Casualty Insurance policies in most states use Actual Cash Value to measure losses on policies providing coverage based upon the depreciated value of improvements. Other policies are written to provide coverage to completely replace an improvement that is lost to a casualty event. In either case, it is important to the insurance company and the property owner to have the right amount of coverage. Appraisal companies typically offer Insurance Replacement Cost Evaluations to determine the correct amount of coverage, whether the policy is based upon Actual Cash Value or Replacement Cost. Appraisers appraising for Actual Cash Value, begin with estimating the Replacement Cost New and reduce this amount by the accrued depreciation. In either case, it is important that the appraiser have a clear understanding of Insurance Replacement Cost Evaluations.
Our firm offers Insurance Replacement Cost Evaluations nationwide. We serve all fifty states and are available for International assignments.