What term refers to when an insured item is completely destroyed or so badly damaged that it ceases to exist under the policy?

The term that best describes when an insured item is completely destroyed or so badly damaged that it ceases to exist under the policy is "total loss." In insurance terminology, a total loss occurs when the cost to repair an item exceeds its value, or when the item is rendered unusable and effectively gone. This situation often triggers a full payout from the insurer, as the insured has effectively lost the item from their possession and cannot recover it through repair.

In contrast, partial loss refers to situations where an item is damaged but not destroyed or fully rendered unusable. Complete destruction and irreparable damage are descriptive phrases that might be used colloquially but do not carry the formal terminology recognized in insurance contexts like total loss does. These alternate terms lack the specific implications related to insurance policies and payouts that "total loss" encompasses.