Terms


Actual Cash Value:
 What a damaged or stolen item was actually worth (as “used” goods) at the time of the loss. This is usually less than replacement cost.

Adjuster: Person whom the insurance company pays to settle your claims. The adjuster may be either a company employee or under contract to the company.

Appraisal: An evaluation of your property that estimates its market value.

Claim: The description of a loss which you must provide the insurance company in order to collect.

Deductible: The part of a loss that you must pay out of your own pocket.

Exclusions: Things your insurance policy does not cover.

Fraud: Filing claim for a loss you did not have or for more than the loss was really worth.

Loss: The dollar value of property damage or physical injuries.

Negotiation: Discussion between you and the insurance company’s adjuster about the value of your loss.

Offer: The amount the insurance company adjuster proposes to give you for your loss.

Peril: The cause of the loss. Examples: fire, explosion, tornado, theft.

Public Adjuster: A person whom you may hire to help settle your claim with the insurance company.

Replacement Cost: How much it will cost you to replace a stolen or damaged item with a comparable new item at today’s prices.

Settlement: The amount that you finally agree (after negotiations) to accept from the insurance company as full payment for your loss.