to the at-fault driver's insurer with a specific amount and your evidence.
5. If they refuse or lowball, you can sue the at-fault driver in small claims court before the deadline.

How to document the value before and after

• Before: save listings for cars of the same year, trim and mileage from just before the accident, and any records of options, upgrades and maintenance.
• After: get at least two written trade-in or purchase offers from dealers who see the repaired car and its history report.
• Keep the repair invoice, photos of the damage and the history report entry; they show what a buyer will see.

Step-by-step help with each part: how to file a diminished value claim.

Will the insurer use the 17c formula in Nevada?

Many adjusters calculate diminished value by capping it at 10% of the car's value and then applying damage and mileage multipliers. The result is often a few hundred dollars. It is not based on what buyers actually pay, and you do not have to accept it. How the 17c formula works.

Deadline to file a diminished value claim in Nevada

Short answer: You generally have 3 years to sue the at-fault driver for damage to your car (NRS 11.190(3)(c)). Send your written demand well before then.

Property damage claims in Nevada generally must be filed in court within 3 years of the accident.

Source: NRS 11.190(3)(c) (taking, detaining or injuring personal property)

How to file an insurance complaint in Nevada

Short answer: File a free complaint with the Nevada Division of Insurance online. It asks the insurer for a written response, but it cannot set the amount you are owed.

If an insurer ignores your claim or will not explain a refusal, the state insurance regulator takes complaints.