Handling the cost of replacement is a significant portion of what home insurance does. However, when considering a homeowners insurance policy, there are two ways your insurance company can cover your stuff: replacement cost value (RCV) or actual cost value (ACV). ACV is cheaper upfront but ...
Part of the Series Complete Guide to Homeowners Insurance What Is Actual Cash Value? Actual cash value (ACV) is the amount equal to the replacement cost minus depreciation of a damaged or stolen property at the time of the loss. The actual value for which the property could be sold, ...