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Welcome to a Lucrative Career (Pre-Course Intro)
Beginner's Guide to Claims Adjusting
Inland Marine vs. Ocean Marine
General Knowledge
Personal Lines
Personal Auto Policy
Commercial Lines
Crime Coverage
P& C Insurance Terms and Related Concepts

Replacement Cost Vs Actual Cash Value

In property and auto physical damage insurance, one of several possible methods of establishing the value of insured property to determine the amount the insurer will pay in the event of loss.

Actual cash value is equal to the replacement cost minus any depreciation (ACV = replacement cost – depreciation).

It represents the dollar amount you could expect to receive for the item if you sold it in the marketplace.

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