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Depreciated value is usually called actual cash value on an insurance policy. This takes a formula based on the type of item that you are claiming and devalues it by a certain percentage every year. If an item is older then it will not have very much value. I would always want replacement cost coverage, this would pay to replace your property at today's prices.
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Is it a law that insurance companies pay depreciated value?
no
Dos the insurance company pay the depreciated value for a car involved in an accident?
Yes, otherwise known as market value less your deductible
Your contractor's insurance company - damage was their fault - wants you to settle damages at depreciated value - ACV. Aren't you entitled to full replacement cost -RCV- because it wasn't your fault?
See if your insurance company will help you resolve the claim. The contractor should definitely make things right.
Your insurance is for replacement do you have to replace to get the money?
company will pay you the depreciated value and will then reimburse you for the difference once the buildings been replaced
Can an asset be depreciated to the point where its value becomes negative?
That can never happen. An asset will either be depreciated to its salvage value, or to zero, depending on whether or not it has a salvage value.
What does no replacement cost in your renters policy mean?
If your policy indicates that there is no replacement coverage then that means you will be compensated (paid) based on the current depreciated value of your property in the event of a claim.
I filed a claim with my insurance company. they paid me half of the settlement I get the other half after i purchase the items on the list they sent me. Why is that.?
Because you have "Replacement Cost Protection" The coverage is designed to replace your loss not compensate you for it. Be glad you have it. Otherwise they would only give you that 1st check and that is at depreciated value. 4lifeguild
Does depreciation apply to a claim if you have Replacement Cost Coverage?
yes - you are given the depreciated amount up front - you need to make replacement and spend above the depreciated amount to make a supplementary claim for the actual replacement cost amount. this protects the insurer from overpaying the claim
How can a homeowner get recoverable depreciation money from a home owners claim?
You Can't. When we buy home owners insurance we basically have two options for the coverage type.1. RCV, Replacement Value2. ACV, or depreciated ValueIf you purchased an RCV ( replacement ) policy then the company will pay the amount needed to either repair or replace the property within the policy limits you purchased..If you purchased an ACV (depreciated Value) policy then they will pay the amount needed to repair the property or they will pay you the depreciated cash value of the property if not repairable whichever is less and within policy limits.
Does all general liability insurance cover damage at depreciated value?
General liability insurance does not provide property coverage, except for 3rd party claims alleging property damage due to the insureds' negligence.
If your garmin gps system is stolen can you file an insurance claim?
Of course but if your deductible is higher than the value of the claim then there is no reason to.
Do insurance companies pay more for the value of your vehicle when you have a loan on it?
I have never heard any insurance company make that claim.
