Insurance carriers universally apply the Georgia 17c formula — a regulatory rule created by the Georgia Insurance Commissioner that was never enacted through legislative process in Arizona or 47 other states. It systematically caps diminished value recovery at a fraction of actual loss.
The 17c formula applies three arbitrary modifiers:
Modifier
What Carriers Claim
Reality
10% Base Cap
Max DV = 10% of vehicle value
Real DV frequently exceeds 20-30%
Damage Modifier
Caps loss at 0-25% of the 10%
Ignores actual market stigma impact
Mileage Modifier
Reduces by age/mileage brackets
Punishes late-model vehicles unfairly
A note on principle: The 17c formula is an administrative directive — not a statute. It was adopted voluntarily by carriers nationwide despite having no legislative basis outside Georgia. The common law principle of restitutio in integrum — full restoration to pre-loss condition — demands more than a formula designed to minimize payouts. At FRP, we align with the older, deeper standard: if a loss occurred, full restitution is owed. That's not our opinion. That's the law before the formula existed.
THE SOLUTION: FRP HYBRID DV METHODOLOGY
Forseti Restitution Partners uses a court-defensible hybrid methodology combining three independently recognized valuation approaches — producing True DV figures that reflect real-world loss, not carrier-capped minimums.
Component
Weight
Method
Comparable Sales Approach
50%
Pre/post-accident sale comparables from market data
Dealer Survey Approach
30%
Quoted trade-in differential from licensed dealers
Market Perception Penalty
20%
Quantified buyer avoidance via accident disclosure stigma
Bonus: Every FRP report includes a side-by-side 17c comparison showing the spread — giving you ammunition for negotiations and jury presentations.
Forseti — the Norse god of justice, who resolved disputes through reasoned judgment and fair hearing. Not force. Not favor. That namesake is intentional.
Licensed insurance adjuster since 2012 (Arizona License #6748252)
Former Allstate claims — inside knowledge of carrier valuation tactics