One of the most common questions Arizona drivers ask is: "Can I claim diminished value on my own insurance?" The short answer is: it depends on your coverage type and policy language. Third-party DV claims — filed against the at-fault driver's liability insurance — are the most straightforward and widely supported in Arizona. But first-party claims against your own insurance are possible in certain situations.
Uninsured/Underinsured Motorist Property Damage (UMPD): If the at-fault driver was uninsured or fled the scene (hit-and-run), your own UMPD coverage may pay diminished value. Arizona courts have recognized DV under UMPD in several cases, though it depends on your specific policy wording. Review your declarations page or call your agent to confirm you carry UMPD.
Collision coverage: Filing a DV claim under your own collision coverage is more difficult. Most Arizona collision policies cover "direct and accidental loss" to the vehicle, and insurers argue this means repair costs only — not residual market value loss. Some policy language is broad enough to support a DV argument, but this is the exception rather than the rule.
Key considerations: Filing a first-party DV claim may affect your insurance rates, unlike a third-party claim which does not. Weigh the potential recovery against any premium increase. For UMPD claims, the recovery often justifies the effort.
Orlando Auto Body's free $450 Diminished Value Appraisal Packet is designed to support both third-party and first-party DV claims. Our documentation clearly establishes your vehicle's pre- and post-accident market value using Arizona-specific comparable data. If you are unsure whether your own insurance covers diminished value, repair with us and we'll help you evaluate your options. Call today — our DV specialists can assess your specific situation and guide you toward the best path for recovery.