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Insurance

Pair-and-set clause

Insurance companies often use a method called "pair and set" valuation to determine the amount of compensation for lost items. This approach takes into account the difference in value of the item before and after the loss. For example, if one item from a pair or set is lost, the insurance company will only pay for the difference in its value, rather than the full cost of the item. This helps to prevent overcompensation for lost items.
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