Covered losses under a homeowners policy can be paid on either an actual cash value basis or on a replacement cost basis. When “actual cash value” is used, the policy owner is entitled to the depreciated value of the damaged property. Under the “replacement cost” coverage, the policy owner is reimbursed an amount necessary to replace the article with one of similar type and quality at current prices.

Related FAQs

Neighborhood Insurance Agency

Ready to get started?

Talk to an advisor or request a quote. It takes about five minutes, with no commitment.
Se habla español.

Quote online

Our online tool makes it easy to get quotes from top carriers.

OR

Call Our Office

Our licensed agents are ready to help you get covered.