No, PCS policies do not have a depreciation or average clause.
Scheduled valuable articles: Based on Agreed Value. In the event of a total covered loss, we will pay the agreed value as declared on the application, without depreciation or deductibles.
Unscheduled valuable articles: Based on Replacement Cost. In the event of a total covered loss, we will pay the replacement cost of the item, up to the article limit (S$10,000 per article), without depreciation or deductibles.
We will pay the lesser of the amount required to restore, repair, or replace an item following a covered loss.
Example: An Insured accidentally dropped his iPhone 4 into the water resulting in water damage that is repairable. We will pay the repair cost less the applicable deductibles.
Using the same example, if the damaged iPhone is beyond repair, we will replace it. However, since the iPhone 4 has been discontinued in the market, the closest replacement would be an iPhone 5. As such, the replacement cost would be the purchase price of an iPhone 5, less any deductibles (if applicable).
Receipts / valuations are required for any scheduled articles worth more than S$100,000.
For any scheduled articles worth less than S$100,000, we will only require detailed descriptions of the articles (e.g. make and model of a watch – Rolex Explorer II, Model No. xxyzzz1245).
We require the information (receipts / detailed descriptions) so that we have all relevant information at our disposal which helps us ensure that your claim experience is as seamless as possible.
The purchase price of the property should never be used as the sum insured for any building sum insured as the amount differs based on location, market demands and, most of the time, seller’s profit. The building sum insured should be based on the reconstruction cost – the cost to rebuild your building. The General Insurance Association of Singapore has provided a general guide to help you estimate the building sum insured.
Your home is your personal sanctuary and your home contents are much more than just your furniture and home appliances. Whilst there isn’t a one-size-fits-all solution when it comes to calculating the sum insured, here is a Home Contents Checklist designed to help you estimate the value of your home contents.