Summary – Tennessee Diminished Value Claims
Statute of Limitations: 3 years
Third Party Diminished Value Claim: No
First Party Diminished Value Claim: No, most insurance policies will exclude diminished value
Tennessee Property Damage Minimum Limits: $15,000 in coverage
Uninsured Motorist Coverage for Diminished Value: Yes, it is an optional coverage. It may cover hit and run accidents as well depending on your policy language.
Underinsured Motorist Coverage for Diminished Value: Yes, this coverage comes in handy when the at-fault driver doesn’t have enough property damage coverage.
Tennessee Small Claims Court Limit: $25,000, attorney representation and appeals are permitted
Tennessee Diminished Value Law
Grimes v. Hancock, No. M2011-01940-COA-R3-CV, 3 (Tenn. Ct. App. Jun. 26, 2012) (“.. the measure of damages is either repair costs or the difference in market value immediately before the accident and that immediately after the accident. It is not both. Unlike the Restatement provision, decrease in value measured after the repair is not a recognized element of allowable damages in Tennessee. Id. at 42 (bold in original).”)