Last updated: August 18, 2025

Diminished Value & Total Loss Auto Appraisals in Kentucky: What You Need to Know

Kentucky drivers can recover losses for both diminished value (DV) and fair market value (FMV) claims after a car accident. Whether your vehicle was repaired or declared a total loss, state law allows you to pursue compensation for its true pre-accident value. This page explains how Kentucky diminished value appraisals and total loss auto appraisals work, what laws apply, key filing steps, and how a professional SnapClaim report can help you negotiate a fair insurance settlement. For city-specific information, visit our Kentucky Diminished Value Appraisal page.

Does Kentucky Allow Diminished Value and Total Loss Claims?

Diminished Value (DV)

Yes. Kentucky recognizes diminished value claims when supported by market evidence. If your car was repaired after an accident and you were not at fault, you may be entitled to compensation for the loss in market value between the vehicle’s pre-accident and post-repair condition. Although Kentucky has no specific DV statute, courts have allowed recovery under general property damage laws when proven with credible appraisal data and repair documentation.

Fair Market Value / Total Loss (FMV)

Yes. When repair costs exceed your vehicle’s actual cash value, Kentucky insurers must settle based on its fair market value before the accident. If the insurer’s offer is too low, you can request an independent Fair Market Value Appraisal using verified Kentucky market data and dealer quotes.

Key Kentucky Laws & Regulations

• DV recognition: Permitted under Kentucky tort law when supported by evidence of diminished market value.
• FMV requirement: Kentucky Administrative Regulation 806 KAR 12:095 — insurers must use comparable vehicles to determine actual cash value.
• Statute of limitations: KRS § 413.125 — 2 years for property damage, including DV and FMV claims.
• Comparative negligence: Kentucky follows a pure comparative fault system — your recovery may be reduced by your percentage of fault.
• Small claims: Kentucky District Courts handle claims up to $2,500 (Kentucky Court of Justice).
• Insurance complaints: File with the Kentucky Department of Insurance.

What You Should Document

• Accident or police report: Obtain from the Kentucky State Police or your local department.
• Repair invoices and supplements: Include all parts lists, calibration data, and photos.
• Vehicle photos: Before and after repairs, showing VIN and odometer.
• Comparable sales data: Kentucky dealership and private listings from your area (Louisville, Lexington, Bowling Green, etc.).
• Certified Diminished Value or FMV Appraisal from SnapClaim.

Step-by-Step Claim Process

1. Confirm your claim type: Diminished Value (DV) for repaired vehicles or Fair Market Value (FMV) for total loss.
2. Gather documentation: Collect your police report, repair invoices, and vehicle photos.
3. Order a professional appraisal: SnapClaim reports use verified Kentucky comparables and USPAP-compliant valuation methods.
4. Submit a demand letter: Include your appraisal and cite KRS § 413.125 (2-year property damage statute) to support your claim.
5. Negotiate or escalate: If the insurer undervalues your claim, use your report to pursue arbitration or file in small claims court.

Why a Professional Kentucky Auto Appraisal Matters

Insurers often rely on outdated or incomplete valuation systems. A SnapClaim Diminished Value Appraisal or Fair Market Value Appraisal uses verified Kentucky market data, local comparables, and certified methodologies accepted by courts and insurers. Every report is insurer-ready, court-defensible, and backed by our Money-Back Guarantee.

Ready to Claim Your Vehicle’s True Value?

Start with a free estimate — no credit card required. SnapClaim is Kentucky’s trusted auto appraisal company for diminished value and total loss claims — combining certified appraisers, real-time market data, and AI-driven valuation tools to help you secure the settlement you deserve. Get My Free Estimate →

Learn More About Kentucky Diminished Value Claims

For more details on eligibility, local laws, and sample reports, visit our Kentucky Diminished Value page to explore regional guides and city-specific resources. For other states, visit Diminished Value State Laws.