Understanding Diminished Value Claims After a Car Crash in Nevada

January 20, 2026 Car Accidents

When your car is involved in an accident, its market value drops—even after it has been fully repaired. This loss is known as diminished value. Nevada law allows you to pursue compensation for this loss under certain circumstances, and knowing how the process works can help protect your financial interests.

Why Your Car Is Worth Less After an Accident

If you were shopping for a used car and had two identical vehicles to choose from—one with a clean history and one that had been in a collision—which would you pay more for? The answer is obvious. 

Accident history creates a stigma that follows a vehicle for its entire lifespan, showing up on reports like CARFAX every time someone runs a check. Even when repairs are flawless and the car drives like new, that history permanently reduces what buyers are willing to pay. This translates to real money out of your pocket when it comes time to sell or trade in your vehicle.

Types of Diminished Value Claims

There are three categories of diminished value:

  • Immediate diminished value refers to the drop in your car’s worth right after the collision, before any repairs have been made. 
  • Repair-related diminished value occurs when the quality of repairs is subpar or incomplete, causing additional loss beyond what the accident itself caused. 
  • Inherent diminished value is the permanent reduction in value that remains even after high-quality repairs have been completed, simply because the vehicle now carries an accident history. 

The third category is what most personal injury cases involve. No matter how skilled the body shop, a car that has been in a wreck will almost always be worth less than a comparable vehicle with a clean record.

How to File a Diminished Value Claim in Nevada

Nevada law allows you to pursue compensation for diminished value, but someone else must have caused the accident. The at-fault party bears responsibility for all your losses, including your car’s reduced resale value. You can file a diminished value claim through the other driver’s property damage liability insurance.

To succeed with your claim, you will need solid evidence proving that your car is worth less because of the accident. This includes establishing your vehicle’s pre-accident value, documenting the damage and repairs, and obtaining a professional appraisal of its current worth compared to similar undamaged vehicles. 

A Nevada car accident attorney can handle the heavy lifting involved in building your claim. They can connect you with certified appraisers, gather the necessary documentation, and present your case in a way that insurance companies take seriously. Perhaps most importantly, an attorney knows how to calculate the full extent of your loss and can push back when an insurer tries to minimize or deny your claim.

Get in Touch with a Nevada Car Accident Attorney

Even after your vehicle has been professionally repaired following a collision, it may never be worth what it was before the accident. A Las Vegas car accident attorney can evaluate whether a diminished value claim makes sense in your situation, help you document and quantify your losses, and negotiate aggressively with insurance adjusters. If you have been in a car accident in Nevada and believe your vehicle has suffered a permanent loss in value, reach out to an injury attorney in Vegas for a free consultation.