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One of the UK’s leading diminution service providers, Clifford James, are pleased to announce the launch of its eagerly anticipated Vehicle Diminution Insurance product.
Created by Clifford James, who are a firm of solicitors and an insurance underwriting agency, Diminution Insurance protects a motor vehicle from losing value if it is seriously damaged, and despite its subsequent good repair, incurs a drop in its value.
The diminution loss occurs because a vehicle sustains an accident history. For example, two identical vehicles are offered for sale. One has been previously damaged in a motor accident and then repaired. Purchasers do not pay the same price for the accident damaged vehicle and expect a price reduction. It is this reduction in price that is insured.
Diminution Insurance is aimed specifically at new vehicles up to three years old and worth up to a value of £150,000. It is expected that the product will appeal particularly to car dealerships, vehicle manufacturers, lease and finance companies, as well as brokers and motor insurers. The product can be sold standalone or as part of a suite of other insurance products such as GAP and breakdown cover.
Diminution Insurance is underwritten by an A-rated insurer and benefits from the specialist claims handling expertise of our solicitors’ firm. Stewart Fairhurst, Managing Director of Clifford James and one of the leading lawyers in motor diminution advised:
“Motor vehicles are in many cases the second most valuable asset people buy. Yet the loss in value vehicles suffer when they are badly damaged can typically be between 5% and 15%, and sometimes as much as 20% of their value depending on how new and badly damaged a vehicle is. Until now, no product that insures this diminution loss has been available to the mainstream market and we are very excited to launch this innovative first market moving product.”
If you are an insurance broker, distributor or insurance company who are interested in distributing our innovative diminution insurance product, please do not hesitate to contact us on 0344 88 050 88 or visit our Diminution Insurance page.back to news