In a property insurance contract, it is a clause that states that in some circumstance, the owner of the property may abandon a damaged or lost property but still has the right to claim a settlement amount in full. For example, if the property of the insured party has to way to be recovered, or if the damage is too severe that the cost of repair is more than the actual value, the insured party may abandon the property but he or she is still entitled to a settlement amount in full.
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