My 2025 BMW X5 was rear-ended during a trip. The repair bill was $18,000. The car looks new, but the CarFax now screams “ACCIDENT REPORTED.” I went to trade it in, and the dealer offered me $10,000 less than market value because of the accident history. I asked Turo for that $10,000. They sent me a link to their Terms of Service saying “We do not pay Diminished Value.”
Key Takeaways
- Turo Waives DV (Usually): By signing the Host Agreement, you generally waive your right to claim Diminished Value (DV) against Turo’s protection plan.
- The Guest’s Insurance is the Target: You can claim DV if you go directly after the guest’s personal auto insurance (if they have it and it covers the car).
- The “60 Plan” Exception: Turo’s most expensive plan (60 Plan) sometimes includes “Exterior Wear and Tear,” but rarely true DV.
- You Need a Third-Party Appraisal: A dealer trade-in offer is not proof. You need a certified DV appraisal report ($300 cost).
The “Why”: The Contractual Waiver
Turo acts as the administrator. Their protection plan is a contract between you and Turo. In that contract, they explicitly exclude “Diminished Value.”
However, the guest is liable for damages. If the guest has Geico, Geico is liable for the guest’s liability. In many states (like Georgia), insurers must pay DV. In others, you have to fight for it.
The Investigation: The Subrogation Route
I tested this path with a wrecked Mercedes.
- Path A (Turo Protection Plan): I filed through Turo. Turo paid for repairs. I asked for DV. Denied.
- Path B (Direct to Guest’s Insurance): I contacted the guest. “Hey, Turo’s process is slow. Can we file through your State Farm policy?” Guest agreed.
- State Farm accepted liability.
- I submitted a DV appraisal.
- State Farm sent a check for $6,500 for Diminished Value.
Comparison: Who Pays DV?
| Source | Pays Diminished Value? | Difficulty |
| Turo Protection Plan | NO (Unless req. by state law) | Impossible |
| Guest’s Personal Insurance | YES (Varies by state) | Medium |
| At-Fault Third Party | YES (If guest wasn’t at fault) | Medium |
[IMAGE: Screenshot of a certified “Diminished Value Appraisal” document showing the Pre-Accident vs. Post-Repair value calculation]
Step-by-Step Action Plan
- Get the Guest’s Insurance Info: Before filing with Turo, ask the guest: “Do you have your own insurance? It might be cheaper for you to use that than pay Turo’s deductible.”
- Order a DV Report: Hire a company like “Collision Safety Consultants” or “Auto Damage Experts.” Do not use an online calculator.
- File the Claim Directly: If the guest has insurance, file the claim with their carrier. Submit the repair bill and the DV report.
- Demand Payment: If they refuse, you may need to file a Small Claims Court suit against the guest. Their insurance will often settle to avoid court.
FAQ
Can I sue Turo for DV?
No. You signed an arbitration agreement and a waiver. You will lose.
Does a clean repair hide the accident?
In 2026, body shops report to CarFax automatically. You cannot hide an $18,000 repair.
Is it worth claiming on a cheap car?
No. If you have a 2018 Camry, the DV is negligible. This is only for high-value, newer cars (2023+).