What is the difference between Replacement Cost (RC) and Actual Cash Value (ACV)?
Replacement Cost is the current cost to replace property. Actual Cash Value is the replacement cost less depreciation. Return to top Question: What does 80% co-insurance mean? Answer: Insurance carriers require that an insured party pay 80% of the replacement cost in order to collect a partial loss in full. This is the way the insurance company encourages all insureds to adequately insure their property in relation to other insureds. Return to top Question: Does my policy cover physical damage to a vehicle I rent? Answer: This damage will be covered only if that type of coverage is purchased. Return to top Question: Can other people drive my business vehicle? Answer: Other people may drive your vehicle with your permission. It is important that they be listed on your policy if they are regular drivers of the vehicle. Return to top Question: How does an audit work? Answer: At the end of the policy term, the insurance company will review the policy and either charge or credit the policyh
