Coverage & liability · Travelers + trade
Diminished value
Also called diminution of value, DV claim
The short answerA claim for the drop in a car's resale value because it's been in an accident, even after repair.
What it means
Diminished value is the reduction in what a car is worth after it has been damaged and repaired. Some rental companies include it in damage claims against renters. Whether they can, and how much, depends on local law and the rental agreement.
Why it matters
It's one of the less expected lines on a damage claim. Check whether your waiver or insurance covers it.
Related terms
- Loss of useA charge for the rental income lost while a damaged car is off the road being repaired.
- Damage administration feeA fee for handling a damage claim, charged on top of the repair cost.
Also related Repair estimate, Damage dispute