Does a previous accident affect my Diminished Value?

Once a vehicle has been in an accident, it has already seen a reduced (diminished) value, even if it has been repaired to as new condition. That value can not be restored to the vehicle, so if the vehicle is in another accident the Diminished Value is calculated from the already reduced value after the first accident. As a result there is a smaller diminished value the second time around because the biggest loss in value happened from the first accident.