Diminished value claim versus insurance payout

Recently I had a minor accident, and the other driver was at fault. Estimated repairs were $3,500 - including some new sheet metal, trim & paint but no frame damage. A claim was filed with the at fault insurance company and they sent me a check for three times the forumla 17c calculation of diminished value.

The 17c calculation is about $400, and their check is for $1,200. One would think the insurance company wouldn't overpay a claim, but given the discrepancy is there something I'm missing? Is there more money on the table for the diminished value and don't accept the initial claim?

 

Did they use 17c, or did you? 17c is a Georgia thing and I see you are in FL. $1,200 seems like a reasonable amount of DOV on $3,500 in damage.

 

So they fixed the truck and and gave you $1,200?

If so, take the money and run. Accidents happen.

 

The difference in values tells me they use something other than 17 C, which is more generous, but no explanation on their calculation.

Yes, their insured driver was at fault and responsible for fixing the vehicle. Diminished value is what will happen when I trade or sell my truck and there now damage history on the vehicle.

 

17c is not applicable in any state other than Georgia. That doesn't mean it doesn't get used, but it has no legal basis outside of Georgia. In fact, an argument can be made that 17c was specific to the single case that was litigated against State Farm in Georgia.

Ask them for their explanation. The only thing you and we can do without it is speculate.

 

Ask them for more before you cash it
Least they can do is say no and you get the $1200

 

It wouldn't hurt me. But you maybe.
I'm driving my truck until it DIES.
I've learned my lesson on trading / selling cars.
You'll make more keeping them. (And using them as intended)

 

Even if you're keeping it until it dies, you may be owed diminished value. It's harder to prove/collect in some states, TN being one of the harder ones.

 

Good to know that it only applies in GA. That seems to be the standard calculation when I research diminished value on the internet. There appears to be law firms that handle this type of case law, but it doesn't seem to be that big of a case. We're not talking a supercar or other high-end automobile.

I'll try calling the insurance company on Monday and asking for more information.

 

They gave you about 34% of the cost of repair, which is generous. The usual being around 10%, I’d just keep my mouth shut and cash the check…..or at least cash it first then call them. What if they say oops then issue another check for 400 dollars?
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