What is base insurable value in SAP FI-AA - Asset Accounting?

SAP Term: base insurable value

• Component: FI-AA

• Component Name: Asset Accounting

• Description: The index series for calculating the insurance value as new is based on this value.

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• Key Concepts: 
  Base insurable value is a term used in SAP's FI-AA Asset Accounting component. It is the value of an asset that is used to calculate the insurance premium for the asset. This value is determined by taking into account the current market value of the asset, its depreciation, and any other factors that may affect its value. 
  
  How to use it: 
  In order to calculate the base insurable value of an asset, you must first determine its current market value. This can be done by researching similar assets and their current market values. Once you have determined the current market value, you must then factor in any depreciation or other factors that may affect the asset's value. Finally, you can use this information to calculate the base insurable value of the asset. 
  
  Tips & Tricks: 
  When calculating the base insurable value of an asset, it is important to take into account any potential risks associated with the asset. This will help ensure that you are not overpaying for insurance coverage on the asset. Additionally, it is important to keep track of any changes in the asset's value over time, as this can affect its base insurable value. 
  
  Related Information: 
  For more information on base insurable values and how they are calculated in SAP's FI-AA Asset Accounting component, please refer to SAP's official documentation on the topic. Additionally, there are many online resources available that provide further information on this topic.