Functional Replacement Cost Insurance and Property Coverage

April 14, 2011

We have a large commercial claim in which the insurance carrier has put a functional replacement cost type of policy on the property. The building has custom interior window trim, custom wood windows, ornate crown trim, oversized base trim, special milled door trim and so forth. The majority of this trim is restorable. The insurance carrier wants to replace some of the materials with a lesser quality of materials where it will not match the existing materials that are now there.

This premium content is locked for FC&S Coverage Interpretation Subscribers

Enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.

  • Quality content from industry experts with over 60 years insurance experience, combined
  • Customizable alerts of changes in relevant policies and trends
  • Search and navigate Q&As to find answers to your specific questions
  • Filter by article, discussion, analysis and more to find the exact information you’re looking for
  • Continually updated to bring you the latest reports, trending topics, and coverage analysis