Regarding shopping around for boat insurance, there are two significant distinctions to consider in potential policies. Loss settlement is the amount paid to you for a loss claim. The loss settlement types between different policies include agreed and actual cash values. There are pros and cons to each type of loss settlement, and talking to one of our agents at Advantage Insurance Network in Cincinnati, OH will help you determine which is best for your boat ownership lifestyle.
- These policies pay a set amount named in your policy for a total loss claim.
- Partial loss claims may be paid out based on replacement cost – a depreciation of lost or damaged items is usually not factored in the settlement.
- Generally, this policy comes at a higher premium cost.
- Your deductible applies to loss settlement payout.
- Some items that experience higher wear and tear may be subject to depreciation consideration when determining a payout for loss.
Actual Cash Value
- Generally, these policies come with more affordable premiums.
- Your deductible applies to the loss settlement payout amount.
- The current market value of your vessel determines the maximum claim payout.
Our agents at Advantage Insurance Network are experts in boat insurance. They can answer any questions about boat insurance, including the difference between agreed value and actual cash value loss settlement. As a boat owner in Cincinnati, OH, you owe it to yourself to give us a call today. If you already have a boat insurance policy, we can help you evaluate your current coverage and vessel usage and help you determine whether your coverage matches your needs.