What term describes property deemed not repairable by the insurance company?

The term that describes property deemed not repairable by the insurance company is "Total Loss." When an insurance company determines that the cost to repair the damaged property exceeds its value, or if the property is so extensively damaged that it cannot be restored to its pre-loss condition, it is classified as a total loss. This classification triggers specific provisions in the insurance policy, often leading to a settlement that reflects the full value of the property before the loss, rather than repair costs.

While "salvage" refers to the remaining value of property that may be sold or salvaged after a loss, it does not directly indicate that the property is irreparable. "Replacement cost" represents the amount it would take to replace the property with a similar one, disregarding depreciation, and does not pertain to the repairability of the damaged asset. "Depreciation" reflects a reduction in value due to age, wear, and tear, and relates more to how the property is valued over time rather than its condition after it has been damaged.

Thus, total loss effectively encapsulates the situation where the property in question cannot be feasibly repaired, leading to its classification for settlement purposes in insurance.