Pehlivan & Güven Law FirmPublished:
Vehicle depreciation (araç değer kaybı) is the loss in value of a vehicle that has been repaired after an accident, measured against its second-hand market price. After the accident, the sale price of the repaired vehicle will be lower than the sale price established before the accident.
Certain conditions must be met in order to claim vehicle depreciation. These conditions are as follows:
Vehicle depreciation claims are subject to a 2-year limitation period. You must therefore file your depreciation claim within 2 years of the date of the accident in order to recover the loss in value. Otherwise, you will lose the right to claim for depreciation.
The damaged area of the vehicle must not have been repaired before. For example, if a part that was previously painted because of another accident is painted again because of a new accident, this does not give rise to depreciation. However, if that part has been replaced, this may cause depreciation.
Vehicle depreciation is calculated on the basis of factors such as the vehicle's market value, the extent of the damage and the vehicle's mileage. An accurate calculation ensures that the injured vehicle owner's loss is compensated as accurately as possible.
The vehicle depreciation claim must be made, together with the documents relating to the accident, to the insurance company of the vehicle at fault. Applications to the insurance company must be made in writing.
The documents required when applying to the insurance company are as follows:
You can apply to the insurance companies with the documents listed above. Insurance companies must assess and decide on vehicle depreciation claims made to them within 15 days. If the claim has not been resolved in the injured party's favour after 15 days, they may take the matter to court.
For vehicle depreciation claims, the accident must involve two parties. In a two-party traffic accident, under the Highway Traffic Law (Karayolları Trafik Kanunu), the following are liable for the depreciation of the vehicle caused by the accident:
They are jointly and severally liable. In addition:
The main reason for differences between existing calculations lies in how the market value is determined. To determine the market value of parts not included in the motor insurance (kasko) vehicle list, the market analysis method is used. Accordingly:
If the vehicle has been declared a total loss (pert) and a report has been issued that repairing it would not be economical, vehicle depreciation cannot be claimed. Likewise, if a vehicle is involved in an accident a second time and sustains the same damage as in the previous accident, vehicle depreciation cannot be claimed.
If the accident was a single-party accident, depreciation cannot be claimed.
There are several important criteria taken into account when calculating vehicle depreciation:
Vehicle depreciation cases are based on tort liability. Accordingly, a lawsuit can be filed in the general courts, provided that an application has first been made to the relevant insurance company. However, in compensation claims for vehicle depreciation, many different possibilities arise regarding which court has subject-matter jurisdiction, depending on the legal relationship: for example, whether the claimant is a merchant or a consumer, and whether the case is brought against the vehicle's compulsory third-party liability insurer or its motor (kasko) insurer.
Where both the claimant and the defendant are merchants, the court with subject-matter jurisdiction over depreciation cases is the Commercial Court of First Instance (Asliye Ticaret Mahkemesi), under Article 4 of the Turkish Commercial Code (TTK m.4).
As for venue, the court generally competent in depreciation cases is the court of the place where the defendant resides; however, since depreciation cases are based on tort liability, the courts of the place where the tort was committed, where the damage occurred or is likely to occur, or where the injured party is domiciled are also competent.
