LC Accident - the good, the bad, and the ugly

CerberusSasha · Feb 23, 2026

PC3 said:
On Feb 6, during a snow storm, a young fellow driving a Honda Accord lost control of his vehicle, crossed the double yellow, and tattooed the driver's side front of the LC and my driver's side fender pretty good. I guess he was doing around 40 at the time, and I was doing around 25.

Brought the car in last week for an initial estimate, and damage and cost are substantial. Front fender and driver's door are likely full replace. Front bumper, grille, fascia and headlights are all full replace. TBD whether engine compartment requires any significant repair. Driver side rock rail is full replace. TBD whether wheel arm and mechanics were damaged, although the car still runs and alignment is true. So, having been through the accident, a few thoughts.

The Good

LC took the hit like a champ and air bags didn't deploy

My car looks bad, but his is a mess

All replacement parts are reported to have been ordered and on the way (save Greenlane rock rails), which is a pleasant departure from my windshield experience in early 25 where I waited 2.75 months

Fender crumple zone worked; and fender is in fact made of metal

Greenlane rock rail did its job, albeit in response to a car and not a rock

Despite significant up-front damage, all sensors still seem to work (note point below)

Thankfully, no one was injured

The Bad

Given the way the vehicle hit my car, I think there is hidden damage to the engine compartment and body of the vehicle

The front "crumple zone" seems more brittle than the fender in that everything up front broke - headlight, bumper, thing between headlight and bumper (but still better than engine damage)

As much as I hat the sensors on the Toyota, not a single one went off as the other car approached me and hit me, so there's that

The Toyota paint is pretty thin over the fender

The Ugly

Reserved a rental car at least a week in advance, and only car Enterprise had is a Ford Lightning (intrigued, but I don't have charging capacity)

Kid who hit me has gone radio silent since I made contact to discuss payment for rental and deductible

Estimate of hit to resale is anywhere from 10% to 30%, which sucks, not that I was planning to get rid of the car

At 1.5 years and 26k miles, I've really come to love the LC. It looks great. rides great, handles great, is very capable on and off-road, is comfortable on short and long drives and gets reasonable mileage. I "only" have the 1958, but I've modded it to my liking, and the car really has exceeded my expectations in nearly every regard (e.g., the camera washer when you put it in reverse and hit the lever). I had initial concerns about the hybrid-turbo combination, but once I've gotten used to it and it has broken in, I think it's a really nice solution.

If you have any questions, feel free to hit me up. I don't practice in Michigan, but I deal with car crashes all day, every day in Vegas.

wpage · Feb 24, 2026

Here is Kelly Blue Book defines "Diminished Value"...

Home Car Advice Diminished Value of a Car: Estimations After an Accident
Advice

Diminished Value of a Car: Estimations After an Accident

By

Russ Heaps 05/02/2025 8:00am

Car accident and diminished value of vehicle

Quick Facts About Diminished Value Estimations of Your Car

A vehicle sustains lost value after an accident, which is in addition to the typical loss of value as it ages.
The accident appears on your vehicle history report.
There are ways to estimate your diminished value claim.

Every reported accident, big or small, reduces your car’s value in the marketplace, even if repairs return it to its pre-accident condition — and that reduction is in addition to the typical loss of value (depreciation) as your car ages. The extra loss of value might be significant or relatively minor, but it’s a fact of life. The automotive and insurance industries recognize diminished value after an accident to the point that every state has an established protocol for addressing the issue. Here’s what you need to know to protect yourself.

What Is the Diminished Value of a Car?

Diminished value is an insurance industry term for the lost value a car sustains from an accident in its history. Even if repairs fully restore a car to its pre-accident condition, the accident still appears on its vehicle history report, lowering its Kelley Blue Book value. A car’s value matters when or if you decide to sell your vehicle.
RELATED: Can I Sell My Car to a Dealership?

What Is a Diminished Value Claim?

In most states, a diminished value claim is filed against the at-fault driver’s insurance company to financially compensate the aggrieved driver for the diminished value loss attributable to an accident. Although a substandard repair job is grounds for a diminished value claim, it isn’t required. An accident appearing on a vehicle history report, like AutoCheck or Carfax, will reduce a car’s market value.
PRO TIP: Although most states only allow a diminished value claim to be filed against the at-fault driver’s insurance company, some states permit you to file a claim against your own car insurance company if the other driver can’t be identified or doesn’t have sufficient insurance to cover the claim.

3 Types of Diminished Value

The insurance industry, state regulators, and courts recognize three types of diminished value.

Inherent: If you file a diminished value claim, more than likely, it will be for inherent diminished value. This is the loss of value caused by any accident of record. Even if all accident damage is fully repaired and the car is restored to its pre-accident condition, it will lose some value simply because it’s been in an accident that appears on its vehicle history report.
Repair-related: The second most common reason for a diminished value claim is based on the quality of the repair of accident damage. A botched repair affecting the appearance or operation of your vehicle reduces its value beyond the inherent diminished value. In other words, your vehicle will lose some value simply because it was in an accident; however, if the repairs fail to restore it to its pre-accident condition, the loss of value will be even greater. For example, if after a side-impact collision and the repair of the resulting damage, a door doesn’t close properly, it might be grounds for a repair-related diminished value claim.
Immediate: This is a diminished value claim that is rarely made. It is based on the loss of value before the accident damage is repaired. Let’s imagine you are in an accident resulting in damage to your vehicle, and rather than waiting for the repair, you decide to use it as a trade-in toward another car. The immediate diminished value would be the difference between the market value before the accident and the actual value before any damage repairs.

RELATED: Vehicle History Report: Everything You Need to Know

When Can You File a Diminished Value Claim?

Not your fault: If your car is damaged in an accident in which another driver is at fault, you might benefit from filing a diminished value claim.
Hit-and-run: If your car is damaged by a hit-and-run driver, you may be able to file a diminished value claim under the uninsured driver coverage of your insurance.
Uninsured at-fault driver: In the case of an accident caused by another driver who is either uninsured or underinsured, you may still be able to file a diminished value claim with your insurance provider.

When Not to File a Diminished Value Claim

You were at fault: If you are at fault in an accident that damages your vehicle, you cannot file a diminished value claim.
Leased vehicle: When the damaged vehicle is leased by the not-at-fault driver, the diminished value claims issue is complicated because the vehicle is legally owned by the leasing company. That is, the leasing company is the injured party and not the driver. When that is the case, the driver should contact the leasing company and let it work out the details.
Michigan resident: Michigan is the only state that prohibits diminished value claims. Instead, you must pursue such claims through the courts.

How to Estimate Diminished Value

You can get a rough idea of the amount of a diminished value claim because the blueprint for calculating the amount of diminished value was outlined by a Georgia court in the case of Mabry v. State Farm in 2001. Found in Section C of the 17th paragraph of the finding, the 17c formula is the accepted standard for calculating diminished value. We’ve cut through the legal gobbledegook to simplify the process so you can get an idea of the size of your diminished value payout. It begins with knowing the market value of your car and its mileage at the time of the accident. Here are the steps to calculate the estimated amount of your claim.

Determine the market value’s 10% cap: The 17c formula is applied to 10% of your car’s market value. Example: Let’s say you determined the market value was $25,000 before the accident. $25,000 x 0.10 = $2,500.
Apply a damage multiplier: Using the 10% cap value, insurance companies multiply that number by a damage multiplier, which ranges from 0.00 to 1.0. The multiplier further refines the diminished value based on the damage to the car from the accident.

Multiplier	Damage Level
1.00	Severe structural damage
0.75	Major damage to the structure and panels
0.50	Moderate damage to structure and panels
0.25	Minor damage to structure and panels
0.00	No structural damage or replaced panels

Example: Using our 10% cap example in an accident with moderate damage: $2,500 x 0.05 = $1,250.

Apply a mileage multiplier: Taking the number (product) from the damage multiplier equation, insurance companies multiply it by a mileage multiplier to arrive at the final diminished value. This is why you needed your car’s mileage at the time of the accident. Here’s a table with the mileage multipliers and their corresponding mileage ranges.

Multiplier	Mileage Range
1.00	0-19,999 miles
0.80	20,000-39,999 miles
0.60	40,000-59,999 miles
0.40	60,000-79,999 miles
0.20	80,000-99,999 miles
0	100,000 miles or more

Example: If our hypothetical car had 30,000 miles on the odometer, our mileage multiplier would be 0.80. Multiply the product of our damage multiplier equation by the mileage multiplier: $1,250 x 0.80 = $1,000. The at-fault driver’s insurance company should offer to settle a diminished value claim for approximately $1,000.

How to File a Diminished Value Claim

A diminished value claim is a process separate from filing the accident damage claim. In other words, an insurance company isn’t going to include diminished value in the damage repair settlement. Therefore, initiating a diminished value claim will involve some direct interaction with the at-fault driver’s insurance provider and a bit of effort on your part. Furthermore, it will likely take more time to settle a diminished value claim.
Here’s what to do:

Determine the market value of your car had the accident not occurred. Using the information we provided above, you can arrive at a ballpark payout, as you already have the Kelley Blue Book value. However, if it’s been a while, check it again.
Contact the at-fault driver’s insurance company to learn what its exact process is for filing a diminished value claim. This will vary from one insurer to the next. Moreover, each state has its own diminished claim regulations. In any event, you will need to obtain the info and any appropriate form from the insurance company.
Complete the form and file the claim. If you have any photographic evidence of the damage, you may want to include it in the filing. If your estimated settlement is large enough, you might want to hire a certified vehicle appraiser to provide an appraisal after the damage is repaired.

Real World: What to Expect From a Diminished Value Claim

No matter how carefully you calculate a diminished value claim using the 17c formula, the insurance company may arrive at a significantly different amount.
For example, Kelley Blue Book advice editor Renee Valdes filed a diminished value claim with Liberty Mutual Insurance for an accident caused by one of its insured drivers. Here are the particulars at the time of the accident in 2024:

Damaged vehicle: 2024 Hyundai Tucson SEL FWD
Kelley Blue Book value range: $26,000-$28,600
Mileage: 2,780 (1.00)
Cost of damage repair: $2,008.88 or minor damage to structure and panels (0.25)
Airbags: Did not deploy

Using this information, we can estimate the range of the settlement by making two calculations based on the high and low book value numbers.
10% cap of 26,000 is $2,600 x 0.25 = $650 x 1.00 = $650
10% cap of $28,600 is $2,860 x 0.25 = $715 x 1.00 = $715
Based on the results of these calculations, Renee expected a settlement between $650 and $715. Not according to Liberty Mutual, which offered $400. Liberty Mutual used a market value of $28,600. It’s unclear what calculations they employed to arrive at their offer. When Renee asked, she was told each claim is evaluated on its merits, and multiple factors are considered, including the severity of the damage. They called the $2,008.88 repair a cosmetic one.
RELATED: Actual Cash Value: How It Works for Car Insurance

Final Thoughts

If you’ve been in an accident caused by another driver, in any state but Michigan, you can make a diminished value claim with the other driver’s car insurance company. We recommend you take advantage of this opportunity. The newer your vehicle and the fewer miles on the odometer, the greater the likelihood that your claim will result in a payout. We think it’s worth the effort. If you calculate an estimate for the appropriate claim settlement and the insurance company doesn’t come close to it (or denies it entirely), your only recourse is going to small claims court or hiring an attorney. At that point, the difference may not be worth the time, trouble, or expense.

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PC3 · Feb 24, 2026

Below32 said:
I am sorry you are going through this. You are not alone…. Had some guy pull out in front of me last week. Not even 1,000 miles on my new LC. Guy didn't even have insurance. Front right side of the LC took the hit and I 100% agree, the LC is a beast! He got a full on front end frame realignment out of the deal along with a bunch of other problems. I drove directly to the body shop and let them deal with insurance etc. The best thing was 3 people approaching me right afterward and giving me their name and numbers. That was awesome.

Appreciate the diminished value tip. Will check it out. If nothing else it can help relieve the burden of the increase of the insurance premiums going forward.

Best of luck and sorry about your situation. I hope it all works out for you. But agree completely. At 25k ish, I've been even more impressed with the LC as it has broken in, and having now been hit, I feel like the vehicle is more than safe.

PC3 · Feb 24, 2026

CerberusSasha said:
If you have any questions, feel free to hit me up. I don't practice in Michigan, but I deal with car crashes all day, every day in Vegas.

Appreciate it, and may take you up on the offer. They project that the repairs will be complete in about 3 weeks (up a week from initial estimate), so waiting to see how long I need the rental car, and what the total $ damage is before I do anything.

CerberusSasha · Feb 24, 2026

PC3 said:
Appreciate it, and may take you up on the offer. They project that the repairs will be complete in about 3 weeks (up a week from initial estimate), so waiting to see how long I need the rental car, and what the total $ damage is before I do anything.

Hopefully it's not too bad. They almost always find more damage when they start taking apart your vehicle unless they actually crawled underneath for the initial estimate.
Hopefully you weren't injured. I didn't see anything about injuries, so assuming not, but never hurts to ask.

Turaxx · Feb 25, 2026

So sorry for your misfortune.

PC3 · Mar 2, 2026

CerberusSasha said:
Hopefully it's not too bad. They almost always find more damage when they start taking apart your vehicle unless they actually crawled underneath for the initial estimate.
Hopefully you weren't injured. I didn't see anything about injuries, so assuming not, but never hurts to ask.

Additional $2k in damage once they tore it apart, so getting expensive, but fortunately, no one involved was injured.

Shorty · Mar 4, 2026

Surprised the airbags didn’t go off

LC Accident - the good, the bad, and the ugly

CerberusSasha

Member

wpage

Well-known member