News

Diminished value ????

Discussion in 'Ferrari Discussion (not model specific)' started by madturk, Mar 26, 2004.

  1. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    Here is a question for you Ferrari experts.
    My car was burned due to a failed pump in a gas station. My insurance payed for the damages but they are getting their money from the gas station. If I ever decide to sell the car I am not going to hide this fact ( I have no interest on selling the car what so ever so please don’t make any offers). So my question is: What is the diminished value of a 1997 Ferrari 355. Some people told me at least %25. Is that true. Please keep in mind that this car was fixed with all original Ferrari parts by FOA. By the way these guys where good. The damage was just about 38K.
     
  2. To remove this ad click here.

  3. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    I am surprised that I am not getting any opinions on this.
     
  4. murph7355

    murph7355 Formula 3

    Nov 30, 2002
    1,691
    SE England Yorkie
    Full Name:
    Andy
    1st up, if you're not intending to sell it, why worry?

    If the repair job has put the car as new, I wouldn't worry about it too much. It may have an effect but I'm of the opinion that these cars are hitting the bottom of their pricing, so I doubt it'd cost you 25%.

    If the cars not as it was and you can tell it had a problem, then you're going to get whacked.

    Why not pop down to a Ferrari dealer (if there's one close) and ask them to give you a value on the car (without letting them know its history).
     
  5. alanhenson

    alanhenson Formula 3

    Dec 2, 2003
    1,335
    ask a used exotic car dealer. They have better ideas than us. I would think.
     
  6. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    I'll speak up and tell you why.

    Diminished value id the toughest argument you will EVER have with your insurance company. And here's the tip from someone who has cashed the check!

    If you win, you lose! It's a great way to get cancelled!

    Diminshed value isn't covered under a MAJORITY of policies first of all. Don't forget who writes 'em!

    In my personal case I had an older Ferrari, but my purchase Bill of Sale specifically stated "Accident free history" I thought I had base for diminished value after being hit, but here's the rub.

    Who establishes value? On a Ferrari, only someone in the business. A trip to the local Ferrari dealer found the following. NO WAY were they going to give me an appriasal of the car as worth less! They didn't want or need to get involved with some pissing match with my carrier. You know what they said to me?

    "It's still a Ferrari, if we repair it properly to specs, THERE IS NO DIMINISHED VALUE." (My emphasis added)

    Case closed. I did get a liitle more money for additional repairs that were not to my standards, but your policy, even if like mine was at stated value, not depreciated, only allows for repairs to like condition before the accident!
     
  7. To remove this ad click here.

  8. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    Ferrai of Atlanta rebuilt the car.
     
  9. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    When my car was hit in a second accident, I brought the subject up to an independent appraiser.

    He looked at me and said, "This car is twenty five years old, we can ASSUME it 's been hit SOMEWHERE and repaired, in that length of time"!!!!

    Good luck bro, that 25% $$$ is a pipe dream, put down the pipe!

    As a private seller, you are under o obligation to tell a potential buyer ANYTHING. AS IS WHERE IS, just like the stickers on the used car lots.

    Or course everybody HERE knows your story, but you can trust all of us! ;)

    Mums the word.
     
  10. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    Then I'm sure you got a good job! Frank Parker speaks highly of their work.

    Life's too short to spend it arguing with insurance companies.

    Go drive your car! YOU should pay more attention next time when fueling!

    NEVER Trust an auto shut off. My.02.
     
  11. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    Dude, first of all if I was planning to sell the car without telling the story I would not have post it here. That is something I do not do.
     
  12. To remove this ad click here.

  13. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    Don't misunderstand! I'm not saying you would aviod mention or misleed someone.

    I just say you won't get diminished value from YOUR insurance.

    Check with an attorney, maybe you could sue the gas retailer or pump equipment company as unreimbursed losses, but I don' t know.
    See your "loss" is totally theoritical, until you DO sell!

    My car has caught fire a few times, I put it out and go on with life.
     
  14. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    Speedy 308, I am not even gonna mention the diminished value thing to my insurance. But the insurance co. for the gas station is gonna have to pay something. I don't care if it is %25 or %2. That is why we have lawyers. Let them do their jobs. A side from that I am just happy she is back and have no interest what so ever on selling her.
    Thanks for the advice.
     
  15. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    Glad she's back! Enjoy!
     
  16. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
  17. dream cars

    dream cars Formula 3
    Silver Subscribed

    Nov 5, 2003
    1,163
    Central FL
    Full Name:
    mike
    I have to disagree, I have collected deminished value a number of times, even when the policy did not cover it. PM sent
     
  18. murph7355

    murph7355 Formula 3

    Nov 30, 2002
    1,691
    SE England Yorkie
    Full Name:
    Andy
    As someone's said, if you win, you lose (and everyone else does too).

    It's going to cost you in lawyers' fees and you might not win.

    And let's say you do win, and you get all your legal costs covered. Let's say you get lucky and you get 5%.

    So you're a few k dollars better off, and the lawyers are 10s of k better off. But...

    The insurance company who paid out has taken a hit. They'll hike premiums. Perhaps not directly yours, but claims like this will affect the whole industry as you won't be the only one thinking "someone's gotta pay".

    And/or the petrol station/company need to cover their new insurance costs and they have to notch up their prices...

    All hypothetical, but what I'm trying to get at is this.

    You had a close shave, but you came out of it OK and no one was physically hurt (assumption here).

    You have your car back in at least as good condition as prior to the incident (did it have alcantara highlights previously?).

    You are hugely unlikely to lose much/any money because of this incident, and it would be nigh on impossible to prove either way. Unless you had a solid offer to purchase just prior to the accident and that offer was now gone. You're going to put miles on it (indeed already have), get stonechips, need other work doing, so how are you ever to prove anything?

    Enjoy the car and be thankful that you have your health fully in tact and a fantastic car back in tip top order.

    Incidentally, how was faulty with the pump?
     
  19. madturk

    madturk Formula 3
    BANNED

    Nov 2, 2003
    1,509
    Williston, ND
    Full Name:
    Seyhan Kilincci
    First off, the pump was faulty.The gas station never even argued that.
    Second, I never said this was so important, I must get DV. or I am going to try very hard.
    Third, isn't this why we all have insurance.
    My car was out for five months. Yes I am glad it's back. As far as the alacantra goes I had to pay that out of my own pocket. The only benefit was the engine was out already and I got the 30K service done and that saved me about 3k.
    I am gonna follow the advice of Mike with dream cars. I figure why not. If I win I win if I lose big deal.
    Thanks for everyones advide.
     
  20. Giovanni_P

    Giovanni_P Formula Junior

    Nov 11, 2003
    368
    MetroWest, MA
    Full Name:
    John Pelliccio
    I LOVE that one-liner!

    -Gio P
     
  21. tifosi69

    tifosi69 Formula 3

    Dec 23, 2003
    1,671
    Atlanta, Ga.
    Full Name:
    Al-Al Cool J
    That's amazing, insurance companies are almost ALL scheisters. That being said, I have NEVER, in 18 year have a problem with Nationwide.
     
  22. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    Why, thank you! ;)

    I've spent enough time with both insurance reps AND attorneys.

    They all thought they were so smart, until I finished my deposition, and left!
     
  23. BigTex

    BigTex Seven Time F1 World Champ
    Rossa Subscribed Owner

    Dec 6, 2002
    74,357
    Houston, Texas
    Full Name:
    Bubba
    Well Tifosi69,

    I had the wonderful luck to have a racing (not against me!) Mustang driver lose control, spin across three lanes of I10 West, taking down freeway signs before striking my car GOING BACKWARDs at about 70MPH.

    The only problem?

    HIS insurance company was also MY insurance company!!!!!!!!

    Length of time to close out the claim? Almost TWO YEARS!
     
  24. tifosi69

    tifosi69 Formula 3

    Dec 23, 2003
    1,671
    Atlanta, Ga.
    Full Name:
    Al-Al Cool J

    I hear you, they are pricks most of the time!
     
  25. Brian C. Stradale

    Brian C. Stradale F1 Rookie
    Lifetime Rossa

    Mar 17, 2002
    3,603
    Dallas, TX, USA
    As I understand it, you will almost NEVER get diminished value from your own insurer... policies do not include that. It from another person's insurer that you can get DV. So, if someone else runs into you, you can argue for DV with thread of lawsuit and they'll pay. But if its your insurer, unless your policy includes DV, which almost none do, you have no leg to stand on in court.

    That's my understanding anyway.
     
  26. ignacio

    ignacio Karting

    Feb 25, 2004
    235
    annapolis md
    there is no reason you should not ask for diminished value from the gas station with the faulty gas pump. i believe they'de probably settle the case with some additional money rather than have their negligence publicised in court!
     
  27. bkaird1

    bkaird1 Karting

    Nov 7, 2003
    138
    Atlanta, Georgia
    Full Name:
    Brad
    I had a bit of a problem with them. A guy hit my the bumper of my BRAND NEW truck with his side mirror. He had Nationwide and we fought about the estimate because they wanted to put a refurbished bumper on and not a new one. After a lot of back and forth with a very impolite rep and a call/complaint to their headquaters about her, someone else in the company called and said they'd send me a check to cover a new one. Turns out my truck was so new that there were no refurbished ones even available (at least thats what they said). All's well ends well I guess, but it was a hassle.
     

Share This Page