As we all know, cars lose their value over time. If you’re involved in a big accident and your car is considered a total loss, your replacement cost insurance will pay you the value of your car on the day you were involved in the accident, which is often significantly lower than what you paid for the vehicle when you got it. Replacement cost insurance is a complimentary car insurance product that protects you from incurring the cost of a total loss in the event of a wreck or theft, but takes into account the diminishing value of your car. It also refunds a portion of your deductible and provides a courtesy vehicle for you to drive while you shop to replace your car!