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Special Damages – Property Damage Expenses

The definition for Property Damage Expenses is generally understood to mean the monetary losses someone incurs from an accident involving their property, such as the cost to repair any damaged assets (automobile, home, computer, phone, clothing, etc.). 

In this article of our series, we’ll discuss the key information associated with measuring the current and future property damage expenses incurred for a claim.  There are several property valuation methods to consider when insurers issue a policy or pay a claim. For property damage liability purposes, an insurance adjuster will generally accept a replacement cost claim, which is the amount of money it takes to replace damaged or destroyed property from the occurrence. Without supporting evidence including the damaged property and quotations for replacement, they may settle the claim utilizing an actual cash value if there is adequate proof that the property was lost in the occurrence. An Actual Cash Valuation (ACV) is the replacement cost of the property, less any accumulated depreciation for age, wear and tear.

To prove your claim after an accident, take pictures of all of your personal property that has been damaged. If possible, it is also advisable to store the property for safekeeping to show an adjuster when filing a claim. Then create a list of the property, along with quotations or online research for its replacement value. You will only be able to claim the value of the actual lost property, not upgrades to newer models unless the older models are more expensive. For antiques or unique property, appraisals may be required to prove the valuation.

Once you have completed the inventory list, total everything under the heading Special Damages – Current and Future Property Damage Expenses. Then add the total amount to a planner like our What Is Your Claim Worth Solutions to be included with your other damages.

If you are having difficulty or need assistance with this type of analysis and planning, please contact us, your adjuster, or attorney for additional help.

Blackburn Robert

By Robert J. Blackburn, Managing Principal, Blackburn Group, Inc., contact him at This email address is being protected from spambots. You need JavaScript enabled to view it..

Blackburn Group, Inc. contributes to the world by designing and creating Enterprise Risk Management and Claim Settlement Products and Services. We are recognized by A.M. Best Company as a Recommended Expert Service Provider in the Insurance and Financial industries.

Our Enterprise Risk Management and Claim Settlement Solutions include Risk Profiling and Benchmarking; Predictive Risk Analytics and Modeling; Total Cost of Risk (TCOR) Modeling and Management including Total Cost of Risk Calculation, Total Cost of Risk Definition Development, Total Cost of Risk Formula Development, Total Cost of Risk Worksheet Development, Total Cost of Risk Analysis, and Total Cost of Risk Insurance; Accelerated Settlement Medical Cost Projection Solutions; Medicare Set Asides (MSAs), Medicare Set Aside Trusts, Medicare Set Aside Accounts, Claim Management and Claim Settlement Solutions; Life Care Planning; Legacy and Chronic Claim Solutions; Regulatory Compliance; Claim Auditing; Quality Assurance; Insurance Management; Loss Control; Risk Education and Training; Risk Management Strategic Planning and Business Development; and Insurance Underwriting Management.

Our firm serves companies, self-insurers, insurers, reinsurers, brokers, captive insurance company domicile managers, actuaries, third party adjusters, nurse case management companies, attorneys, and their clients. Additionally, we have pioneered the use of technology to simplify the enterprise risk management workflow, decrease costs and improve the quality of programs throughout the industry. Our primary areas of concentration are all Casualty, Health, and Disability programs.  To support our professional services, our RiskPro® technology solutions include a suite of products and services delivered through applications on Internet-based platforms.

Blackburn Group, Inc.   RiskPro® is a registered trademark of Blackburn Group, Inc.