Accident with a Leased car.
12-29-17, 01:50 PM
#1
Accident with a Leased car.
My 2017 ES-350 is leased and i was wondering what the procedure is after a miner accident.
Will the Dealer insist on repairing the damage? BTW: No Accident as yet.
Will the Dealer insist on repairing the damage? BTW: No Accident as yet.
12-29-17, 02:37 PM
#2
The dealer isn't involved any longer. Any arrangements are between you, your insurance company, and the lease holder. If you have minor damage and don't want it fixed, you will be charged for it when you turn the car in at the end of the lease. During the period of the lease, repairs are handled with your insurance just like you owned the car outright.
12-29-17, 02:53 PM
#3
Have the repair estimate done just as if you owned or financed the car.
Choose where to have the work done and then turn in the car at lease maturity.
The turn-in form will ask "has the car been in an accident, if yes where was it fixed?"
Answer completely and you will be alright.
When having a car appraised as a trade in, the CarFax report with an accident will
create a depreciation of value. As long as the repair of your lease car is done at a
competent Body Shop you will be fine. Leaving it unrepaired or attempting a DIY
rough and buff will get charged back to you.
Choose where to have the work done and then turn in the car at lease maturity.
The turn-in form will ask "has the car been in an accident, if yes where was it fixed?"
Answer completely and you will be alright.
When having a car appraised as a trade in, the CarFax report with an accident will
create a depreciation of value. As long as the repair of your lease car is done at a
competent Body Shop you will be fine. Leaving it unrepaired or attempting a DIY
rough and buff will get charged back to you.
12-29-17, 03:12 PM
#4
Have the repair estimate done just as if you owned or financed the car.
Choose where to have the work done and then turn in the car at lease maturity.
The turn-in form will ask "has the car been in an accident, if yes where was it fixed?"
Answer completely and you will be alright.
When having a car appraised as a trade in, the CarFax report with an accident will
create a depreciation of value. As long as the repair of your lease car is done at a
competent Body Shop you will be fine. Leaving it unrepaired or attempting a DIY
rough and buff will get charged back to you.
Choose where to have the work done and then turn in the car at lease maturity.
The turn-in form will ask "has the car been in an accident, if yes where was it fixed?"
Answer completely and you will be alright.
When having a car appraised as a trade in, the CarFax report with an accident will
create a depreciation of value. As long as the repair of your lease car is done at a
competent Body Shop you will be fine. Leaving it unrepaired or attempting a DIY
rough and buff will get charged back to you.
12-29-17, 08:20 PM
#5
This is would be just like any other accident - you go through your insurance company or don't go through them if you want and get it fixed. There is no incentive to not get it fixed as you will pay later and making an insurance claim after you have returned the car is not always easy. In fact you may not even get the charge before they have wholesaled the car.
Same goes for broken windshields.
I would have it repaired by a Lexus shop or one recommended by your dealer so there is not a question about substandard repairs.
I don't recall ever being asked about accident damage at lease-turn-in and that is just another reason I like leasing.
Dave Mac
Same goes for broken windshields.
I would have it repaired by a Lexus shop or one recommended by your dealer so there is not a question about substandard repairs.
I don't recall ever being asked about accident damage at lease-turn-in and that is just another reason I like leasing.
Dave Mac
12-30-17, 11:21 AM
#7
Driver School Candidate
Just went through a similar situation. Wife was hit by new driver who was texting. Leased 2016 ES was totaled.. This occurred back in early November. No injuries but 28k in damage to the Lexus. Took a while but the claim was settled several weeks ago. There could be an issue called diminished value. In my state (NJ) it really depends who is at fault. Since my vehicle was totaled diminished value did not play out. My insurance paid 32500 to settle the claim with Lexus Finical. I owed nothing in the end.
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01-19-18, 03:25 AM
#8
Driver School Candidate
Leased car with frame damage-diminished value?
Hello,
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
Last edited by Traceyray; 01-19-18 at 03:36 AM. Reason: Typos
01-19-18, 04:30 AM
#9
Driver School Candidate
Before my 2016 ES was totaled I researched diminished value. In my state (NJ) If you were not at fault in causing the accident, a second diminished value claim would be brought by Lexus Finical against the other drivers insurance co. You would not have to do anything.
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Traceyray (01-19-18)
01-19-18, 04:55 AM
#10
Hello,
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
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Traceyray (01-19-18)
01-19-18, 05:27 AM
#11
Driver School Candidate
There was 28k in damage to my ES at first they were going to repair the vehicle then the body shop submitted a supplement to the original estimate with a possible 4 k more . Thats when the insurance threw in the towel and totaled the car. The Lexus gap insurance that is provided with every Lexus lease made up the difference from what my Ins. Co paid and what Lexus wanted.
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Traceyray (01-19-18)
01-19-18, 05:45 AM
#13
Lead Lap
Hello,
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
My leased 2015 ES350 was recently hit by another driver. The Lexus dealer here does not do repairs, but referred me to a body shop. I just received the estimate for the repairs. $13,000. The insurance company refuses to pay for all OEM parts. Basically just the hood and fender are OEM. There is frame damage. 6 hours of labor to repair it. My insurance company will also not supply all OEM parts, but may possibly total the car.
i am kind of in a bind because the other insurance company is paying for the rental car, and if I change and go through my company, then I have to turn the car back in. Which is fine, but if my company's estimate is the same as theirs, obviously I want to stay with them after all.
My questions are:
1) If I repair the car, am I responsible for the diminished value? Lexus provided me a form that allows me to take the necessary action to pursue a diminished value settlement, and any settlement goes to them. Or do I skip that hassle, and they can get their own diminished value when I turn in the car? That is, adter they inspect the car, are they going to bill me for the diminished value if I haven't pursued it on my own. I am guessing that the insurance company will not pay me anywhere near the true diminished value of the car. It was in oristine condition with 17,000 miles. Lease is up in August. It is a two payment lease. One payment at purchase and $24,000 due in August.
2) If my company does total it, is that a better option for me?
Thank you very much.
For minimal expense, he/she should be able to inform you about what your options are and make recommendations with regard to what would be your best option. And, if you should decide that the best option for you is to proceed with some form of litigation, the attorney is going to have more leverage than you have to motivate either your insurance company or the other driver's insurance company to agree to a fair settlement, the amount of which could also include reimbursement for your legal costs.
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Traceyray (01-20-18)
01-19-18, 06:57 AM
#14
Driver School Candidate
Lookup your state and diminished value claims. There are some differences.
If you don't put up a stink with your ins co and the other drivers ins co you will get nothing. They will not say to you after your car is fixed hey here is a few grand cause were worried about your diminished value. When I informed Lexus Finical about the massive damage to their car and the diminished value they told me they would file a claim with Travelers ins ( the at fault parties inc . co.) My ins co. and Travelers and Lexus were very good about the whole mess.
So I did not sweat it. In the end the car was totaled so the diminished value didn't come into play. Gap insurance did. I can see Lexus coming after you if for example several yeas later you turn the car in and they find its damaged and no diminished value claim was never filed.
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Traceyray (01-20-18)
