What is 'current market value insurance' in SAP FI-AA - Asset Accounting?

current market value insurance - Overview

• Component: FI-AA

• Component Name: Asset Accounting

• Description: The insurance of an object at its current insurable value, reduced by depreciation. The current insurable value can be managed in a separate depreciation area. You can use all indexing and depreciation methods available in other depreciation areas for calculating values as new and net book values.

current market value insurance - Details

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  Key Concepts: 
  Current market value insurance is a type of insurance that covers the current market value of an asset. This type of insurance is typically used in the FI-AA Asset Accounting component of SAP. It is designed to protect the asset from any losses due to depreciation or other factors that may affect its value. 
  
  How to use it: 
  In order to use current market value insurance, you must first set up the insurance policy in the FI-AA Asset Accounting component. This will include setting up the policy details, such as the type of coverage, the amount of coverage, and any other relevant information. Once the policy is set up, you can then use it to protect your assets from any losses due to depreciation or other factors that may affect its value. 
  
  Tips & Tricks: 
  When setting up a current market value insurance policy, it is important to make sure that you are adequately covering your assets. Make sure that you are aware of any potential risks that may affect the value of your assets and make sure that your policy covers those risks. Additionally, make sure that you are regularly reviewing your policy to ensure that it is still providing adequate coverage for your assets. 
  
  Related Information: 
  For more information on current market value insurance and how to set up a policy