What is Diminished value?

Diminished value is the resale value a car loses after it's repaired from an accident, because its history now shows the damage. The claim is usually made against the at-fault driver's insurer; rules vary by state.

With True Claims, diminished value claims have usually settled for $2,500–$6,000, within 1–6 weeks (past results, not a forecast).

How much a diminished value claim is worth
Diminished value explained

See how the referral program works The one-pager, the referral line, the AI assistant and the Appraisal Clause, set up for you.

More terms

Total loss Actual cash value (ACV)Appraisal Clause Umpire (appraisal)Total Loss Formula Total loss threshold Salvage value Comparable vehicle (comp)Fair market value (FMV)Loss of use Property-damage-only claim Referral agreement (between law firms)Demand letter

Updated 2026-11-01. General information, not legal advice; policy wording and state rules vary. TRUEclaims is not a law firm.