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How to Claim Diminished Value After an Accident in Atlanta, GA

On Behalf of | May 2, 2019 | Firm News

The high levels of traffic on metro-Atlanta roadways, especially during rush hour, is not a secret. So, it’s not surprising that this area unfortunately experiences a high number of car accidents each year.

If you are in an accident your well-being and that of any passengers is likely your first concern but you are probably also worried about the condition of your vehicle. What happens if repairs can not restore it to the condition it was in before the accident?

The experienced attorneys of Powell & Associates share tips on how to claim diminished value after an accident in Atlanta, GA in the blog article below.

What is a Diminished Value Claim?

Diminished value of a vehicle should not be confused with depreciation. While depreciation is the loss in value of your vehicle over time due to its unavoidable aging, diminished value occurs when the value of your car decreases when it sustains damage from an accident.

If your car is repaired after the accident and it is not restored to the condition it was in before the crash, or the repair was done poorly, that may also be considered diminished value.

Diminished Value in Atlanta, GA

Beginning with the State Farm Mutual Auto Insurance Company v. Mabry decision in 2001, insurance companies in Georgia are now likely to have at pay you for the diminished value of your vehicle after an accident. This is very different than in other states where it is not required of insurance companies to compensate for diminished value.

Fair Assessment of Diminished Value by the Insurance Company

Following the Mabry decision many insurance companies were using a formula to assess the diminished value of a vehicle after an accident even for the at fault driver. The diminished value that the formula provided was very low. The Georgia Insurance Commissioner has since made a statement and said that it is not a requirement to use this particular formula and diminished value determinations should be made on an individual basis.

If you are in an accident be sure to file a diminished value claim and make sure that the assessment is done fairly.

How to File a Diminished Value Claim

To file a diminished value claim after an accident in Atlanta, GA you will need to first determine the diminished value of your vehicle. The easiest way to do this is probably to use an appraisal service. You can then take that valuation in writing to the insurance company to support your claim and help you get the appropriate compensation.

Reasons for Disqualification of a Diminished Value Claim in Atlanta

There are several reasons to be aware of that could cause your diminished value claim to be disqualified. A few reasons include:

  • An accident that did not cause significant damage
  • A low car value before the accident
  • Vehicle was totaled in the accident
  • Vehicles 10 years old or older
  • Market value of the vehicle is too low
  • Vehicle’s mileage is too high

Contact Powell & Associates if you Have a Diminished Value Claim

If you have been in an accident in Atlanta, GA and have a diminished value claim contact the experienced attorneys at Powell and Associates by completing our online form or call us at 844-475-2948. We will review the details of your case at no charge and make sure the insurance company is compensating you appropriately for your diminished value claim.