How do you compare ACV vs RCV roof insurance when shopping for a policy?
Short answer. When comparing quotes, check whether the roof is covered at replacement cost, actual cash value, or a payment schedule, because two policies with the same dwelling limit can pay very different amounts on a roof claim. Ask each agent in writing how the roof is settled, for which perils, what deductible applies to wind and hail, and what would change the terms.
Why quotes are not apples to apples
Two quotes can show the same dwelling coverage and similar premiums but treat the roof differently. One may pay full replacement cost, another may pay ACV on wind and hail roof damage, and a third may use a payment schedule tied to roof age. On an older roof, that difference can outweigh years of premium savings.
Questions to ask each agent
- Is the roof settled at replacement cost, actual cash value or a payment schedule?
- Does that apply to all perils or only windstorm and hail?
- What is the wind and hail deductible in dollars? See percentage deductibles.
- Is there a cosmetic damage exclusion?
- What roof age are you using, and what proof do you need?
- Will the terms improve if I replace the roof or install impact-resistant shingles?
- How long do I have to complete repairs to collect held-back depreciation?
Reading the quote and policy
Ask for the list of forms and endorsements with each quote. Endorsements whose titles mention actual cash value, roof surfacing, roof covering or a payment schedule change how the roof is settled. If an agent cannot say, ask for the sample forms.
Making the comparison
- Estimate what a roof claim would pay under each quote at your roof's age.
- Add up the premium difference over the years you expect to keep the roof.
- Weigh that against hail risk where you live.
For the payout math, see ACV vs RCV roof claims, and for how insurers treat older roofs, roof age and insurance.