From what year did the TWIA policies start using Actual Cash Value?

The adoption of Actual Cash Value (ACV) in TWIA policies began in 2019. This change reflects a significant shift in how property damage claims are assessed, moving from replacement cost to actual cash value calculations. By utilizing ACV, the indemnity paid out for claims considers depreciation, thereby providing a more accurate reflection of the current value of the covered property at the time of loss. This adjustment to the claims process aligns with various industry standards and helps manage the financial risk for the insurer by ensuring that payouts correlate more closely with the actual financial loss experienced by the policyholder, taking into account the wear and tear on properties over time.