Actual Cash Value


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Actual Cash Value

Cost of replacing a property with another of the same kind and in similar condition. Calculated as the replacement cost less depreciation.

Actual Cash Value

In insurance, the cost to the insurance company to replace a good covered by a policy. The actual cash value is the original cost of the good, less depreciation and obsolescence. In order to receive coverage for a good's actual market value, that good must be listed specifically in the insurance policy. The actual cash value is related to a good's market value.
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The umpire took into account other elements, including the property's assessed value, the average value of comparable properties, and the property's market value, all of which were within the $50,000-$70,000 range to determine the actual cash value.
Shotgun scopes: Average policyholder claims $62; actual cash value is $31
According to Angermeier, this is when he first learned that the policy was "designated as actual cash value and not replacement value.
Proper replacement cost and actual cash value evaluations are critical because commercial insurance contracts include co-insurance clauses.
The appraisers did not separate the amount of the award into actual cash value and replacement cost value, but that was not a requirement of the appraisal provision.
Mitchell's report found that at $11,995, the average actual cash value of vehicles appraised for collision losses during second-quarter 2009 reflects the aging vehicle fleet and lower ACV that the current economic conditions have caused.
If the policyholder doesn't make repairs within a reasonable time following the loss, the insurance company doesn't have to pay any more than actual cash value (ACV).
It is an option offered by insurance companies that, in case of accident or theft, covers the difference between the car's actual cash value and what is owed to the leasing or financing company.
Strasburg said a discussion on liability insurance will examine several topics, among them lead coverage, umbrella insurance; workers' compensation, boiler and machinery insurance, and the difference between replacement cost and actual cash value.
While there is some subjectivity in determining depreciation and actual cash value, detailed records of repair, maintenance, and improvements will help you negotiate successfully on this issue.
Thirty-five percent of actual cash value on a 1995 or 1996 passenger sedan is typical.
Under Spoliation Insurance, a loss is valued as the adjudicated damages determined in court - a significant improvement on standard property coverage, which values such property at replacement cost or actual cash value.