A. Yes. Your deduction is based on the percentage of business use, not the use at the time of the accident.
For instance, if you pay $1,000 after receiving insurance proceeds to repair a car used 80% for business, your deduction is $800 (80% of $1,000). In comparison, to deduct personal casualty losses and thefts, including costs attributable to auto collisions, you must reduce each casualty event by $100 before applying a floor of 10% of adjusted gross income (AGI).
Tip: You can increase your repair cost deduction by using the car more for business use for the remainder of the year.