Is RV insurance required in Georgia?

Yes for motorized RVs in Georgia (liability matches state auto minimums). Travel trailers borrow from the towing vehicle. Specialty RV coverage strongly recommended for physical damage and personal effects.

Why does my policy have more than one deductible?

A policy commonly carries a flat deductible for most claims and a separate percentage-based wind and hail deductible in storm-exposed states like Georgia.

How do I cancel my insurance policy?

Cancellation is a written request to the carrier with a specific date, usually 14 days notice. Most carriers refund unused premium pro rata. Never cancel before the new policy is in force.

What commercial coverage do Georgia businesses need beyond a business package policy and general liability?

Beyond a business package policy and general liability, the most common Georgia specialty commercial needs are commercial umbrella, inland marine, cyber, and management liability.

Do I have to use the carrier's preferred contractor?

Usually no. Most policies let you choose any licensed contractor, though preferred shops have their own benefits.

General FAQs

How does actual cash value change what a claim pays?

All FAQs

Quick answer: Replacement cost pays to rebuild new. Actual cash value subtracts depreciation.

Actual cash value changes what a claim pays by subtracting depreciation before the insurer writes the check - the older the damaged property, the smaller that check gets, even though replacement cost stays the same. Replacement cost pays what it costs to repair or replace a damaged item with a new one of similar kind and quality; actual cash value pays that same figure minus wear and age. On an older roof or aging personal property, the gap between the two can reach thousands of dollars on a single claim.

How does actual cash value work in practice?

Actual cash value coverage factors in age and condition when calculating what the insurer owes. A 15-year-old roof has lost much of its useful life, so an actual cash value settlement subtracts that depreciation. A roof that costs $16,000 to replace and has depreciated 50 percent would generate an actual cash value payment of $8,000 minus your deductible, and you would cover the difference out of pocket.

How does replacement cost coverage change the outcome?

Replacement cost coverage pays to put on a new roof regardless of the old one's age. Carriers typically pay the depreciated amount first, then release the remainder, called the holdback, after repairs are completed. On that same $16,000 roof with a $1,000 deductible, replacement cost coverage ultimately pays $15,000 while actual cash value coverage pays only $7,000. The gap on a single claim is $8,000.

For example, a hailstorm destroys a roof in Gainesville, and a new one costs $16,000. The roof is 15 years old and has depreciated by 50 percent. Under actual cash value, the carrier pays $8,000 minus the deductible. Under replacement cost, the carrier pays the full $16,000 minus the deductible once the roof is replaced.

Which settlement basis pays more on most claims?

Replacement cost gives stronger protection and is the standard choice for most homeowners who want predictable claim outcomes. It costs a bit more in premium and generally requires completing repairs to collect the full holdback amount. Actual cash value is cheaper but can leave a large gap on older roofs and aging personal property. Some carriers now apply actual cash value to roofs automatically based on age regardless of the policy's general loss settlement basis, so reading the roof provision specifically matters.

Does this apply to personal property inside the home too?

Yes. The same distinction applies to furniture, electronics, and clothing. A laptop purchased three years ago for $1,400 might have an actual cash value of $600 today. An actual cash value policy pays $600 minus the deductible after a covered loss. A replacement cost policy pays what it takes to buy a comparable new laptop today, minus the deductible.

For example, a burst pipe in a Johns Creek home damages furniture, electronics, and clothing across three rooms. Replacement cost coverage pays to replace everything at today's prices. Actual cash value coverage factors in the age of every item, and a family with 10-year-old furniture and older electronics could receive 40 to 60 percent less than the replacement cost amount on that same loss.

How do I confirm which basis my policy uses?

Many homeowners assume they have replacement cost when they do not. The settlement basis appears in the loss settlement provision of your homeowners insurance policy. A free coverage review will confirm your coverage basis, check the roof provision specifically, and explain exactly how your policy would pay after a loss. Knowing before a claim happens avoids a costly surprise.