# New Wave of Diminished Value Suits 

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Several class action lawsuits have recently been filed in Georgia based on the state Supreme Courts decision on the issue of diminished value related to auto insurance claims, according to the Alliance of American Insurers. The latest such suit seeks certification not only of a plaintiff class, but of a defendant class as well.

The genesis of these suits dates back to a 2001 decision by the Georgia Supreme Court in State Farm Mutual Automobile Insurance Co. v. Mabry. The court held that physical damage coverage under an auto insurance policy includes not only repair of the damaged insured vehicle, but also first-party claims for diminished value.

Sources:
- Insurance Journal (http://www.insurancejournal.com/news/newswire/national/2003/07/22/30826.htm)
