A diminished value claim in Louisiana stands on a written law, which few states can say. If another driver's negligence damaged your car, the statute lets you ask for the value it lost, even after a full repair.
The 2010 Statute on Lost Value
Louisiana passed La. R.S. 9:2800.17 in 2010. It says the owner is entitled to recover the drop in value as additional damages. There is one condition. You must prove the loss by a preponderance of the evidence, which means more likely than not.
The law also sets a ceiling. Repairs and lost value together cannot exceed what the car was worth right before it was damaged. For a newer car with light damage, the cap rarely matters. For an old car with heavy damage, it can. A written appraisal built on local sales is the proof most adjusters expect to see.
Your Collision Coverage Stops at Repairs
The statute points at the driver who caused the crash, not at your own insurer. In Campbell v. Markel American Insurance, from 2001, a Louisiana appeals court read a policy that promised to repair or replace the car. It found no coverage for lost value. That ruling is listed in the Matthiesen, Wickert & Lehrer state survey. So use collision coverage for the repair bill and send the value claim to the other company.
A New 51% Fault Bar
Louisiana changed how shared blame works. Under Civil Code art. 2323, as amended in 2025, an owner found 51% or more at fault recovers nothing. An owner below that line still collects, but the award shrinks by the owner's share of fault. The change took effect on January 1, 2026.
Fault fights matter more now. Photos, a police report and witness names can keep your share under the line.
Two Years, $25,000 and Small Claims
Louisiana calls its deadline prescription. A claim for car damage caused by fault is a delictual action, and Civil Code art. 3493.1 gives it two years. The time runs from the day the damage happens.
The other driver must carry at least $25,000 for damage to someone else's vehicle or other property. That one sum has to cover your repair and your lost value. Anything above it is a debt of the driver, not the insurer.
A small claims division can hear a case where the amount in dispute does not exceed $5,000, under state law. If an adjuster ignores your proof or drags the file out, use the Louisiana Department of Insurance complaint form. To compare the rule next door, see the Mississippi page.