I have a minor dent on my car caused by debris from another vehicle’s collision. Although the police report doesn’t mention my car, I’ve filed a claim with what I believe is the at-fault insurance. Will this incident show up on CarFax?
My damage is minimal—a dent and some scratches—estimated to cost between $500 and $1,000 for paintless dent repair and buffing. The police didn’t note my vehicle in the report, even though I provided them with video evidence of being hit. The at-fault driver’s insurance has contacted me for my account as a witness, and I shared my video and photos with them. They are currently sorting things out with the involved insurance companies, which might lead to a lengthy court process due to the significant property damage involved. I’m concerned that I may not receive any compensation if they max out their limits.
Since I’m considering trading in my car this year, I’m curious about how this situation might impact its resale value if it shows up on CarFax. If I opt to fix the dent myself and withdraw from the claim, would that still be reported to CarFax? Conversely, if I continue with the claim or use my insurance, how significantly could that reduce my car’s resale value for such a minor issue?
It’s understandable to be concerned about how a minor incident like this could affect your resale value, especially when it involves insurance claims and potential reports to CarFax.
CarFax Reporting: Typically, CarFax reports are based on insurance claims for significant damage or accidents that involve police reports. Since your car wasn’t mentioned in the police report and the damage is relatively minor, it’s unlikely that it will automatically show up on CarFax unless an insurance claim is filed or the vehicle is declared a total loss. If you handle the repair yourself without going through insurance, it typically won’t be reported.
Impact of Claims on Resale Value: If you do decide to file a claim and it gets reported, even for minor damages, it could potentially affect resale value, but the impact might not be as significant due to the minor nature of the damage. Buyers often look for significant accidents or structural damage, and a small dent isn’t usually a dealbreaker.
Going Through Insurance vs. Repairing Yourself: If you go through your insurance, it could potentially lead to a claim being filed, which then might show up on your CarFax. However, if you choose to pay for the repairs out of pocket (between $500 – $1,000 as you estimated), and you don’t file a claim, this won’t be reported. Just keep in mind that paying out of pocket means you won’t have any insurance assistance if further complications arise.
Future Resale Considerations: When considering trade-in or resale, minor cosmetic damage like a dent and scratches generally have less impact compared to major structural damage. Maintaining all repair records and being honest about the car’s condition can help you explain the situation to potential buyers.
In summary, if you’re mostly concerned about resale value, fixing the damage yourself without going through insurance is likely the best route to avoid any negative impact on your vehicle’s history report. Just weigh your options carefully, especially if you anticipate complications from insurance negotiations.