"Diminished Value Claim Letter Template"

What Is a Diminished Value Claim Letter?

A Diminished Value Claim Letter is a formal document prepared by an insured person or company and sent to their insurance provider with the intention to reimburse the policyholder for the difference in the insured item's value. You can complete this letter if the item's value diminished after the event that triggered the insurance coverage, even though it was repaired.

A printable Claim Denial Letter template can be downloaded through the link below.

Often used in the car insurance industry, this letter allows insurance policyholders to hold the insurance company responsible for the diminished value of their automobile - obviously, any car loses its value after an accident, even if you have made every effort to restore it. The coverage depends on the state you live in and the nature of the accident, but in most cases, you are entitled to a certain compensation if you were not at fault for the event that caused damage. Even if later you choose to sue the person or entity that was responsible for your material losses, before that you can ask the insurance provider to calculate the diminished value and pay for it.

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How to Write a Diminished Value Claim Letter?

Certainly, you may present any claim to your insurance provider in person or by calling them. However, it is recommended to draft a formal letter to create evidence in case you have to pursue legal action in the future.

Here is how you compose a letter requesting a diminished value claim:

  1. Greet the insurance provider and introduce yourself. Enter the details of your insurance policy.
  2. Indicate the reason for writing and make a reference to a clause in your agreement with the insurer that allows you to file a claim on this issue.
  3. Describe the accident or event that happened and your attempts to repair the item in question.
  4. List documentation that proves your statements and attach it to the letter.
  5. Record the sum of money you want to receive from the insurer or ask them to tell you the diminished value of your item.
  6. Sign the document, add your contact details, and offer the recipient of the letter to get in touch with you if they need more details or are prepared to send you compensation right away.

Check out these related letter templates:

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Diminished Value Claim Letter
From: ​ _ __________________________
To:​ _ _____________________________
Claimant’s Name
Name of Insurance Company
_________________________________
_________________________________
_________________________________
_________________________________
Claimant’s Address
Address of Insurance Company
_________________________________
_________________________________
City, State, ZIP Code
City, State, ZIP Code
_________________________________
Date
Re:​ [​
C laim Number​
]
To Whom It May Concern,
As you know, on ____________________ my vehicle was damaged in an automobile
collision caused by your insured client, ____________________.
The evidence clearly shows your insured’s negligence was the direct and proximate
cause of my damages.
Due to the accident, the vehicle now has a documented history of being damaged and
therefore has a lower resale value. Enclosed find a diminished value appraisal done by
an independent adjuster indicating the vehicle has decreased in value.
I hereby request reimbursement for my vehicle’s diminished value in the amount of
[​
A mount of Diminished Value + Cost of Appraisal​
] (this amount includes [​
C ost of
Appraisal​
] for the cost of an appraisal as it is an additional indirect loss).
As you can see, my claim is reasonable and I want nothing more than to be
indemnified for my loss.
Please send payment within _______ days of receipt of this notice. My claim should
be easy to resolve and I look forward to a prompt resolution. If there will be any delay
in the processing of my settlement, please contact me immediately.
© ​
T EMPLATEROLLER.COM
Diminished Value Claim Letter
From: ​ _ __________________________
To:​ _ _____________________________
Claimant’s Name
Name of Insurance Company
_________________________________
_________________________________
_________________________________
_________________________________
Claimant’s Address
Address of Insurance Company
_________________________________
_________________________________
City, State, ZIP Code
City, State, ZIP Code
_________________________________
Date
Re:​ [​
C laim Number​
]
To Whom It May Concern,
As you know, on ____________________ my vehicle was damaged in an automobile
collision caused by your insured client, ____________________.
The evidence clearly shows your insured’s negligence was the direct and proximate
cause of my damages.
Due to the accident, the vehicle now has a documented history of being damaged and
therefore has a lower resale value. Enclosed find a diminished value appraisal done by
an independent adjuster indicating the vehicle has decreased in value.
I hereby request reimbursement for my vehicle’s diminished value in the amount of
[​
A mount of Diminished Value + Cost of Appraisal​
] (this amount includes [​
C ost of
Appraisal​
] for the cost of an appraisal as it is an additional indirect loss).
As you can see, my claim is reasonable and I want nothing more than to be
indemnified for my loss.
Please send payment within _______ days of receipt of this notice. My claim should
be easy to resolve and I look forward to a prompt resolution. If there will be any delay
in the processing of my settlement, please contact me immediately.
© ​
T EMPLATEROLLER.COM
I genuinely hope that we can resolve this matter promptly and look forward to your
response.
Sincerely,
_______________________________
Claimant’s Name
_______________________________
Claimant’s Signature
© ​
T EMPLATEROLLER.COM
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