QuestionMy 2011 Camaro received approximately $12,000 worth of damage as a result of a recent hail storm. My insurance company is paying for repairs. Am I eligible for diminished value since this will definitely impact the trade in or re-sale value of my vehicle. I live in Texas and my insurance is with State Farm.
AnswerIn Texas, the majority of case law and policies say that you cannot recover diminished value from your own insurance company (unless it is under the uninsured / under-insured motorist portion).
If another person or entity were responsible for your damages (other than GOD) then that person's policy would have to pay you for your diminished value, if you could prove it.
Hail damage would have to be covered under the comprehensive section and so it is almost certain that State Farm will deny coverage for inherent lost market value (most of the case law supports them). I'm sorry I don't have a better answer. These are the facts.
There are many States other than Georgia (contrary to popular belief) where a carrier will pay first party diminished value claims, but Texas is not one of them. If you would like more data on the subject of diminished value, we are authorities on the matter and you can surely find us on the web. We'll be happy to answer any of your questions. I hope this helps.
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