Auto Insurance Claims: Diminished Value Check, Auto Diminished Value

Question
State of Texas - An uninsured motorist hit me in November.  I have Allstate insurance and filed for diminished value on my 07 Corvette since it was well over 12K worth of damage. I just heard from the insurance company and they are going to making the check out to me and the title holder,Chase.  Is this normal? What options do I have? What options will Chase have? Thanks!

Answer
Hi Linda,

In Texas an insurance company is required to make any checks for repairs or diminished value payable to the vehicle owner & the lienholder or a body shop if the check is for repairs.

You will need to contact Chase and explain the situation. Ask them if there is a local office you can go to to have them endorse the check. If you have to mail the check to them for signature, you should not do so until you receive a letter or email from them indicating that they will endorse the check and mail it back to you and you should send a copy of that letter with the check. You should not sign the check yourself before sending it. It is possible also that they will refuse to do this and will require that you sign the check and mail it to them and they will apply the money to your finance contract. You will still be benefiting from the money although it will not be cash in your pocket.

For additional information on diminished value, please visit www.collisionclaims.com .


I hope this helps
Richard Hixenbaugh