What Is Diminished Value?

Diminished value or diminution in value are the terms generally used to describe the loss in a property's market value after it was damaged in an accident and repaired.

How do you get diminished value?

Diminished Value (DV) is the loss in market value that occurs when a vehicle is wrecked and repaired. A reasonable consumer will not pay the same price for a wrecked, then repaired vehicle, as they will for a vehicle with no accident history according to the California car accident homepage.

Are insurance companies required to pay diminished value?

For most states, there's generally no law that says insurance companies have to pay for diminished value claims. That doesn't mean your claim won't be approved, but it does mean that your chances may be slimmer.