What is the difference between agreed value and actual cash value?
Agreed value represents the current market value of the watercraft, including motor(s), portable boating equipment, permanently attached equipment, marine electronics and trailer (if trailer coverage is requested). In the event of a total loss, you would receive the specified agreed value amount on your policy with no depreciation. Actual cash value is determined by the market value, age, and condition of boat at the time of the loss. In the event of a total loss, coverage will pay the lesser of the current actual cash value or the rating base. Basically depreciation is accounted for.
