Explainer The process · 6 min by Krantz & Polak
Replacement-as-new value, current value and depreciation
Why you sometimes receive less than the as-new price, and what the widely used 40% rule means.
Whether you are reimbursed the as-new price or a lower amount depends on concepts that every claimant encounters: replacement-as-new value, current value and depreciation.
The concepts
- Replacement-as-new value: the amount needed to buy the same item (or a comparable one) new again.
- Current value: the replacement-as-new value minus the reduction in value due to age and use (depreciation).
The widely used 40% rule
Many contents insurers pay out the replacement-as-new value, but switch to the current value as soon as the current value is less than 40% of the replacement-as-new value. This is particularly relevant for older electronics and items you no longer used (in the loft, for example).
An example
A laptop costing EUR 1,000 depreciates at, say, 20% a year. After 1 year it is still worth 80% → the replacement-as-new value is paid. After 4 years only 20% → below the 40% threshold, so current value (EUR 200). Repairable items are usually reimbursed at the cost of repair, up to a maximum of the replacement-as-new value.
Why this matters
Insurers use different depreciation tables and lifespans. It is precisely here that large differences arise between a first proposal and what is genuinely reasonable. An independent expert reviews the depreciation applied.
Tip — For art, antiques and rare items, a separate valuation (rarity value) often applies, not the standard depreciation.
When is your own expert a wise choice?
Not for every minor claim — but in these situations your own counter-expert almost always achieves a better and fairer outcome:
- The damage is substantial (guideline: from around € 5,000).
- The insurer doubts your account or accuses you of intent, negligence or fraud.
- The cause or circumstances are unclear — often with fire or water damage.
- An exclusion or deduction is invoked that you do not understand.
- There is underinsurance, or discussion about current value and depreciation.
- There is business interruption loss on top of the damage to property or contents.
- Your claim has been (partly) rejected.
- Before you sign — or before the insurer's expert records the damage one-sidedly.
Not sure whether it makes sense in your case? A first check costs nothing.
What you can do next
Three pages with a concrete answer to common follow-up questions.
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What does a counter-expert cost?
Answer in 1 minute, with verbatim quotes from Kifid and the Dutch Consumer Association.
Read about costs -
How do we work?
Our step-by-step approach — from first inspection to final settlement.
See our approach -
Why 100% independent?
Comparison with hybrid agencies + 3 verification questions you can ask.
Our independence
Also relevant
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Buildings or contents — what falls under which?
The distinction determines which insurance pays out. A simple rule of thumb gets you started.
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Underinsurance and the guarantee against underinsurance
If your sum insured is too low, you are only reimbursed part of your loss. This is how the proportionality rule works.
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What exactly does the insurer's expert do?
Understand the role of the loss adjuster who comes to visit, so you know what to expect from that conversation.
Just had damage?
Call us or report your claim online. We usually respond within 24 hours.