Tennessee regulators observed that in recent months, some property/casualty insurers in the state have filed to expand or shift their roofing policy terms to include actual cash value policies. As a result, Tennessee’s Department of Commerce and Insurance is reaching out to consumers to help them understand the difference in coverage. Regulators explained that: 1. Actual cash value (ACV) policies pay consumers for replacement costs minus any applicable depreciation. Depreciation can be thought of as "wear and tear" or age.