What is actual cash value in insurance?

Question

What is actual cash value in insurance?

Answer 1

Cost new, minus depreciation.  

Or, in some cases, cost to replace, minus depreciation for age and condition.

Depending on what type of policy you're talking about.

Answer 2

Or, if you are talking about Life Insurance, like Whole Life, which accumulate value from the premiums you are paying as well as covering you for death, etc., the actual cash value would be what you could borrow against or what you would be paid if you cashed it in.

Answer 3

I would assume you are referring to the cash value in life insurance.  Think of it as the surrender value of the policy.  What it is worth to you while you are living if you cash it in.

Learn more about life insurance here:

http://www.ohioinsureplan.com/index.php/...

Answer 4

ACTUAL CASH VALUE

An amount equivalent to the replacement cost of a stolen or damaged property at the time of the loss, less depreciation. For vehicles, this amount would be determined by a local area private party sales and dealer quotations. Kelly Blue Book would only be used as a guide and not the final word.

Answer 5

in life insurance it is the value that you can trade the policy in for.  In a home or auto policy it is the actual value of belongs after depreciation has been taken out.