What is Actual cash value (ACV)?

Actual cash value is what the car was worth right before the loss: what a comparable vehicle would sell for in the local market, adjusted for mileage, options and condition. It's the basis of the insurer's total-loss offer.

Insurers usually set ACV from a valuation report built on comparable vehicles. Checking those comparables (same trim, similar miles, nearby) is the first step in disputing a low offer.

Comparable vehicle

See how the referral program works The one-pager, the referral line, the AI assistant and the Appraisal Clause, set up for you.

More terms

Total loss Appraisal Clause Umpire (appraisal)Total Loss Formula Total loss threshold Salvage value Diminished value Comparable vehicle (comp)Fair market value (FMV)Loss of use Property-damage-only claim Referral agreement (between law firms)Demand letter

Updated 2026-11-01. General information, not legal advice; policy wording and state rules vary. TRUEclaims is not a law firm.