Vehicle Depreciation Application Guide: Insurance, Arbitration and Litigation

Basis of a depreciation claim

Accident-related loss in a repaired vehicle’s market value may be claimed subject to fault and liability requirements. Age and mileage affect assessment; a universal fifteen-year or 165,000-kilometre eligibility bar should not be assumed. Previous damage, repeated damage to the same parts and total loss require individual assessment.

Documents and insurer application

Prepare the accident report, registration, policy details, photographs, repair invoices and any expert report. Keep evidence of the application’s contents and delivery date. For compulsory motor liability insurance, a final adverse response or fifteen days without a response following written application may allow arbitration or litigation if its conditions are met. This is not fifteen business days.

Arbitration or court proceedings

Eligibility for the Insurance Arbitration Commission and court jurisdiction depend on the dispute. Any mandatory mediation requirement must also be checked. Monetary thresholds for objections and cassation may change, so the applicable date and threshold matter. Where an objection is available, the ten-day period after notification of the award is relevant.

Limitation and valuation

Article 109 of the Highway Traffic Law generally provides two years from knowledge of the damage and liable person and ten years from the accident, subject to longer criminal limitation periods and interruption or suspension. Partial fault does not eliminate every claim; attributable loss and coverage matter. No fixed payment or completion time can be guaranteed.

Legal basis

2918, Articles 97, 109; 5684, Article 30; Insurance Arbitration Commission FAQ

Legal information: This article provides general information on Turkish law. The documents, dates and applicable rules of each case require individual assessment.