Question: Will I get enough money to replace my stuff if it gets damaged or destroyed?
Answer: That depends on whether you opt for an actual cash value (ACV) or replacement cost coverage policy. ACV coverage pays for the market value of your property at the moment before it was damaged. Replacement cost coverage pays you the full cost of getting a new item to replace the one that was destroyed.
As you would expect, replacement cost coverage is more expensive than ACV, but it's usually worth it. For example, think about what would happen if your computer, television, or stereo system were destroyed. If you only had ACV coverage, you would probably run far short of what you would need to properly replace these expensive items.
As you would expect, replacement cost coverage is more expensive than ACV, but it's usually worth it. For example, think about what would happen if your computer, television, or stereo system were destroyed. If you only had ACV coverage, you would probably run far short of what you would need to properly replace these expensive items.
