May 2016

Figuring Out ALE (Additional Living Expenses)

damaged houseAs a homeowner, it is important to know as much as you can about your insurance. One type of policy in your insurance is ALE (Additional Living Expense) coverage. This policy applies to any money you spend that exceeds your normal expenses after your property is damaged. Things that would be considered ALE are:

  • Temporary or Replacement Living Situations: If your home is damaged and in the midst of being repaired, you typically have to evacuate your home till it’s over. This means you will need to find an alternate place to live such as a hotel, rental home, etc. With ALE coverage, you can be reimbursed for the costs of your hotel, rental home, etc.
  • Food: When waiting for repairs, your kitchen may be damaged to the point where it needs to be fixed or it is deemed unfit for cooking in. As a result, you will probably eat at restaurants or find already prepared food to feed yourself and your family. With ALE, you can get money back for any costs you spent on food during the repair period.

It is important to note that ALE coverage applies to expenses that are of equal value of your living expenses before your property damage. For example, if you need a rental home, it will need to be the same size of your current one. If you own a four bedroom house, your rental home will need to be a four room home as well.

If you need more help on figuring out your ALE coverage, let Valley Adjusters top capital claims public adjusters assist you. Call us at (800)658-8814, today.


Difference between ACV and Replacement Cost

public adjuster surveying home damage

When your property is damaged, there are many factors you need to take care of. Some factors are as follows: the safety of your family, assessing the damage of your property, and finally, how to replace your damaged property. When you begin the process of fixing and replacing your damaged property, you should meet with an experienced and trustworthy public adjuster.

However, before you meet, it is important to know some things about your homeowners insurance. One thing to know about is the difference between ACV (Actual Cash Value) and Replacement Cost. Read on to learn more!


This policy covers your home and possessions for their market value before they were damaged. Since your items are most likely used, depreciation will be a factor in how much money you receive. One way depreciation is calculated is by the portion of its life expectancy. For example, your roof may have a life expectancy of 30 years. The claims adjuster will see how old the roof is at the time of the incident and calculate the expense then. If you’ve had the roof for 15 years or so, the ACV will be half of the original cost.

Replacement Cost

The replacement cost of your possessions is based on the cost you initially paid. If the item or possession that needs to be replaced is no longer available, you will be reimbursed the equal amount paid or with an item of similar costs.

If your home has been damaged in a natural disaster, let Valley Adjuster’s experienced capital claims public adjusters help you. Give us a call at (800)658-8814, today.