RCV vs ACV

931 Boulder Drive | Laramie, WY | 82070www.mwfbi.com

MKT-PROP (9/16)

Property ClaimsFrequently Asked Questions

Trust experience.Trust farm bureau.At Mountain West Farm Bureau Mutual Insurance Company, we have been providing personalized insurance services for generations. Contact your local agent today to help you with your insurance needs.

Actual Cash Value (ACV) represents the cost to repair or replace the damaged material or item with one of like kind and quality less depreciation or loss in value due to age and wear.

Replacement Cost Value (RCV) represents the cost to repair or replace a damaged item with materials of like kind and quality.

Depreciation is the measurement of the damaged material or item’s loss in value based upon its current condition and age (average life expectancy of the product).

All losses are settled at Actual Cash Value. If your policy provides replacement cost, the replacement cost can be reimbursed if repairs are done or started within 180 days from the date of loss. There are situations that warrant a time extension. Please contact your adjuster if an extension is needed, and your adjuster will consider whether an extension can be granted.

Did you know? Contact your AdjusterYour lender may be included on your check.Your lender has an “insurable interest” in your property and is included on your check per the requirements of your financial institution. They will have to endorse the check to release funds to you. Please contact your lender with any further questions.

If your property is damaged by a second storm:We are unable to consider an additional claim for damage to the same property unless it was properly repaired or replaced after the first loss. We have the right to request that you provide receipts documenting that the repairs associated with prior damage were made before we make payment for similar damages in the future.

Your adjuster is the most familiar with your claim and should be contacted if:

Our Client Service Promise:We have accessible and responsive local professionals who create and perpetuate grassroots relationships. We first diagnose our clients' needs and then communicate reliable solutions that are securely backed by many for the unfortunate few.

You have additional questions regarding your claim after inspection.

If you find further damage after the adjuster has done an inspection.

If you are unable to complete your repairs within 180 days from the date of loss and need to request an extension.

Property Claims FAQ's When going through a property claim, many insureds ask:

PROVIDING INSURANCEFOR GENERATIONS.

How do I arrange the repair of my property? Why was the cost to tear off my damaged roof withheld on the initial payment?

How do I receive payment for tear off or recoverable depreciation?

Does Mountain West warranty the work?

What do I do if my contractor's estimate is more than the damage appraisal?

What do I do if My contractor tells me that prices have increased from my estimate?

Can I upgrade the materials used to repair my property?

You are responsible for hiring your own contractor. It is wise to check references and verify that the contractor you choose is licensed, bonded, and insured. Be sure to ask for local references. Referrals from friends or family are always helpful.

Your estimate will reflect an amount that is being withheld. This may be called tear off or recoverable depreciation. These items are not payable until the old materials are removed and the work is complete.If your estimate indicates that non-recoverable depreciation was withheld, your policy does not provide reimbursement for the amount withheld.

If your policy provides reimbursement, one of the following must be provided to your adjuster:

1. Landfill receipt reflecting disposal of roofing materials and a receipt for new materials if you did the work.

2. Receipt from the contractor who did the work.

We DO NOT warranty work done by any contractor.

First, be sure to give your contractor a copy of the estimate prepared by your adjuster. If your contractor’s estimate varies from our figures or if additional damage is found, please contact the adjuster who inspected your damage prior to making any repairs.

Your damage appraisal was prepared utilizing customary prices from your area. We ask that you share a copy of our damage appraisal with your contractor. If your contractor will not repair the damage for the amount of our appraisal, please send a copy of the contractor’s itemized estimate to us before the work is completed. Your adjuster will review your contractor’s estimate and contact you to discuss the difference and how to proceed.

You are free to upgrade the materials used in the repair of your property and utilize materials of higher quality. However, the extra costs associated with the upgrade are not covered under the terms of your insurance policy.