A woman with a Tesla Model 3 was in a car accident. Now she claims Allstate is refusing to pay its diminished value. In a TikTok that’s generated over 37,100 views as of this writing, Lauryn Chayce (@laurynchayce) describes her recent rear-end accident and the ensuing headache courtesy of Allstate. "Allstate is refusing to pay for the diminished value on our car," Chayce begins. She drives a 2022 Tesla Model 3. "So obviously it’s worth claiming diminished value on it," she says. However, this isn’t the first accident that Tesla has been involved in. "A couple years ago we had a deer hit the front right of our car and it took off our rear view mirror," she shares. Now she claims Allstate is using this deer accident as justification not fully to pay for the diminished value. "Allstate is claiming that since we had the deer accident in the front of the car, that already diminished the car’s value. So now this rear end accident didn’t diminish the car’s value anymore," she explains. Chayne isn’t buying it. "A deer hitting you in the front right of your car is totally different from a vehicle hitting you in the back of the car," she says. She notes that this accident will appear on Carfax and believes she is entitled to compensation for the diminished value. What Is Diminished Value? Diminished value represents the difference between your vehicle's market price or value before and after an accident. This will include both big and little accidents. So, no matter the amount of damage caused by the accident, your car's value will be affected in the marketplace. "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," per Kelley Blue Book (KBB). Even if the vehicle is fully restored and repaired to its pre-accident condition, the value will be lower and will appear on its vehicle's history report, KBB adds. So when you are in an accident, you can file a diminished value claim to try to receive compensation for the lost value. One thing to note is that diminished value is different from depreciation, which refers to the loss of value over time. The Three Types of Diminished Value According to KBB, there are three types of diminished value claims: inherent, repair-related, and immediate. Inherent diminished value is the most common claim. This is the loss of value for any accident, even if it’s fully repaired back to its prior condition. Even after repair, an accident on a vehicle's history negatively impacts its value. Repair-related diminished value is based on the quality of the repair of accident damage. A messed-up repair that affects appearance or functionality can significantly reduce value. Immediate diminished value is the rarest of the three. It’s based on the car's pre-accident value. In this case, instead of getting repairs after an accident, you decide to trade the vehicle in immediately. The immediate diminished value is the difference between the market value pre-accident and the actual value before repairs. Diminished value is calculated based on the market cap, miles driven, and the severity of the damage. Make Your Insurance Company Deal With It Multiple viewers told Chayne that it’s not her job to fight Allstate, which appears to be the other driver’s insurance company. "Make your insurance company deal with it; they are the professionals and should be doing it for you," one urged. "Your insurance should be fighting for you! Lawyer up," another added. "It's not their ‘job’ to deny your claim. Just go thru your own insurance," a third suggested. Others said that an accident is an accident no matter the severity in the eyes of insurance and vehicle history reports. "When you go to trade it in, a dealership isn’t going to care if it was a car or a deer. They’re not wrong that the value was already diminished from the first accident, but it’s going to be even more so from the second. You will get a lot less for the car with two accidents on it now," one commented. "You are still entitled to diminished value, though it will be a significantly smaller payment due to already having the deer strike. If they refuse, then I would recommend looking into filing a complaint with the department of insurance," another said. Motor1 has contacted Chayce via email and TikTok direct message. We’ve also contacted Allstate through email. The story will be updated if either party replies. We want your opinion! What would you like to see on Motor1.com? Take our 3 minute survey. - The Motor1.com Team