Next comes the task of valuing the loss. This could be on an actual cash value or replacement cost basis, depending on your policy. Receipts are helpful in establishing the items' original value. Nonetheless, the insurer and insured must come to an agreement about the value of damaged articles. If this cannot be arrived at in the loss adjustment process, provision is made in the policy for the appraisal of goods and the arbitration of differences.
Some insurance policies give the insurer the option to repair or replace an item, whichever is less.
Other policies give the option to the owner. In either case, when the dollar value of the property has been transferred to the owner, the property belongs to the insurer and may be disposed of by the company for its salvage value. Your Doctor Warranties Issuing Company Income Tax Records IRS Auto Registration Title Cards Dept. The total financial effects of a fire are far-reaching. There are the obvious financial losses of the damaged structure and contents.