- The term is used conventionally to designate the amount of insurance which may be carried on destructible portions of a property to indemnify the owner in the event of loss.
maximum insurable value, total insurable value
Related Terms and Acronyms
- Actual Cash Value (ACV) — Acronym,
- The replacement cost of an insured asset with depreciation accounted for.
- The amount of money that a broker or dealer has invested in the purchase and repair of a used vehicle.
- Face Value — Definition,
- The value of an asset, or the size of an insurance benefit.
- Insurance (insur) — Abbreviation,
- An arrangement where one party provides financial protection to another party for specific damages or losses.
- Insurance Policy — Definition,
- A legal contract between an insurer and entity that specifies what the insurer is required to cover and any benefits the insured entity is entitled to.
- Insured Value — Definition,
- What an insurer will pay to replace an insured asset.
- Replacement Cost — Definition,
- The amount one would have to pay to rebuild and refurnish with materials and items of similar value. The cost of replacing an asset with one of equal value without taking depreciation into account.
- Total Loss (Ltot, TL) — Acronym & Abbreviation,
- When as asset is considered to be damaged beyond repair.