How does diminished value work in Washington State?

Diminished value (“DV”) is market value your car loses after a crash despite repairs. Even when a car is fixed perfectly, the accident history follows it — the repair bill sits in the glove box, and you have an ethical obligation to disclose it. In Washington, the at-fault party owes you full compensation for that loss. Insurers know this, but they often pretend DV is imaginary or try to shrink it with canned formulas.

This is one of my core areas of expertise: I wrote the Washington Trial Lawyer’s deskbook chapter on DV, and I represented the owner in Grothe v. Kushnivich — the most recent and most important diminished value case in Washington.

Here’s the truth the insurance companies avoid: DV is not calculated by software. It’s measured by what real buyers do. Before the collision, your car lived in the crash-free marketplace. After the collision, it doesn’t — even after excellent repairs. Buyers discount for risk, unknowns, and non-transferable warranties. That gap is the diminished value. Insurers often deny it, delay it, or lowball it, but real DV is proven with independent appraisal and specific market research, and common sense.

Many DV cases arise alongside injury cases, and here’s something important: one lawyer needs to handle the whole case. Your injury lawsuit and your property damage lawsuit are connected. If another lawyer is handling your injury claim and wants to ignore the DV, I can’t jump in to fix one piece of a fractured case. But if you want a lawyer who understands both injury and DV — and knows how the two interact — I’m the best one-stop shop in Washington for that fight.

DV isn’t a formula.

It’s market truth.

And when it’s presented clearly, it wins.