Last updated: August 18, 2025

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

Colorado 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 Colorado 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 Colorado Diminished Value Appraisal page.

Does Colorado Allow Diminished Value and Total Loss Claims?

Diminished Value (DV)

Yes. Colorado recognizes diminished value claims when supported by credible market evidence. If your vehicle was repaired after an accident and you were not at fault, you may be eligible to recover the loss in market value between its pre-accident and post-repair condition. While there is no dedicated DV statute, Colorado courts allow recovery under general property damage principles if supported by a professional appraisal and repair documentation.

Fair Market Value / Total Loss (FMV)

Yes. When repair costs exceed your vehicle’s actual cash value, Colorado insurers must base settlement on the car’s fair market value prior to the accident. If you believe the insurer’s offer is too low, you can request an independent Fair Market Value Appraisal using verified Colorado market data and comparable vehicle listings.

Key Colorado Laws & Regulations

• DV recognition: Permitted under Colorado tort law when supported by verifiable evidence of loss in market value.
• FMV requirement: Colorado Revised Statutes § 10-4-639 — insurers must use comparable vehicles in determining actual cash value.
• Statute of limitations: CRS § 13-80-101 — 3 years for property damage, including DV and FMV claims.
• Comparative negligence: Colorado follows a modified comparative fault rule (50% bar) — recovery is reduced by your share of fault if under 50%.
• Small claims: Colorado Small Claims Courts handle cases up to $7,500 (Colorado Judicial Branch).
• Insurance complaints: File with the Colorado Division of Insurance.

What You Should Document

• Accident or police report: Obtain from the Colorado Department of Public Safety or local law enforcement.
• Repair invoices and supplements: Include all estimates, parts lists, and calibration documentation.
• Vehicle photos: Before and after repairs, showing VIN, odometer, and damage areas.
• Comparable sales data: Listings from Colorado dealers or marketplaces (Denver, Colorado Springs, Aurora, Fort Collins, 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 Colorado comparables and USPAP-compliant valuation standards.
4. Submit a demand letter: Include your appraisal and reference CRS § 13-80-101 (3-year statute) to support your claim.
5. Negotiate or escalate: If the insurer undervalues your claim, use your report to pursue arbitration or small claims court.

Why a Professional Colorado Auto Appraisal Matters

Insurance companies often rely on outdated valuation tools. A SnapClaim Diminished Value Appraisal or Fair Market Value Appraisal uses real Colorado market data, verified comparables, and certified valuation methods accepted by insurers and courts statewide. Every report is insurer-ready, court-defensible, and protected by our Money-Back Guarantee.

Ready to Claim Your Vehicle’s True Value?

Start with a free estimate — no credit card required. SnapClaim is Colorado’s trusted auto appraisal company for diminished value and total loss claims — combining certified appraisers, market analytics, and AI-driven valuation technology to help you secure what your vehicle is truly worth. Get My Free Estimate →

Learn More About Colorado Diminished Value Claims

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