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What is the difference between Replacement Cost (RC) & Actual Cash Value (ACV) property valuation clauses?

April 26, 2017actual acv cash clauses Property RC valuation value

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What is the difference between Replacement Cost (RC) & Actual Cash Value (ACV) property valuation clauses?

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Replacement cost is the cost to replace damaged property with like kind and quality without taking into account depreciation. Actual cash value is calculated by deducting the amount of depreciation from the replacement cost at the time of loss.