Depreciation is the process by which an insurer will discount or reduce the amount they pay you for a claim to account for the wear and tear of the damaged item.
On the other hand, if your policy includes replacement cost coverage, you will be reimbursed for the items at the current market price.
Homeowners can get coverage for certain kinds of water damage with water damage insurance.
Floods, carelessness, and other causes of water damage may not be covered by the majority of homeowners’ insurance policies.
However, in the event that the water damage is the result of a sudden, unavoidable occurrence, insurance will most likely cover the home’s damage.
Burst pipes and malfunctioning toilets are two examples of covered water damage.
