Brothers, sisters, elders, and pastors better think twice before getting insurance with Church Mutual Insurance Company. Church Mutual claims managers will read the insurance policy looking for the most ingenious way not to pay a church following a disaster. Proof of this is found in a recent Hurricane Michael case where Church Mutual successfully argued that it had no obligation to pay any monies unless the policyholder church made a formal election to get paid on an actual cash value basis.
Continue Reading The Devil Is in the Details When Making a Claim with Church Mutual Insurance Company

In a paper worthy of law review publication, Michael Cassel has written an excellent review of Florida’s changing law regarding replacement cost and actual cash value. Exploring The Application of Actual Cash Value Versus Replacement Cost Value in Florida Property Insurance Claims, is a must read for anybody wanting to have a full understanding of Florida’s somewhat complex and changing treatment of replacement cost recovery versus actual cash value.
Continue Reading Florida Replacement Cost and Actual Cash Value: A Study by Michael Cassel

The typical property insurance policy allowing for replacement cost valuation is often taken for granted today. A hundred years ago, the product was commercially unavailable.  Concerns for incenting the policyholder to commit fraud and arson was a primary concern disallowing the replacement cost product to be sold.
Continue Reading Replacement Cost Policies Were Originally Illegal Out of Concern For Fraud and Arson

Florida is becoming much stricter regarding actual cash value proof. I recently warned about this in Actual Cash Value Proof Is Important Under Most Replacement Cost Policy Disputes. My assumption is that insurance defense lawyers are teaching their insurance company adjusters that some less savvy policyholders, restoration contractors, lawyers, and public adjusters are missing this basic requirement. A good example where a policyholder needlessly lost a case is from a common Hurricane Sally lawsuit involving a Presbyterian church versus Church Mutual Insurance Company.1
Continue Reading Actual Cash Value Estimates Need To Be Made In Florida—How A Church Lost To Church Mutual

The law firm that defended Scottsdale Insurance Company in the bad faith verdict I wrote about in Hurricane Laura Bad Faith Verdict Against Scottsdale Insurance, has a blog that noted the rules for payment of replacement cost value and actual cash value. This seemed to be a major theme throughout the lawsuit since Scottsdale claimed it was properly paying actual cash value payments in a timely manner.
Continue Reading Louisiana Insurance Company Law Firm Posts About Replacement Cost Value and Actual Cash Value

Replacement costs policies are supposed to pay replacement cost benefits, right? The truth is that only a few very high-end replacement cost policies pay replacement cost benefits immediately following a loss. I suggest that you call Chubb and Amica if that is the type of policy you want or ask your agent to provide a replacement cost endorsement that pays for immediate replacement.
Continue Reading Actual Cash Value Proof Is Important Under Most Replacement Cost Policy Disputes