Estimate your vehicle's loss in value after an accident using the standard 17c formula.
1.00 – Severe structural damage
0.75 – Major damage to structure and panels
0.50 – Moderate damage to structure and panels
0.25 – Minor damage to structure and panels
0.00 – No structural damage or replaced panels
1.00 – 0 to 19,999 miles
0.80 – 20,000 to 39,999 miles
0.60 – 40,000 to 59,999 miles
0.40 – 60,000 to 79,999 miles
0.20 – 80,000 to 99,999 miles
0.00 – 100,000+ miles
function calculate17cValue() {
var preAccidentValueInput = document.getElementById("preAccidentValue");
var damageMultiplierSelect = document.getElementById("damageMultiplier");
var mileageMultiplierSelect = document.getElementById("mileageMultiplier");
var resultDiv = document.getElementById("dvResultContainer");
var errorDiv = document.getElementById("dvErrorContainer");
// Reset previous results and errors
resultDiv.style.display = "none";
errorDiv.style.display = "none";
errorDiv.innerHTML = "";
var preAccidentValue = parseFloat(preAccidentValueInput.value);
// Input validation
if (isNaN(preAccidentValue) || preAccidentValue <= 0) {
errorDiv.innerHTML = "Please enter a valid, positive number for the vehicle's value.";
errorDiv.style.display = "block";
return;
}
var damageMultiplier = parseFloat(damageMultiplierSelect.value);
var mileageMultiplier = parseFloat(mileageMultiplierSelect.value);
// Step 1: Calculate the base loss of value (10% of pre-accident value)
var baseLoss = preAccidentValue * 0.10;
// Step 2: Apply the damage multiplier
var valueAfterDamageMultiplier = baseLoss * damageMultiplier;
// Step 3: Apply the mileage multiplier
var finalDiminishedValue = valueAfterDamageMultiplier * mileageMultiplier;
// Display the result
resultDiv.innerHTML = "Estimated Diminished Value: $" + finalDiminishedValue.toFixed(2);
resultDiv.style.display = "block";
}
Understanding Diminished Value and the 17c Formula
Diminished Value (DV) is the loss in a vehicle's market value that occurs after it has been damaged in an accident and subsequently repaired. Even if the repairs are flawless, the vehicle's history now includes an accident report, which makes it less desirable to potential buyers compared to an identical vehicle with a clean history. This difference in value is the "diminished value," and you may be entitled to compensation for it from the at-fault party's insurance company.
What is the 17c Formula?
The 17c Formula is a method created by insurance companies to standardize the calculation of diminished value. It originated from a Georgia court case, Mabry v. State Farm, and is often referred to as the "17c appraisal." While it provides a starting point, it's important to note that many consumer advocates and legal experts consider it a flawed method that often results in a low-ball offer. It is, however, a common first step in the negotiation process.
How the 17c Formula is Calculated
The formula involves three main steps to arrive at the final diminished value amount:
Step 1: Determine the Base Loss of Value
The calculation starts by taking the vehicle's pre-accident value (often determined by a source like NADA or Kelley Blue Book) and applying a 10% cap. This is considered the maximum possible diminished value before any adjustments.
Base Loss = Pre-Accident Value * 0.10
Step 2: Apply a Damage Multiplier
Next, the base loss is adjusted based on the severity of the damage. A multiplier is applied, which reduces the amount based on a subjective assessment of the structural and panel damage.
1.00: Severe structural damage
0.75: Major damage to structure and panels
0.50: Moderate damage to structure and panels
0.25: Minor damage to structure and panels
0.00: No structural damage or replaced panels
Step 3: Apply a Mileage Multiplier
Finally, the value is adjusted again based on the vehicle's mileage at the time of the accident. The logic is that higher-mileage vehicles have already depreciated significantly, so the impact of an accident on their value is less.
1.00: 0 – 19,999 miles
0.80: 20,000 – 39,999 miles
0.60: 40,000 – 59,999 miles
0.40: 60,000 – 79,999 miles
0.20: 80,000 – 99,999 miles
0.00: 100,000+ miles
Example Calculation
Let's consider a vehicle with the following characteristics:
Pre-Accident Value: $30,000
Damage: Major damage to structure and panels (0.75 multiplier)
In this scenario, the estimated diminished value according to the 17c formula would be $1,800.
Limitations of the 17c Formula
While our calculator accurately computes the 17c formula, it's crucial to understand its limitations. The formula does not account for several important factors, such as the quality of the repairs, the type of vehicle (luxury and exotic cars often suffer greater DV), market demand, or a vehicle's specific history. It is often used by insurers to minimize their payout. Therefore, the result from this calculator should be seen as a starting point for your claim, not the final word. You may wish to consult with an independent appraiser for a more comprehensive evaluation of your vehicle's diminished value.