Auto Insurance Claims: Dimished Value, diminished value claim, statute of limitations

Question
Hi, my family and I were involved in a car accident a year ago. The person who caused the accident accepted responsibility and her insurance company happen to be the same as our. We decided to get a different vehicle, but the dealer gave is less than the KBB trade in value because of the accident (this was not fair since we did not cause the accident).  I just noticed that CA has a 3 year DV limitation.  The car had full coverage so I called AAA and they said that I would not be able to file a claim. Is this true? Is it not worth pursuing?  Any advice would be appreciated.

Answer
I am not familiar with CA law, and there may be a specific CA exclusion that applies here.  But in most states, you would have a valid diminished value claim up until the statute of limitations expires, which is 3 years from the date of accident for property damage in California.

You can only make this claim with the liability carrier - the policy for the driver who was at fault.  Your policy will generally not cover Diminished value.  Did you speak to the claim rep who handled the liability portion of your claim?  if not, call that person.

Also, what reason did the person give you for denying the claim?

The value of the claim would generally be the difference between what the dealer would have given you if there had not been an accident.