Actual cash value (ACV) is common on older auto and property claims. Replacement cost coverage, when available and selected, aims to pay closer to what it costs to replace with new like-kind property — often with conditions and documentation requirements. Compare the two before you need either. TennSure educates; I don’t settle claims.
Actual Cash Value
- What it means
- A claim valuation method that pays the replacement cost of an item minus depreciation for age and condition.
- Tennessee example
- After hail dents a 10-year-old roof near Murfreesboro, an ACV settlement reflects the roof's used value, not brand-new materials alone.
- Why it hits your wallet
- ACV checks are often smaller than you expect because depreciation quietly reduces the payout.