What value do I assign to my second-hand belongings for insurance purposes?

"I have replacement cost coverage for my renters insurance. I'm making an inventory of my belongings, but many of them were bought second-hand. For example, I bought my couch for $350, whereas a similar model that's brand new would cost over $700. Should I list the second-hand price or current retail price of my belongings?

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Answer provided by
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Jackie Whalen
Answered on Apr 08, 2021
“The purpose of insurance is to make you whole if you do need to file a claim. In this case, you would provide the current retail cost of the couch since you have replacement cost coverage. For example, if your couch were to be damaged in a fire, the insurance company would replace it with a brand-new couch.
If you had an actual cash value policy, you would list the used price because the couch would be replaced with depreciation factored in. “
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