Legal Question in Insurance Law in Georgia

Diminished Value Claim

My 2000 Mitsubishi Mirage DE 4dr. was rear-ended while parked at my apt.

The insured's ins. co. has paid for the repairs, but is haggling with me about the Diminished Value Claim amount. They say $1,000.....others tell me $3-4,000. My car was low-mileage and in excellent cond. and I had already secured a loan to buy a new vehicle and sell this one before this accident. I have the draft in my pocket, but it expires soon. Shouldn't the ins. co. have to compensate me for the loss of value to my new vehicle? Who says they get to decide how much that is? I have given them a fax showing cars like mine (but with more mileage) are selling for $13,000 by individuals on the internet and at dealers' in Georgia. Should I sue?


Asked on 5/16/01, 2:47 pm

1 Answer from Attorneys
Robert Windholz Robert S. Windholz, Attorney At Law

Re: Diminished Value Claim

Suit is an option but this type of case is not very desirable for an attorney on a contingent fee. Have you tried complaining to the insurance commissioner? The law on property damage claims changes on 7/1/01, if I'm not mistaken, and the new penalties might make suit advisable. However, it is unclear if the new law would apply to occurrences before 7/1 even if sued after 7/1.

You can email or call if you want to discuss this further.

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Answered on 6/21/01, 10:43 pm


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