Cash Value for Home Insurance Policy in Washington
Reader’s Question:
Hi there! I just bought my new home insurance policy here in Seattle, Washington WA and I’m currently reading it right now. What does cash value for my home insurance policy mean? I know there are cash values in life insurance policies and I know what they are. But for this type of insurance policy, I think it’s a whole lot different and I’m not so sure I understand it.
Leah
Seattle, WA
Hi Leah. You are right about cash value in home insurance and life insurance being different. I guess you already know what the term applies for in life insurance policies in Seattle Washington WA so I really don’t need to tell you. In home insurance policies, however, cash value is the loss that will be covered by your home insurance policy.
See, when an accident happens in your home in Seattle, Washington WA, and an insurance adjuster would take a look at it and determine the damage cost or the amount of all the items lost or damaged. The total amount figure (minus depreciation) would then be the amount known as cash value. This is the amount that you will expect to receive for you to use in order to replace the damaged or lost items.
You can always compare your home insurance options in Washington state. Most information that you get online will be more or less accurate to what will be offered to you if you actually scout around home insurance companies in your area. This website, just like any other insurance sites, can actually help you get free home insurance quotes online using the relevant form.