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Measuring loss

15 May 2008 / Anthony Johnson
Issue: 7321 / Categories: Features , Legal services , Procedure & practice , Commercial
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Why is the number of vehicle diminution claims rising? And how are they assessed? Anthony Johnson reports

In most cases where a vehicle is damaged, the measure of loss is simply the cost of repairing it. However, in some cases it is argued that, even where those repairs have been carried out satisfactorily, the vehicle in question has diminished in value purely by the fact that it has been repaired. Anecdotally it seems that claims of this type are increasing, perhaps due to the prevalence of accident management companies and claims handlers that can serve to heighten claimants' awareness of additional heads of claim.

This increase in diminution claims can be contrasted with the dearth of case law providing guidance on the appropriate principles that should be applied to them; this writer's research uncovered one Court of Appeal authority from 1974, one Scottish appellate decision, one district judge-level judgment on Lawtel and a handful of brief reports on county court-level cases on current law.

The starting point in considering a claim of this type has

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