Recovering Diminished Value in Georgia

a lawyer will help you recover the diminished value of your wrecked car

Car accidents often lead to physical injuries and financial constraints relating to medical treatment and property repairs. An often-overlooked aspect of car accidents is the diminished value of your vehicle.

Georgia law allows car owners to claim for the diminished value of their vehicle subject to certain conditions. A Monroe car accident lawyer explains these conditions below.

Understanding Diminished Value

Diminished value refers to the loss of a vehicle’s value after it has been involved in an accident. Even if a vehicle has been repaired to the same condition it has been in before the accident, the inherent value of the vehicle has been lost. The difference in value of the vehicle before being involved in the accident and after the accident and subsequent repairs, is known as the diminished value.

Georgia’s Diminished Value Law

Georgia law mandates insurance companies to compensate for the diminished value of your property following an accident. However, claimants must meet certain qualifications to claim this compensation.

Requirements to Qualify for a Diminished Value Claim

In Georgia, not all vehicles qualify for diminished value recovery. To qualify for a diminished value claim, you must meet the following conditions:

  1. Age and Market Value of Your Vehicle: Your vehicle must have a market value of at least $7,000 and be less than ten years old.
  2. Title Requirements: Your vehicle cannot have a rebuilt or salvaged title.
  3. Mileage Requirements: Your vehicle must have done less than 30,000 miles per year. If this is exceeded your vehicle will have “excessive mileage” and will not qualify for a diminished value claim.
  4. Damage History: If your vehicle has extensive damage as a result of being involved in more than one accident, your claim may be denied.
  5. Release of Liability: Your claim may be disqualified if you have ever signed a release of liability form.

To calculate the diminished value in Georgia, one popular method is the 17c formula. This approach considers the vehicle’s make, model, age, and damage severity. The formula works as follows:

you cannot recover the full value of your car in an accident claim

Determine the Pre-Accident Value of Your Vehicle

This is typically the fair market value of your vehicle just before the accident. You can use resources like the National Automobile Dealers Association (NADA) guide to find this value.

Apply the 10% Cap

Georgia law places a 10% cap on diminished value claims. In order to calculate the maximum limit of your claim, multiply the pre-accident value of your vehicle by 10%. For example, if your vehicle’s pre-accident value was $18,000, the base loss of value is $1,800.

Apply the Damage Multiplier

This is based on the severity of the damage to your vehicle. The damage multiplier ranges from 0 (only minor cosmetic damage) to 1 (severe structural damage).

Apply the Mileage Multiplier

This is based on the mileage of your vehicle. The mileage multiplier can range from 1 (0-19,999 miles) to 0.4 (90,000 miles or more).

The product of these calculations gives you the diminished value of your vehicle. It is recommended to consult with a professional appraiser or a car accident attorney from The Weinstein Law Firm for accurate results. We can help ensure that the calculation is done correctly and that you receive the compensation you deserve.

A Monroe Car Accident Attorney Can Help You File a Claim

To file a diminished value claim in Georgia, you must prove your loss and submit your proof to the insurance company. This will include an accident report, photos and videos of the accident as well as vehicle service documents.

Once you submit a diminished value appraisal report from a competent appraiser, most insurance companies will make a settlement offer. It’s important to note that under Georgia law, a diminished value claim must be submitted within four years from the date of the accident.

Consult with a Monroe car accident attorney at The Weinstein Law Firm at 770-HELP-NOW to ensure you achieve the best outcome for your claim!

Latest Posts

Car Accidents in Bad Weather: Liability and Insurance Issues
Car Accidents in Construction Zones: Understanding Liability and Compensation
What Happens When Bus Company Negligence Leads to an Accident?
Motorcycle Road Hazards: Potholes, Gravel and Liability in Georgia
Get the compensation
you deserve $$$

Local Auto Accidents

  • Atlanta
  • Conyers
  • Decatur
  • Kennesaw
  • Lawrenceville
  • Morrow
  • Watkinsville

Atlanta traffic: All lanes blocked on I 85 South Gwinnett County  11Alive.com WXIA [...]

Driver killed in wreck involving garbage truck in Stonecrest  FOX 5 Atlanta [...]

16-Year-Old Boy Becomes 5th Student from Georgia High School to Die in Crash This School Year  PEOPLE [...]

I 20 traffic Atlanta crash before I 285 lanes closed | 11alive.com  11Alive.com WXIA [...]

Lakeside High School students involved in deadly DeKalb County crash  FOX 5 Atlanta [...]

16-year-old student dies in crash, marking Lakeside High's fifth traffic fatality this school year  Decaturish.com [...]

3 Dead In Fiery South Fulton Crash Involving Slingshot: Reports  Patch [...]

2 killed in multi-car crash in DeKalb County  WSB Atlanta [...]

Police allege that Lakeside High student was driving under influence before fatal crash  Atlanta News First [...]

Police allege that Lakeside High student was driving under influence before fatal crash  Decaturish.com [...]

Two pickups crash killing woman and injuring four other people  Online Athens [...]

Athens man killed in vehicle vs pedestrian accident on Commerce Road  WGAU [...]

Watkinsville man killed following truck crash on Commerce Road  Online Athens [...]

Daniel Thomas “Danny” Roland  Now Habersham [...]

Oconee Blotter: Car break-ins reported, guns, cash, computer stolen  Online Athens [...]

Clayton County: Stolen ambulance chase leads to crash near Tara Boulevard, Dixon Road  FOX 5 Atlanta [...]

Ways To Reduce Parent Anxiety About Teen Driving – Forbes Advisor  Forbes [...]

Teenage car break-in suspect in Gwinnett County struck by vehicle  FOX 5 Atlanta [...]

Teen caught breaking into cars runs, gets hit by a car and critically injured, police say  WSB Atlanta [...]

Georgia state trooper dies after being hit by car while investigating fatal pedestrian crash on I-75  Atlanta News First [...]

Car takes off from traffic stop, crashes into 2 houses in Cobb County  Atlanta News First [...]

5 injured, including 10-year-old, in Cobb County crash, police say  WSB Atlanta [...]

Collision on Cobb Parkway results in multiple injuries including two serious and another life-threatening  Cobb County Courier [...]

I 75 North traffic near Kennesaw slowed vehicle fire  11Alive.com WXIA [...]

19-year-old motorcyclist killed in crash; speed likely a factor, Cobb County police say  WSB Atlanta [...]

Breaking: Gwinnett PD seeks witnesses in 2 crashes resulting in 4 fatalities, including 2 children  Monroe Local News [...]

Child dead after being hit by car in Mall of Georgia parking lot, 2 others injured, police say  WSB Atlanta [...]

4 Dead, At Least 3 Injured In 2 Gwinnett Co. Crashes  Patch [...]

Car Crash In Peachtree Corners Leaves 3 Dead, 3 Injured  Gwinnettdailypost.com [...]

1 driver fighting for life after Grayson Highway wreck shut down roadway for hours  FOX 5 Atlanta [...]

Who Has the Cheapest Car Insurance Quotes in Georgia in 2024?  ValuePenguin [...]

Victim ID'd in fatal crash at Tobacco Road, Woodcock Drive  WRDW [...]

I 20 traffic Atlanta crash before I 285 lanes closed | 11alive.com  11Alive.com WXIA [...]

Conyers police officer released from hospital after being injured during chase  FOX 5 Atlanta [...]

Conyers officer discharged from hospital after injury in chase, crash, police say  WSB Atlanta [...]

Free Case Review
Weinstein law firm logo
Let's get started with your FREE consultation