How does the insurance company determine value of stolen property?

When an insurance company receives a claim for stolen property, they will typically investigate the claim and determine the value of the stolen items based on several factors. Here are some of the ways an insurance company may determine the value of stolen property:

• Replacement cost: The insurance company may determine the cost to replace the stolen items with new items of similar kind and quality.
• Actual cash value: The insurance company may determine the value of the stolen items based on their actual cash value, which takes into account the item's original cost, depreciation, and condition at the time of the loss.
• Appraisal: For high-value items such as jewelry or artwork, the insurance company may require an appraisal by a certified appraiser to determine their value.
• Receipts and documentation: If the policyholder has receipts or other documentation for the stolen items, such as purchase receipts or photographs, the insurance company may use this information to help determine their value.

It's important to note that the insurance policy will specify the method of valuation and how the claim will be settled, so it's essential to review the policy carefully and understand the terms of coverage before making a claim.